What is Blockchain Technology?
Blockchain technology is a decentralized and distributed digital ledger system that records transactions across multiple computers in a secure, transparent, and immutable manner. Unlike traditional databases, a blockchain does not rely on a central authority, which makes it resistant to manipulation and fraud.
Each block in a blockchain contains a list of transactions, a timestamp, and a cryptographic hash of the previous block, forming a secure chain. This architecture ensures that once data is recorded, it cannot be altered without consensus from the network, providing a high level of security.
Blockchain technology is the backbone of cryptocurrencies, enabling peer-to-peer transactions without intermediaries like banks. This innovation has paved the way for various applications beyond digital currencies, including smart contracts, supply chain management, and identity verification.
In summary, blockchain technology is a groundbreaking advancement in the field of digital transactions, promoting transparency, efficiency, and security in the ever-evolving technological landscape.