Things you need to know about Blockchain

Blockchain

Table of Contents:

Basic and general Blockchain knowledge

Basic and general Blockchain knowledge

First of all, let's ask ourselves what is Blockchain?

It is blocks that are used to record transactions across computers, it consists of records that are usually public, decentralized, and distributed.

Why does it matter?

It allows systems that are trustless to be built on top. Most people tend to not trust banks to make transactions and decisions because there is a chance that they might not go through so this is a way to make transactions that are decentralized knowing that they won't be denied for non-custodial reasons, making it possible for developers to build products that provide instant value without having to go through bureaucratic processes.

What is decentralization?

This means transfer of control and decision-making from an organization to a network. They strive to reduce the trust people place in others to discourage their ability to exert control over someone in other ways that degrade their network. Unlike centralized servers that are often controlled by a single organization, decentralized servers consist of p2p or peer-to-peer networks that hold the data which results in a trustworthy file storage sharing system. This technology coordinates economic activities in a secure way.

Blockchain Applications

- Digital transfers (NFT)

- Remote service delivery

- Crowdfunding

- Managing Identity

- Distributed intelligence

What is mining?

It is the process of adding transaction details to the blockchain, like address, and hash value. The blockchain contains all the history of the transactions that have taken place in the past as records so that it can't be manipulated by someone else.

Blockchain forking

It is when the community makes a change to the blockchain's protocol or rules

What is cryptocurrency?

A digital currency that is designed to work as a medium of exchange through blockchain technology not relying on banks or other organizations to maintain it. These are usually stored in crypto wallets which is an application that functions as a wallet for your crypto.

What is cryptography?

It is the study of securing communications in the presence of malicious hostile behaviors.

Consensus protocols

A procedure in which peers of a blockchain reach an agreement about the present state of data in the network this establishes reliability and trust in the network overall.