“Blockchain” is a branched and sequential chain of virtual blocks that store encrypted information. This technology has become widespread due to the popularization of cryptocurrencies, namely Bitcoin. It was used in his developments by the Japanese-born programmer Satoshi Nakamoto along with his development team. On the basis of this very chain of virtual blocks, a system was built that contains inside itself all the information about the transactions made.
According to the Wikipedia website, only certain information can be contained in the blockchain. Any data that has cryptographic encryption becomes it. The blocks themselves consist of certain constituent parts, namely transactions. transactions, in turn, are arrays of information containing hashes. It is inside the hashes that all information about the transaction and all service information about them are recorded. For one created block, a reward is formed. As a rule, the reward is created from the many commissions collected from each money transfer. It is measured in Satoshi, that is, one hundred millionth of one bitcoin. This is how the reward is distributed among the miners.
By itself, the system is maintained by mining farms connected to the entire network. They perform calculations aimed at processing all transactions in the data block. They pay for participation in mining with cryptocurrency, so using your equipment to maintain the functioning of a single blockchain is a mutually beneficial “deal”.
Positive aspects of Blockchain technology:
- Full stability and stability of work. Each miner that falls out of the general rhythm will be replaced by others. Not a single miner who has stopped working will bring down the entire network, since this is impossible as long as at least one computer is working.
- All entries are completely transparent and open to all users. A special service of the same name allows you to view blocks, monitoring your transactions and their status.
- The data that got into the “Blockchain” is not copied, but is contained in the chain in only one copy. They cannot be propagated, as this will lead to the failure of the operation.