Things to know about Blockchainby Ganiu Ibrahim Marketing Manager/Community builder
Blockchain technology is slowly but surely gaining popularity as an alternative to traditional systems. It is a decentralized platform that allows users to create and manage their own database. This means transactions can be carried out without any middlemen and without interference from third parties, making it more secure and trustworthy than traditional systems. A blockchain is essentially a shared ledger on which records about all transactions are recorded. But how does it work? And how is it different from traditional systems? In this article, I'll answer all your questions about blockchain technology and explain what it is and how it works.
What is blockchain?
Blockchain is a distributed database or ledger that is used to record and track information in a safe and secure manner. The information stored in the blockchain is secure because it is protected by cryptography. The term “blockchain” was first coined by a person named Satoshi Nakamoto in 2008 when he published a paper describing the concept of the distributed ledger system.
The blockchain is designed in such a way that no single person or organization owns the data or the database. Instead, it is maintained by a network of computers that work together to maintain a shared record of information. This type of technology is referred to as “decentralized” because it eliminates the need for a central authority to manage and store the data.
How does blockchain work?
Each block in the blockchain contains data that has a “header” and a “body.” The header contains information about the previous block and the timestamp of when the transaction took place. The body of the block contains information about the topic of the transaction such as the name of the recipient, the amount of money that was transferred, etc. This information is then encrypted using a complex mathematical algorithm called “hashing.” Once the block has been hashed, it becomes part of the chain and becomes difficult to alter.
Transactions that take place on the blockchain are irreversible and cannot be modified or deleted once they are added to the chain. This process is known as “immutability.”
Which industries can benefit from blockchain technology?
Blockchain technology has the potential to transform many industries including banking, healthcare, supply chain management, the entertainment industry, and retail. This is because it offers a number of advantages over traditional centralized systems including security, transparency, traceability, and accountability.
Created on Jan 17th 2023 11:06. Viewed 39 times.