Understanding the blockchain technology

I know you’re scared? Because the cryptocurrency future seems to be uncertain especially when the down market seems to be the nature of the market.

Guess what? You’re not alone.

Come to think of it, the cryptocurrency have been giving us surprises, especially when we see the rise of bitcoin to almost $20, 000. A rise no one saw it coming.

When many are beginning to join the cryptocurrency investment, scammers began to take advantage of new investors by stealing their investments and then the bear market began to set in.

That did not stop there threat from several government began to build up and further make people scared the more.
With all that in mine, you may not be totally out of place if you’re afraid about the future of the cryptocurrency.

But wait a minute!

Before you jump into conclusion please I need you to understand the blockchain technology-the technology that creates all the cryptocurrency.

What is a blockchain?

Before we go into blockchain technology, it’s better we understand what a blockchain is.

So what is a blockchain? Blockchain is a digital ledger in which transactions made in bitcoin or another cryptocurrency are recorded chronologically and publicly.

The blockchain technology allow digital information to be distributed but not copied.

Don and Alex Tapscott, authors of the Blockchain Revolution (2016) wrote “the blockchain is an incorruptible digital ledger of economic transactions that can be programmed to record not just financial transactions but virtually everything of value.

But the block are not always in chains in the first place. For it to be called a blockchain, a block will have to be created first.

How to create a block

For a block to be created, transactions will have to take place. This transaction involves the solving of complex mathematical problems using a specialize PC for it. The process can be called mining.

The miners will partake in these transactions when it gets to the required number of transactions, a block will be created.

Nothing is left behind and no one can create a counterfeit of such block when the block is complete, a coins or cryptocurrency is created and those involve in the process of solving the mathematical problem are rewarded or paid in the cryptocurrency they help create.

At the end, the block is put into a chain which becomes visible to everyone or made public.

So what’s it with blockchain?

So why do I feel that the cryptocurrency is here to stay? Well, we have to look at the blockchain technology. The technology can do the following:

A distributed database

Imagine that this network is designed to regularly update this spreadsheet and you have a basic understanding of the blockchain.

Information held on a blockchain exists as a shared — and continually reconciled — database. This is a way of using the network that has obvious benefits. The blockchain database isn’t stored in any single location, meaning the records it keeps are truly public and easily verifiable. No centralized version of this information exists for a hacker to corrupt.

Hosted by millions of computers simultaneously, its data is accessible to anyone on the internet.
To go in deeper with the Google spreadsheet analogy, I would like you to read this piece from a blockchain specialist.
Blockchain Durability and robustness

Blockchain technology is like the internet in that it has a built-in robustness. By storing blocks of information that are identical across its network, the blockchain cannot:

Be controlled by any single entity.
Has no single point of failure.

Bitcoin was invented in 2008. Since that time, the Bitcoin blockchain has operated without significant disruption. (To date, any of problems associated with Bitcoin have been due to hacking or mismanagement. In other words, these problems come from bad intention and human error, not flaws in the underlying concepts.)

The internet itself has proven to be durable for almost 30 years. It’s a track record that bodes well for blockchain technology as it continues to be developed.

Transparent and incorruptible

The blockchain network lives in a state of consensus, one that automatically checks in with itself every ten minutes. A kind of self-auditing ecosystem of a digital value, the network reconciles every transaction that happens in ten-minute intervals.
Each group of these transactions is referred to as a “block”. Two important properties result from this:

Transparency data is embedded within the network as a whole, by definition it is public.
It cannot be corrupted altering any unit of information on the blockchain would mean using a huge amount of computing power to override the entire network.

In theory, this could be possible. In practice, it’s unlikely to happen. Taking control of the system to capture Bitcoins, for instance, would also have the effect of destroying their value.
No Thanks!

Is blockchain technology the new internet?

The blockchain is an undeniably ingenious invention – the brainchild of a person or group of people known by the pseudonym, Satoshi Nakamoto. But since then, it has evolved into something greater, and the main question every single person is asking is: What is Blockchain?

By allowing digital information to be distributed but not copied, blockchain technology created the backbone of a new type of internet. Originally devised for the digital currency, Bitcoin, (Buy Bitcoin) the tech community is now finding other potential uses for the technology.

Bitcoin has been called “digital gold,” and for a good reason. To date, the total value of the currency is close to $9 billion US. And blockchains can make other types of digital value. Like the internet (or your car), you don’t need to know how the blockchain works to use it. However, having a basic knowledge of this new technology shows why it’s considered revolutionary. So, we hope you enjoy this, what is Blockchain guide.