Blockchain:
The blockchain is essentially a decentralized distributed database, which can realize distributed recording and distributed storage of data information. Blockchain is a data structure that combines blocks in a chain manner. Chain technology uses cryptography to generate a set of time-critical, non-tamperable, and trustworthy databases. This database is decentralized and data security can be effectively guaranteed, enabling participants to record transactions across the network. The order of events and the current state establish a consensus.
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Blockchain technology:
Blockchain technology is a generalization of technologies that collectively maintain a reliable database through decentralization and de-trust. Blockchain technology is not a single, completely new technology, but the result of the integration of multiple existing technologies (such as encryption algorithms, P2P file transfers, etc.), which are skillfully combined with databases to form a New ways of recording, delivering, storing, and presenting data. Simply put, blockchain technology is a technology in which all members participate in recording information and storing information.
Blockchain classification:
Blockchains are currently divided into three categories: public blockchains, alliance blockchains, and private blockchains.
Public blockchain: The public chain is a decentralized distributed blockchain in the true sense. System security is guaranteed by workload proof or equity proof mechanism. It is easy to deploy applications, accessible globally, and does not depend on singles. This company or jurisdiction. Public chain participants tend to be anonymous, and any participant can write, read, and participate in transaction verification. The Bitcoin blockchain is the best representative of the public chain.
Alliance blockchain: The alliance chain adopts a multi-centered type, and the participating members are set in advance according to certain characteristics (for example, market participants in Nasdaq, strategists of various brokers, etc.). The nodes that confirm the transactions in the system are generally set in advance and confirmed by the consensus mechanism. Virtual digital currencies can choose to be anonymous or non-anonymous depending on the level of trust within the chain and the level of related demand. The alliance chain is easy to set control permissions, has higher application scalability, and has great application value for cross-industry or cross-country clearing, settlement, auditing, etc. The alliance chain can greatly reduce the cost and time of settlement in different places. It is simpler and more efficient than the existing system. At the same time, it inherits the advantages of decentralization and reduces the pressure of monopoly.
Private blockchain: Private chains are not decentralized, but have a distributed nature. The central controller specifies the range of members that can participate in and conduct transaction verification. For members in the private chain, the system does not need virtual currency to provide rewards. The private chain is of great value to the internal government audit testing and the settlement of transactions with banking institutions within the alliance.
Blockchain characteristics:
Since the blockchain records all transactions from the Genesis block in the block and the resulting data records cannot be tampered with, the value exchange activities between any two parties can be tracked and queried. This completely transparent data management system is not only impeccable from a legal perspective, but also provides a trusted tracking shortcut for existing logistics tracking, operational logging, auditing and auditing.
Decentralization: The blockchain is a public account book maintained by each miner node and stored in various decentralized nodes around the world, because each node and miner must follow the same accounting rules, and the rule Based on cryptographic algorithms rather than credit, and each transaction requires approval from other users in the network, there is no need for a third-party intermediary structure (such as a bank) or a trustee endorsement. In a traditional centralized network, an effective attack on a central node (such as a payment intermediary third party) can destroy the entire system. In a decentralized network such as a blockchain, attacking a single node cannot control or destroy. The entire network, mastering 50% of the nodes in the network is only the beginning of control.
No need to trust the system: In the blockchain network, through the self-discipline of the algorithm, the behavior of any malicious deception system will be rejected and suppressed by other nodes, so it does not rely on the support of the central authority and credit endorsement. In the traditional credit endorsement network system, participants need to have sufficient trust for the central organization. As the number of participating networks increases, the security of the system decreases. In contrast, in a blockchain network, participants do not need to trust anyone, but as the number of participating nodes increases, the security of the system increases, and the data content can be fully disclosed.
Non-tamperable and cryptographic security: The blockchain adopts a one-way hashing algorithm, and each newly generated block is pushed in strict chronological order. The irreversibility of time causes any attempt to invade the data information in the tamper blockchain. It is easy to be traced, leading to rejection by other nodes, thus limiting the generation and implementation of related illegal activities.
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