Explore blockchain | blockchain technology explained

What is blockchain ?

blockchain

So the blockchain actually is the technology that enables moving digital coins from one to another individual. Today we are going to talk about blockchain. It is just like a common language why problem that blockchain attempt to solve is the money transfer for example if a person A likes to transfer money to a person B let’s say from India to UK. This is typically done using a third trusted party. It is typically works as follows a says, I want to move transfer to B and order the third party to transfer money to B. The trusted party identify be in UK identify as a person and the bank account and then move the money after taking some free to the right account in UK. This typically takes about 3 days or more but it takes some.

The problem that block chain is attempting to solve

1. As to do transfer money without without the trusted entity.

2. To do it faster than 3 days immediately.

3. To do it cheaper then the fee that third party collects.

Blockchains store information across the network of personal computer making them not just decentralized but distributed this means no Central company a person owns the system. Yet everyone can use it and help run it. This is important because it means it’s difficult for anyone person to take down the network or corrupted.

The people who run the system use their computer to hold bundles of records submitted by others known as blocks In a chronological chain the blockchain uses a form of map called cryptography to ensure that records can’t be counterfeited or changed by anyone else. Bitcoins uses blockchain by tracking records of ownership over the digital cash. So only one person can be the owner at the time and the cash can’t be spent twice.

blockchain

 Blockchain technology

The bitcoin is the most famous application of the blockchain. Bitcoin is actually based on the technology that is blockchain. A block-chain is the global online database that anyone, anywhere with an internet connection can use. Unlike traditional databases, which are owned by central figures like banks and governments, a block chain doesn’t belongs to anyone. Moreover cheating the system by faking document, transactions and other kind of precious information becomes near impossible.

Bitcoin is basically a digital currency that is created and held electronically. You can exchange bitcoins to anyone, weather you know them or not. People move their digital money by validating other people bitcoin transactions. Where as block-chain verifies the ownership of this digital cash.

Working of blockchain

As it stores the information permanently across a network of personal computers. This not only decentralizes the information, but distributed it too. So how blockchain stay relatively hack proof ?. The answer is millions of blockchain users, as they makes it difficult for any one to take down the network or corrupt it. Many people online run their system use their own personal PCs to hold bundles of records submitted by others.

The records are known as blocks. Each and every block has a time span and a link to a previous block, thus forming a chronological chain. In this chain, you can view or add the information , but can’t make changes to it. The blockchain enforces this by using a form of math known as cryptography. That simple meant that records or data can’t be altered by someone else.

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