Bitcoin is a cryptocurrency that uses blockchain technology for functioning. Block and Chain are two words in which a Block is a set of records which are highly secured using these blocks are made up of Cryptographic Hash or alphanumeric passwords which cant be learned which is usually of 9 digits including a timestamp and transaction data. In simple words, “Blockchain uses the internet to transfer data or a unique piece of unique technology from one person to another and telling everybody about this transaction in the open-ledger record but no one can make use or modify your information in the ledger.”
How Does Blockchain work?
The blockchain is an openly distributed ledger of records that cannot be modified. It is an openly distributed ledger which can record transactions between two parties efficiently in a variable and permanent manner. In conclusion, Blockchain uses the peer-to-peer network for transactions connecting to a protocol for inter-node communication.
So Blockchain is made from 3 technologies
- Private key cryptography.
- P2P network.
- The Blockchain Program.
For programming with Blockchain – Mastering Bitcoin: Programming the Open blockchain
How do Cryptocurrencies use the blockchain?
Cryptocurrency is not a new word after the boom in Bitcoin and Altcoins or supporting coins to bitcoin. A major part of Technology in the year 2017-2018 and coming years is Blockchain or we can say its era of Crypto-finance. Furthermore, Competition in this technology is increasing day-by-day and its because of its open nature and highly secured. This makes transactions safe from attacking and breaching.
In the case of Bitcoin, every 10 minutes, a new block is been created, the block then certifies and verifies the new transactions taken place. So how this all happens, miners use their mining or computing efficiency to provide a proof-of-work. Lastly, A calculation that effectively creates a number that verifies the block and the transactions it contains.
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