Blockchain
blockchain
a constantly growing ledger, that keeps a permanent record of all the transaction that have take place, in a secure, chronological and immutable way
De-centralized Ledger technology
Bitcoin
Problem
double spend
need Bank
Bitcoin network: global network of thousands of computers, blockchain keeps a decentralized record of all the transactions
Miners
Process and confirm transactions
Powerful bitcoin mining computers
solve cryptography math problem
rewarded in bitcoin
build the blockchain of records that form the Bitcoin ledger
Hash Function
SHA-256
A nonce is a number that is used only once as part of the mining process in Bitcoin.
Blocks in a Blockchain are linked to each other through the process of cryptographic hashing. Each block is cryptographically hashed and includes the hash from the previous block as part of the hash, this makes it very easy to see if anyone has tampered with any block as changing the value of a hash for a block will automatically "break the chain" and make all the blocks after that block invalid.
4 Components
software
cryptography
hardware
gaming theory
Key concepts
Disintermediated
remove 3rd
take care, confirm, verifying transfer
Distributed
thousands network computers, share workload
Decentralized
no centralized
Trustless
Cryptocurrency
digital asset, exchange value between parties.
uses cryptography to secure how it's transferred and to control the creation of new units of that currency
click to edit
getting started
bitcoin.org