What is BLOCKCHAIN?

 

What is Blockchain
What is Blockchain

The subject has already been taken as headlines for major newspapers and portals around the world. The criptomoedas came with everything and the Bitcoins are the head of the theme of the moment. However, though all your excitement is not easy, there are no people around you how this universe works.

Doubts such as “what is Bitcoin’s quotation today” and “how to buy Bitcoins” are currently answered. The common deception is Bitcoin and blockchain are synonyms. In fact, it is not you and you will understand the difference between the words soon over this article.

We have already pointed out that the relation between them can be compared to the appearance of writing. The Sumerians began writing to count money. However, as we see today, writing is used for purposes other than mathematics.

In the case of Bitcoin and blockchain, the idea is the same:

The blockchain is a kind of database in which the Bitcoins negotiations are recorded. But blockchain technology does not necessarily come down to the purchase or sale of Bitcoins or other crypto-coins.

What is Blockchain and how does it work?

Understand the relationship between Bitcoin and Blockchain
Before you understand the technology behind one of the most desired crypto-coins in the world, you need to understand what Bitcoin is.

It is believed that Bitcoin was developed by Satoshi Nakamoto in 2009 and this is basically all that is known about its creator. There are those who believe that Sakamoto is not one person, but several. And even those who prefer to believe that, in fact, the idea came from a group of companies.

In the end, the true story about the creator of the cryptomania is still a mystery. But the most important thing is to understand that this name is linked to the creation of a code that supports the whole Bitcoin system as we know it today.

Can you tell which is the difference that makes this coin so irreverent?

If you thought of the digital word, you got it right. The big balcony on the Bitcoins is that they are not found in physical wallets, in the form of notes or coins. They only exist virtually.

This means that to store your Bitcoins, you do not have to put your hand in your pocket. Information about how much you have can be stored on a hardware or even on the phone. That is, in a virtual wallet, which some already call the Bitcoin portfolio.

Another difference of Bitcoins is that they are decentralized, that is, they have no link with any government, company or bank. Designed to be an alternative economic system, everything is controlled and verified by the users themselves through blockchain technology.

Blockchain: What is it?

Now we come to the central theme of this article: what is blockchain. It is a kind of database, where all the information about Bitcoins transactions is stored. The cool thing is that this great file is accessible to all users.

That way, you can access this database through your computer and see a negotiation that took place between two people: one in China and another in Germany, for example.

The details about who are involved is not possible to know, because everything is encrypted. But you know that the transaction has taken place and that it is recorded in the blockchain forever.

And we speak forever in the literal sense. After all, you can not undo or change a transaction after it has been inserted into the system. That is, you can not go back if you have regretted selling your Bitcoins. Is it clearer now what is blockchain?

Briefly: blockchain is a chain of blocks, hence the name, which are part of a collective registration system. This means that the information is not stored in one place, because instead of being stored on a single computer, all information in the blockchain is distributed among the various computers connected to it.

Now that you know what it is, what about moving on and understanding how this technology works?