As a distributed ledgerA ledger is a database that stores recorded data; a distributed ledger synchronizes that data across a network of nodes.... technology (DLT), a blockchain is a digital ledgerA digital ledger is an online record of transactions. The digital ledger tracks financial or other data. that can create an immutable recordAn immutable record is a digital record that cannot be changed or deleted. Immutable records are used in blockchain technology... of transactions. A blockchain typically stores data linearly and chronologically across multiple computers. This structure allows for increased security and immutability since it would be difficult for a person or entity to tamper with the data. For example, the Bitcoin blockchainThe Bitcoin blockchain is a shared public ledger that records all bitcoin transactions. It is constantly growing as "completed" blocks... is a decentralizedDecentralization, an aspect of blockchain technology, facilitates power or authority distribution among individuals, groups, or institutions. A decentralized structure allows..., public ledger that contains transactional information. Users can verify that transactions have occurred simply by looking at the publicly available data on the BitcoinBitcoin is a cryptocurrency. It operates without the need for a central authority like a central bank or a company,... blockchain networkA blockchain network is a decentralized system that allows for peer-to-peer transactions. The main components of a blockchain network are.... Adding new transactions to the chainA chain is a linear sequence of data blocks. Each block contains a cryptographic hash of the previous block and... employ a hashA hash is a fixed-length code representing any length of words, messages, or data generated by a hashing algorithm. In... function, timestamp and digital signatureA digital signature is a cryptographic mechanism designed to provide proof of authority and authenticity in electronic form. In blockchain..., linking the transactions together and makes it difficult to modify data. As a result, blockchains ensure the accuracy and integrity of the chain.
