We are all either aware or at least heard about Blockchain as the concept lies close with Bitcoin and other kinds of cryptocurrency investments. But what forms an important topic tends to include Blockchain as a whole and how it stands to be a great source of dealing with transactions. So in order to get the complete picture, one should go into detail and study all that revolves around Blockchain. Hence, to help you get started on that front, here’s a brief understanding of the technology of Blockchain.
1. Basic Introduction
In simple words, Blockchain refers to a particular form of digital information that is stored in a database. Blocks store information about transactions like time, dollar amount, date and so on. Moreover, it also includes individuals who are participating in the transaction. Due to that, a critical line of difference will be created between people who use the technology to accomplish several objectives.
Blockchain works like any other form of a transaction by clocking in the required piece of information. It verifies the transaction through the network of computers that it utilizes to carry things forward. The details of the transaction will be further confirmed, and you will be aware of all that you have performed. Once the translation has been verified, a unique identifying code called a hash will come into the picture. So when it is hashed, a block can be added to the Blockchain.
3. FAQs about Blockchain
The two most commonly asked questions about Blockchain technology refers to the aspects relating to its privacy and security. These venues also need to be understood if one wants to go ahead with Blockchain.
a. Is it Private?
Contrary to popular belief, Blockchain is not private as anyone can view the contents in it. But the main difference lies in the fact that user data is not in full. Users can further opt to connect their computers to the Blockchain network as nodes. By doing so, a copy of the information will be automatically updated whenever a new block is added. As a result, each computer in the Blockchain network will have its own copy of the same. Since that information is spread all across, it is difficult to manipulate or edit.