BLOCK CHAIN

What is Blockchain..?

It is like an account book that keeps track of transactions. Take the Bitcoin example, which records who paid for whom and when.

This book is public and permanent. The details are stored on thousands of computers around the world (called "nodes"), not just on one organization or its computer. In this book of accounts, new original accounts can be written, and no false account can be added, nor can it replace what was once written. And this system is not under the control of someone or an organization. Thus blockchain is ideal for saving important details like financial transactions - without the need for intermediaries such as banks.

The blockchain is the name because it is formed from a chain of data blocks. Data on transactions pertaining to a particular subject is retained in each such continent. The blocks are part of this series, using cryptography techniques.

Ex: suppose you're going to pay for your friends. In a blockchain, this is a transaction. Before starting this business, you must show that you have money in your account by reference to a previous transaction (eg, salary from the office). In addition, the transaction will be sent to all computers ('nodes') in the blockchain system after you have added your peers' account details and your identity confirmation. Nodes will accept that transaction if the rules of the blockchain are properly followed.

Some of the nodes are responsible for adding the accepted transactions to a new block. Such nodes are called "miners" (minor = miners). Once all the necessary data about the business is ready, they begin to calculate whether it can be added to the new continent. Minor, who first completes this calculation, detects the number 'nons'. This number is then combined with the data in the block, encrypted, forming a hash character. This hash is a fingerprint that uniquely identifies each continent.

The miner completes the calculation and sends the hash that it has created to the other miners. Miners checking it and the hash of its previous block will only add it to the blockchain if all goes well. This process is named as 'proof of work'.

If anyone changes the information contained in any block of the blockchain, they must also change the hash. Not only that, but it also needs to be replaced, as it has a hash of the previous continent. Changing the whole series, it is almost impossible to get approval from all the miners for those changes, so there is” very little chance of fraud” in the blockchain system.

The blockchain systems can also help smart contracts to be used in many areas of life. For example, suppose there is an agreement between the distributor and the retailer that the payment will be made within thirty days of the supply of the goods. Delivery of Material - The Blockchain system can ensure that the payment is received by the distributor within thirty days if the receipt is correct and the invoice for the supplied material is correct.

-Soorya Kumar

2nd BCA