As mentioned earlier, blockchain is a decentralized, public distributed ledger (a book of records) used to record all the transactions made on various computers without the alteration of the entered information and the consensus of the network. Let me make you understand in three simple steps in the way how I understood it.
Every transaction which is made involves mainly two people, the sender, and the receiver. So, if a transaction is made between these two people instead of saving the information only in their databases, it is viewed by everyone who is involved in the network on which the transaction was carried out. Thus if any user happens to make a fake(invalid) transaction, not only the receiver, but everyone on the network will get to know about it. This helps the other users to know about the authenticity of thein future senders.
Validation
Now comes the concept of ‘valid’. When the transaction is validated it creates a block which, now can be connected to the original chain(I now feel that you have a slight interest in blockchain because at least these two words are falling in place). Since there are many users, many can validate a transaction and it may lead to the creation of multiple blocks by multiple networks(nodes).To simplify this, here comes another important terminology of blockchain known as proof-of-work. Don’t worry it is exactly as it sounds! It is basically a puzzle which has to be solved by the users and the solutions(according to the rules) should be difficult to compute and easy to verify. And the first one to do this is the one who gets to connect his block to the network.
And the last and important terminology, After the solution is found the network spreads the solution along with the block. All other networks, now verify this solution. Once, it is verified the block gets added to the blockchain.
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Blockchain And Cryptocurrency
Non-FictionBlockchain....After hearing this word some people may think, "I have heard this but don't know a thing about it". For some others, "Blockchain! Is that even a word? It's like two words just merged together". Next comes a group of people where they m...
