Blockchain Technology: Here is What You Need to Know in 2020

Are you familiar with bitcoin, as well as the blockchain technology? This has been one of the most talked-about topics in 2018, but it has also been getting loads of attention in the last two to three months.

If you are a newbie when it comes to cryptocurrencies, you will appreciate this article! Here, we will teach you all the basics regarding the crypto world that are highly talked about in 2020! Keep on reading and dive into the world of blockchain technology!

What is blockchain?

Blockchain is one specific type of technology that enables the existence of cryptocurrency. The most-known currency is Bitcoin. Your blockchain will decentralize all transactions across the peer-to-peer network. You will easily confirm your transactions without needing to confirm your authority.

Crypto-news-flash.com will help you stay up to date with all the latest terms + they will simplify the cryptocurrency world for you! Their site is easy to navigate as well, especially if you want someone who is reliable and straightforward!

Source: Entrepreneur

Why use blockchain, what are its other benefits?

You can also look at blockchain from another (business) perspective. People love to use it because of its next-generation software. It is also quite often used in some companies because of its practicality towards the business process, as well as the business side of every company. It can help with clearing and settlement, as well as insurance.

How does blockchain work?

Different blocks are stored and held together. In order for it to work, 4 things have to happen:

  • Everything begins with a transaction. This purchase or a transaction will be packaged in the block along with other information.
  • After that, your transaction is verified. This is done with the help of high-speed computers that operate 24/7.
  • Later, the transaction is stored in a block. Once accurate and good to go, it will get a green light. Your dollar amount, your signature, as well as the Amazon’s digital signature will be placed in one block.
  • Last, but not least, your block will need a hash. It will end up with its code which is also known as a hash. Once hashed it will be added to the blockchain.

Once done, the block will become publicly available for anyone to view.

Source: Maruti Techlabs

So, is blockchain private?

It may be a bit confusing to understand this at first, but blockchain can be viewed by anyone. However, this shouldn’t worry you a lot. Why? Well, each computer in the chain has its own copy of that blockchain. This means that you can have millions of copies of the identical chain. This makes its operation & handling a bit harder for humans, but it is a piece of cake for the computer.

Hypothetically speaking, a hacker would need to manipulate every copy that there is on the network.

What else should you know about blockchain?

Our digitalized world is constantly expanding, changing, as well as developing. The blockchain technology stores all of your records in secure places that are also known as chains (or blocks, hence the name).

A blockchain will allow you to create different back-up options where your records are updated every day by nodes in a network.

Source: DevOps.com

What does the blockchain have to do with Bitcoin in particular?

Bitcoin is crypto & digital currency, as you probably know it by now. It has been around since 2009, but it became very well known, talked about as well as used & popular in 2018. It helps people with lower transaction fees + it is not controlled by one person, but it is run by a decentralized authority.

There are loads of different nodes that run the program and they store it in a blockchain (a huge collection of blocks). Each block will have its own multiple transactions that can be seen by all the computers, as we’ve previously mentioned. It is an amazing storing unit, to explain in a few simple words, that you will love if you have bitcoins!

What about the bitcoin mining process, as well as the development of the network?

Since Bitcoin was popular in 2018 & through 2019, a lot of people are wondering what to do with it now. The Coronavirus has had its impact on the global economy and figuring out if mining is still for you may be a bit tricky to some people.

It is not a trendy topic, and a lot of us are not too sure if it has a bright future.

Well, Bitcoin has around 10,000 nodes and this number is rapidly growing. Your balance is saved with the help of private keys which are all connected by a mathematical encryption algorithm.

Source: The Conversation

You can use this key number and send or receive funds in your online wallet, also known as the Bitcoin wallet.

Fun fact: Did you know that there are over 21 million Bitcoins in use, and about 3 million Bitcoins are being mined as you read this? It is insane! So, you might want to give it a go, even in 2020!

What else should you know about Bitcoin mining?

In this process, the Bitcoins are circulated and released while being ready for use. They are also done by miners.

When it comes to producing new bitcoins, miners are given a point for every 10 minutes in the form of Bitcoins.

Every transaction is stored in a block (chain block) and once properly stored they are considered as secure transactions.

Last, but not least, the higher the number of miners – the more security you will have over your units!

Source: unsplash.com

Ready to enjoy this process?

So, are you ready to experience the mining world, as well as the world of bitcoin & chain blocks? This process may interest you if you are passionate about cryptocurrencies. Who knows, maybe the year 2020 is the right one for you to explore & indulge in this world! According to some data – you will not go wrong by continuing to mine!

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