Introduction

Blockchain technology deals with distributed public ledgers that have data and ensure that transactions can never be altered. The most popular examples of blockchain usage are Bitcoin and other cryptocurrencies. However, blockchain technology is finding a diverse range of purposes. Uses such as data storage, financial transactions, and many more have been investigated as potential benefits of blockchain technology.

A blockchain is a tamper-evident, shared digital ledger that records transactions in a public or private peer-to-peer network. Distributed to all member nodes in the network, the ledger permanently records in a sequential chain of cryptographic hash-linked blocks. The history of asset exchanges that take place between the peers in the network.

All the confirmed and validated transaction blocks are linked and chained from the beginning of the chain to the most current block. Hence the name blockchain. The blockchain thus acts as a single source of truth and members in a blockchain network can view only those transactions that are relevant to them.
Instead of relying on a third party, such as a financial institution, to mediate transactions, member nodes in a blockchain network use a consensus protocol to agree on ledger content and cryptographic hashes and digital signatures to ensure the integrity of transactions.

What is Blockchain Technology?

Digital Ledger: A public record of all transactions.
Cryptography: Ensures secure and tamper-proof transactions.
Decentralization: Operates across a network rather than a central database.

A blockchain can be conceptualized as a sequential arrangement of digital "blocks" that encompass transactional records. Each time a transaction takes place, a comprehensive record of the transaction is appended to the ledger of every member involved.