Blockchain And Cryptocurrency
The transaction is broadcasted in the network only if the miners confirm it. Once the transaction gets confirmed after a specific period of time, it will not be forgeable and will be known by the whole network. The transaction once get confirmed, it will not get reversed, and it will become a part of a blockchain. That is the reason why confirmation is the most important part of cryptocurrencies.
There are miners in the network who confirm the network. Once the miners confirm the transaction,every node adds them in its own database which is the part of the Blockchain. Satoshi declared one rule that miners will get qualify for this task after investing some work in their computers. They have to find a product hash of cryptographic function which will connect the new block with its predecessor.
It is known as Proof-of-Work which is based on the SHA 256 Hash algorithm in Bitcoin. You only need to remember that the SHA 256 Hash algorithm is the basis of the cryptologic puzzle which the miners complete to solve. Once the miner solves it, he can add it to the blockchain. Well, miners can create bitcoins after solving the cryptologic puzzle only.You can find more about this on BTC Loophole.
Entries in decentralized consensus databases about tokens are the real cryptocurrencies. The strong cryptography secures the census keeping process which the reason of the name cryptocurrency. Cryptography built the cryptocurrency and only secured by math.
So, guys, I hope now you have understood the concept of cryptocurrency. Well, now I will apprise you about the common set of properties which most of the cryptocurrencies share.
Fast and Global: Transactions get promulgated and confirmed within a couple of minutes.
Pseudonymous: The Bitcoins you receive have not a particular or real address, so no transaction or account is connected to the real world identity. Though you can analyze the transaction flow, you cannot connect them to the real world address.
Permissionless: Whenever you want to use the cryptocurrencies, you can download the software for free without any permission. You can share the cryptocurrencies after installing the software without any permission or confirmation.
Irreversible: You cannot reverse the transaction once it gets confirmed.
Secure: The public key cryptography system locks the cryptography funds. Cryptocurrency can be shared only by the owner of the private key which is an unbreakable scheme because of the strong cryptography.
Controlled supply: There is a schedule written in the code through which cryptocurrencies can control the supply of the code.
No Debt but Bearer: Debt is the fiat money in your account and the amount mentioned in your ledger.
So, it is all about the blockchain and the cryptocurrencies and properties of the cryptocurrencies. So, download the software and share the cryptocurrencies because as I said above that there is no boundation and no permission required. Contact for any queries. Thank You.
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