Blockchain is a decentralized, distributed ledger technology that enables the secure recording of transactions across a network of computers. It is resistant to data modification, making it reliable and tamper-proof. Each block in the chain contains a cryptographic hash of the previous block, creating a secure and transparent record of transactions. Beyond cryptocurrencies, blockchain has potential applications in supply chain management, voting systems, and digital identity verification.
Blockchain can be compared to a digital notary system that securely records and verifies transactions across a network of computers. Its resistance to data modification makes it a reliable and tamper-proof system, similar to how notarized documents are considered trustworthy. The decentralized nature of blockchain enhances transparency and security, making it a promising solution for various industries seeking to improve their operations.
Blockchain technology was first conceptualized by an individual or group using the pseudonym Satoshi Nakamoto in 2008 for the digital currency Bitcoin. It involves a decentralized and distributed digital ledger that records transactions across many computers. This technology has expanded beyond cryptocurrencies and is now being explored for various applications due to its secure and transparent nature.