What is Blockchain?
Bockchain method is same like a ledger system which store and track a value based product. Blockchain is made by two words Block+Chain, there is a combination of these two words which indicate that a connected series of chain of blocks is working there to complete a transaction. Blockchain method of ledger is one of the top system of storing the entries because its impossible to hack, or change this ledger and this is not a normal ledger like others where changes are possible very easily by a fraud activity.Not clear yet right? No problem for more details just take a look on some examples those will help you a lot to understand the concept of Blockchain deeply I can understand that example need must in these types of subjects so lets start.
- For Example
Suppose Rob bought a second hand Car from (Real Owner) Marco suddenly a new guy came in named Antonio (Unreal Owner) and now he is claiming that this car is not related to Marco this car is related to him (Antonio) means he is claiming that the real owner of that Car is me not Marco. The main question is now that how Marco will prove that this car is related to him?
The answer is still simple that Marco can show all the Vehicle documents those he had got from the Vehicle showroom along with it he can show vehicle registration documents also, Now the main point is that where the actual proofs are getting stored in a register, computer, website etc Right?
Now do you think that its impossible for Antonio to do changes in all those proofs? Here there is a full probability of fraud because as nentioned above all the data is in register, computer or website and that data can be canged very easily in so many ways like by bribe, by hacking, Destroying or deleting data etc. That’s why blockchain role play an very vital role in this type of case. Let’s discuss how Blockchain works in smooth way.
- How Blockchain does work?
Blockchain does not work on the bases of old theory its a new way to keep a ledger or records of transactions so in this method there is a blockchain network system all the data of transactions will be recorded on a network instead of a register,or a single computer. Network (million’s of computer (Nodes) from differ countries where data or ledger will be stored). All chain of blocks will be stored as same in all differ computers which is called as a ledger also. Now see how much tough this is to do changes in blockchain ledger, data is not stored in one single computer here there are million’s of computers and if anybody have to do changes or fraud then those million’s of computer’s across the world should be hacked together at same time which is not possible at all. On the other hand this is an decentralized method or system where there is no single body is controlling the things.
There is a chain system here and all the blocks are connected with single chain here and no changes possible in the old blocks. A new block will appear if any changes seeming possible there.
- Key Features of Blockchain:
- Blockchain is a new concept of keeping records a differ method to keep an ledger.
- Blockchain recored the data of transactions in millions of nodes (computers)
- This method remove the problem of fraud activity totally.No manipulation possible.
- This is a full fledge decentralized system no centralized body controll here.
So that was all about the Blockchain method and in this topic we have discussed almost all important elements of the blockchain. This method is very transparent and neglect the function of an any third paty or an intermediary which reduce the term cost also.