Blockchain Working Explained for Beginners with Real Applications
Blockchain-the future of security
Blockchain is a trending technology. There are many reasons why blockchain technology is trending nowadays.
In this article, you will get a clear idea about Blockchain working for beginners, what things can be implemented using blockchain, and also the job opportunities.
Before getting started with blockchain, we must understand how our data is stored and transferred through the internet.
For example, In Google, user data is stored in a centralized server that is Google server. If a user accesses the data or uses the service of Google, a request is sent to the Google server, and information is received to our device. If a hacker attacks the main server, the service gets affected to overcome this problem blockchain technology was introduced in 1991.
Today, it has become one of the trending technologies in the world.
How does blockchain work?
Let’s discuss, how the blockchain works. The word tells, it is a group of blocks connected by a chain.
The analogy for sake of simplicity [for beginners]:
To understand blockchain we consider this example. Train compartments are attached one by one. If you want to remove the fifth compartment of a train, you need to move the compartments in front or compartments in the back. It sounds like a difficult task.
A block contains three segments of the hash value, data, and the hash value of the previous block. If a block is created it takes the previous hash values of the block.
The beauty of the blockchain is its distribution network in which thousands of people are connected in a network and verify the hash value of each block.
How blockchain is secure?
If a hacker hacks a block, the hash value gets changed. If users inside the network verify the hash value, it does not get matched with the previous hash value.
To hack a particular data the hacker needs to modify all the blocks in the network, which becomes a tedious process.
How hash is generated?
Now you may get a doubt how the hash value is generated. The blockchain algorithm creates a hash value that is similar to a fingerprint; each block will have a unique hash value; this process is known as proof of work.
This makes the blockchain very secure by allowing user inside the blockchain network to verify each block after getting verified the block is added into the blockchain.
Read more about blockchain security in detail.
Real Applications of Blockchain
- Walmart a multinational retail corporation uses blockchain technology to deliver goods and replaces the goods if any e-defects are found. Since blockchain technology provides the highest level of security it is easy to track the goods and their replacements.
- Bitcoin is a cryptocurrency, which works based on blockchain technology.
Blockchain Job Opportunities
Now let’s see job opportunities,
- Core Blockchain Developer
- Blockchain Application Developer
- Project Manager for Blockchain
- Blockchain Quality Engineer
In the future, blockchain will play a major role in improving security. Due to the highest security of the blockchain, it can be used in banking, e-commerce companies, voting, etc.
This is all about Blockchain working for beginners. If you have any doubt, let me know in the comment.