Blockchain is an information storage system that makes it almost impossible to change, hack, or defraud the system.
After a decades-long journey, cryptocurrencies have grown in importance this year. Lots of people entered the market and some even became crypto millionaires in just a few months. Others took longer. With billions of dollars being transacted online regularly, a detailed discussion on the technology on which the world of cryptocurrencies is a little lost. As the volatile market appears to be gearing up for another rally, it is a good time to find out where investments are going and how transactions are being stored. At the centre of cryptocurrency is a digital ledger technology called Blockchain, described as a decentralized system.
Blockchain and cryptocurrency
Simply put, blockchain is a database of all cryptographic transactions that take place anywhere in the world at any time. It is an information storage system that makes it almost impossible to modify, hack, or defraud the system. It distributes the information of all crypto transactions over the network of all connected computers so that everyone can see the data, including crypto mining and trading. There is neither central control nor a single authority.
Security
It’s more complex than a traditional database created and managed by a central authority, but blockchains are more secure because no person or entity can access the data without the appropriate cryptographic private key or without permission from the owner.
The interesting idea was developed before cryptocurrencies existed, but Bitcoin‘s popularity after its inception in 2009 brought it into the mainstream. While blockchain technology can be used to store any type of data, e.g. Such as medical and health information, it is currently widely used for trading cryptocurrencies.
How does blockchain operate?
