What is Blockchain?

What is a Blockchain?

The Blockchain is literally a chain of blocks. When we say the words “block” and “chain” in this context, we are actually talking about digital information (the “block”) stored in a public database (the “chain”). “Blocks” on the blockchain are made up of digital pieces of information. Specifically, they have three parts: 

  1. Transactions (day, time, amount, etc);
  2. Participants (user’s “digital” signature), and;
  3. A cryptographic hash of the previous block to distinguish them from one another.

 

Blockchain Distributed Ledger Technology

The blockchain is also referred to as a “distributed ledger” - “Distributed” because the data it contains is copied across the entire server network. A “Ledger” because it has checks and balances that maintain the data integrity.