On this occasion I would like to review a little article about blockchain technology. Mostly, in the world of cryptocurrency technology such as Bitcoin relies on the form of databases with excellence able to track large and safe transaction volumes in carrying out such cryptocurrency exchange transactions. The technology used by many digital currencies is Blockchain. Blockchain was first implemented in 2009, and was revolutionized with Blockchain 2.0 in 2014. The Blockchain technology consists of blocks that hold transactions, where each block is interconnected through cryptography, thus forming a network.
The first time implementing this blockchain technology was bitcoin because bitcoin was the first virtual currency created by Satoshi Nakamoto at the time. And along with the development of the digital universe, cryptocurring in the future has become an increasingly attractive proposition in the market and may not have traditional banking infrastructure. Some developing countries in the world have even implemented Blockchain-based national currencies, such as Bitcoin, and the technology is also used by several large charity projects to help those who do not have bank accounts.
How does Blockchain work?
The Blockchain system consists of two types of records, transactions and blocks. This transaction is stored together in one block. The unique thing about the Blockchain is that each block contains cryptographic hashes that form a network. Cryptographic hash function is to take data from the previous block and convert it to compact string. This string allows the system to easily detect sabotage. Blockchain has the potential to be used outside the scope of digital currencies, and attracts many traditional financial institutions to be adopted.
With this method, it means that each block does not need to have a serial number, the hash allows each block to verify its integrity. Each block will confirm its validity from the previous block. Block connection is not the only thing that keeps the network safe. This technology is also decentralized, every computer with installed software has a copy of Blockchain that is constantly updated with new blocks. There is no centralized server that holds the transaction, and because each new block must meet the requirements in the chain or network, no one can overwrite the previous transaction.