What Is Blockchain?

Blockchain technology has created a new kind of Internet backbone that can be used but not copied (subject to permission to distribute digital information).

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Let's try to make it easier. Suppose a gentleman sends 5,000 rupees to his father in the village through conventional banking services. So if we analyze this transaction system a little bit, then the gentleman is the first party and his father is the second party and the banking system is the third party. So what happened is that almost all the activities including transactions through this banking system were completed. Therefore, the bank provides all the facilities required to exchange money between the two through its services. This is what we call the banking system.

If you understand the banking system above then it is easy for you to understand blockchain. You can compare the banking system with the blockchain, but the blockchain system is not like the banking system at all. Let's clear the matter up a bit. The gentleman above will send money to 10 friends and these few can connect with each other and transact money through any one of them.

In the language of blockchain we refer to this issue of money transfer through interconnection as Open Ledger or account of open transaction. The whole blockchain system has been kept decentralized since it was opened. Notice the interconnectedness of the 10 people as they are connected to each other so everyone has an idea about each other's account - the real fun of blockchain is actually here because every account connected is automatically updated during each transaction. This automated feature is the Distributed Open Ledger, also known as Decentralized.

But here you may have a suspicion - for example, someone may say that he sent 100 rupees and sent 1000 rupees. This is why the whole system of transactions has to be verified or verified and we call those who do the work of this verification as miners.

Summary Of Blockchain

Blockchain = Block + Chain In this system, each block is an account in which each transaction is managed in the form of a management chain. Each block ensures a high level of security through hashing so that no one can interfere here.

The first blockchain using cryptographic technology was first introduced in 1991, although its use was not successful. Its actual use was exploited in 2006 by an unidentified man named Satoshi Nakamoto. Who started using blockchain technology for cryptocurrency or bitcoin transactions. Today, there is a growing global awareness about the use of blockchain.

Since the journey of blockchain has started successfully through the use of bitcoin, it is easy to understand how blockchain is transacted if you want to understand blockchain easily.

How does blockchain work?

Blockchain basically creates a P2P network where the data of each block of the blockchain can be verified by any person connected to the Internet.

Blockchain is simply a distributed open laser. Let me put it in a few simple words. We see that different offices-courts have a large ledger to record various information. This ledger is called laser. Which no one but the staff of that office can see. Transactions that are made using the exact blockchain are stored in a laser on the chain steam. Which everyone can see.

Suppose, I would send bitcoin to any person if any information or easy to understand through blockchain. Then when I send the address to that person, my transaction will be taken in a block. That block is then inserted into a (#) hash for security purposes. And one block is connected to the other. Each block contains the address of its previous block thus one block is connected to another block.

On the other hand, all the transactions that take place at the same time are put into one block. For which thousands of computers work. And all computers have a copy of that block. This is how strong networks or chains are created. And the letter of credit that is deposited for the future through the chain is called laser. From where we can all see the transactions.

Advantages of Blockchain:

Blockchain is a technology that is very secure and fast. Safe because it is impossible to hack the transactions that you make using blockchain and create a match between them.

Suppose you make a payment to someone using a blockchain, then your information immediately reaches all the computers connected to the system. And to give the information validity, the hash of the previous transaction will be added to your transaction. This way the hash of your transaction will be linked to the hash of the next transaction. In this way the chain system continues.

If someone wants to hack blockchain technology and make a discrepancy between its information, it is impossible to do so. Because to do that, he has to hack thousands of computers at the same time. Because as I said before, as soon as every transaction is created, its information reaches thousands of computers. And it takes about 10 minutes to create a block with more transactions. And so to change the complete information of a block; Hackers will have less than 10 minutes. And it is imaginary to hack thousands of computers during this time.

Blockchain's popularity:

You can easily guess from the above information how impossible blockchain hacking is. Plus, you'll be getting rid of clutter you don't need. As a result, the popularity of blockchain is increasing day by day. However, its success began with cryptocurrency transactions. But plans are afoot to use it for many purposes. As such some banks are conducting tests for its use. Research on its use in this way continues day by day.

For example, online ticketing of Bangladesh Railway can be considered. Here we buy tickets through mobile or web app. Where the payment gateway charges a certain amount of money extra per transaction. Blockchain can save us from the processing fees of this payment gateway of the railways here as well as transfer the entire ticketing process inside the blockchain. There are two sides to the transaction - the railway company and the passenger. The ticket is a data block, which will be added to the ticket blockchain. Just as financial transaction records are unique to blockchain, individually verifiable and undeniable records (like Bitcoin), so too can we have this ticket. The most interesting thing is that in the latest ticket blockchain, there will be a record of all transactions on any train route or on the entire train network where a ticket has been sold or where a train has traveled.