The blockchain and blockchain related topics are becoming increasingly discussed and studied nowadays. There is not one single day where I don't hear about it, that being on linkedin or elsewhere.
I interested myself deeply in the blockchain topic recently and this is the first article of a coming whole serie around the blockchain.
This presentation is an introduction to the blockchain, presents what it is in the light of its initial deployment in the Bitcoin project as well as all technical details and architecture concerns behind it.
We won't focus here on business applications aside from what is required to present the blockchain purpose, more concrete business applications and evolutions will be the topic of another presentation I'll post in a few weeks
This course covers in detail the technical principles & concepts behind blockchain. In addition, it seeks to provide you with the insights and deep understanding of the various components of blockchain technology, and enables you to determine for yourself how to best leverage and exploit blockchain for your project, organisation or start-up.
Link - https://www.experfy.com/training/courses/blockchain-technology-fundamentals
***** Blockchain Training : https://www.edureka.co/blockchain-training *****
This Edureka video on "Blockchain Explained" is to guide you through the fundamentals of the new revolutionary technology called Blockchain and its defining concepts. Below are the topics covered in this tutorial:
1. History of blockchain
2. What is Blockchain
3. Traditional Transaction vs Blockchain
4. How Blockchain Works
5. Benefits of Blockchain
6. Blockchain Transaction Demo
Here is the link to the Blockchain blog series: https://goo.gl/DPoAHR
You can also refer this playlist on Blockchain: https://goo.gl/V5iayd
An introduction to Blockchain and covering :
-Blockchain vs cryptocurrency
-Bitcoin vs Ethereum
-Real life and industrial examples
-Business example
-Benefits & challenges
Blockchain is a system of recording information in a way that makes it difficult or impossible to change, hack, or cheat the system. A blockchain is essentially a digital ledger of transactions that is duplicated and distributed across the entire network of computer systems on the blockchain.
This course covers in detail the technical principles & concepts behind blockchain. In addition, it seeks to provide you with the insights and deep understanding of the various components of blockchain technology, and enables you to determine for yourself how to best leverage and exploit blockchain for your project, organisation or start-up.
Link - https://www.experfy.com/training/courses/blockchain-technology-fundamentals
***** Blockchain Training : https://www.edureka.co/blockchain-training *****
This Edureka video on "Blockchain Explained" is to guide you through the fundamentals of the new revolutionary technology called Blockchain and its defining concepts. Below are the topics covered in this tutorial:
1. History of blockchain
2. What is Blockchain
3. Traditional Transaction vs Blockchain
4. How Blockchain Works
5. Benefits of Blockchain
6. Blockchain Transaction Demo
Here is the link to the Blockchain blog series: https://goo.gl/DPoAHR
You can also refer this playlist on Blockchain: https://goo.gl/V5iayd
An introduction to Blockchain and covering :
-Blockchain vs cryptocurrency
-Bitcoin vs Ethereum
-Real life and industrial examples
-Business example
-Benefits & challenges
Blockchain is a system of recording information in a way that makes it difficult or impossible to change, hack, or cheat the system. A blockchain is essentially a digital ledger of transactions that is duplicated and distributed across the entire network of computer systems on the blockchain.
Apart from Proof of Work there are many other Consensus Mechanisms being discussed. What are they and what are their pros and cons. (Proof of Stake, Proof of Elapsed Time, Proof of Authority, Proof of Burn, Proof of Authority, Byzantine Fault Tolerance, Proof of Importance)
Ethereum is an open software platform based on blockchain technology that enables developers to
build and deploy decentralized applications.
Ethereum is a distributed public blockchain network.
While the Bitcoin blockchain is used to track ownership of digital currency (bitcoins), the Ethereum
blockchain focuses on running the programming code of any decentralized application.
Ether is a cryptocurrency whose blockchain is generated by the Ethereum platform. Ether can be
transferred between accounts and used to compensate participant mining nodes for computations
performed.
Understanding Proof of Work (PoW) and Proof of Stake (PoS) AlgorithmsGautam Anand
We will focus on understanding "Proof of Stake (PoS)" Algorithm, how it different from "Proof of Work" algorithm, the performance benefits and security overview. We will also discuss the upcoming blockchain protocols that are planning to move to PoS.
Presentation on blockchains for Webbdagarna in Gothenburg, Sweden and for BISS (Brightlands Smart Services Campus) in Heerlen, the Netherlands in September 2016
Blockchain Overview, What is Blockchain, Why Blockchain, How Blockchain will change the world, concepts of Blockchain are explained like Consensus, Distributed Ledger, Blockchain use cases and more
This is a presentation that the CEO of HyperTrends Global Inc. Anup Marwadi (https://www.hypertrends.com) gave to the San Diego's RMA Chapter (https://www.sandiegorma.org/product/san-diego-chapter-dinner-01092019/).
In this presentation, Anup goes over the fundamentals of Blockchain, Hashing, Cryptocurrencies as well as various different applications of the Blockchain as it pertains to the banking sector.
Feel free to share this around.
This Edureka Blockchain 101 Training will give you a complete fundamental understanding regrading Blockchain and Bitcoin. You will learn following topics:
1. What is Blockchain?
2. Blockchain concepts
3. Hyperledger
4. Blockchain Use Case
5. Blockchain in the Industry
6. Solidity programming
7. Demo: Smart Contracts
Blockchain: The Information Technology of the FutureMelanie Swan
The blockchain concept may be one of the most transformative ideas to impact the world since the Internet. Cryptocurrencies like bitcoin are merely one application of the blockchain concept. The blockchain is a public transaction ledger built in a decentralized network structure based on cryptographic principles so that any kind of trading, buying and selling of assets does not need to go through a centralized intermediary. Any kind of asset may be encoded into the blockchain and transacted, validated, or preserved in a much more efficient manner than at present including ideas, health data, financial assets, automobiles, and government documents. Venture Capitalists are calling the blockchain the next big investment wave.
Bitcoin and Blockchain Technology Explained: Not just Cryptocurrencies, Econo...Melanie Swan
The blockchain concept may be one of the most transformative ideas to impact the world since the Internet. It represents a new organizing paradigm for all activity and integrates humans and technology. Cryptocurrencies like bitcoin are merely one application of the blockchain concept. The blockchain is a public transaction ledger built in a network structure based on cryptographic principles so there does not need to be a centralized intermediary. Any kind of asset (art, car, home, financial contract) may be encoded into the blockchain and transacted, validated, or preserved in a much more efficient manner than at present including ideas, health data, financial assets, automobiles, and government documents. Blockchain technology applies well beyond cryptocurrencies, economics, and markets to all venues of human information processing, collaboration, and interaction including art, health, and literacy.
Apart from Proof of Work there are many other Consensus Mechanisms being discussed. What are they and what are their pros and cons. (Proof of Stake, Proof of Elapsed Time, Proof of Authority, Proof of Burn, Proof of Authority, Byzantine Fault Tolerance, Proof of Importance)
Ethereum is an open software platform based on blockchain technology that enables developers to
build and deploy decentralized applications.
Ethereum is a distributed public blockchain network.
While the Bitcoin blockchain is used to track ownership of digital currency (bitcoins), the Ethereum
blockchain focuses on running the programming code of any decentralized application.
Ether is a cryptocurrency whose blockchain is generated by the Ethereum platform. Ether can be
transferred between accounts and used to compensate participant mining nodes for computations
performed.
Understanding Proof of Work (PoW) and Proof of Stake (PoS) AlgorithmsGautam Anand
We will focus on understanding "Proof of Stake (PoS)" Algorithm, how it different from "Proof of Work" algorithm, the performance benefits and security overview. We will also discuss the upcoming blockchain protocols that are planning to move to PoS.
Presentation on blockchains for Webbdagarna in Gothenburg, Sweden and for BISS (Brightlands Smart Services Campus) in Heerlen, the Netherlands in September 2016
Blockchain Overview, What is Blockchain, Why Blockchain, How Blockchain will change the world, concepts of Blockchain are explained like Consensus, Distributed Ledger, Blockchain use cases and more
This is a presentation that the CEO of HyperTrends Global Inc. Anup Marwadi (https://www.hypertrends.com) gave to the San Diego's RMA Chapter (https://www.sandiegorma.org/product/san-diego-chapter-dinner-01092019/).
In this presentation, Anup goes over the fundamentals of Blockchain, Hashing, Cryptocurrencies as well as various different applications of the Blockchain as it pertains to the banking sector.
Feel free to share this around.
This Edureka Blockchain 101 Training will give you a complete fundamental understanding regrading Blockchain and Bitcoin. You will learn following topics:
1. What is Blockchain?
2. Blockchain concepts
3. Hyperledger
4. Blockchain Use Case
5. Blockchain in the Industry
6. Solidity programming
7. Demo: Smart Contracts
Blockchain: The Information Technology of the FutureMelanie Swan
The blockchain concept may be one of the most transformative ideas to impact the world since the Internet. Cryptocurrencies like bitcoin are merely one application of the blockchain concept. The blockchain is a public transaction ledger built in a decentralized network structure based on cryptographic principles so that any kind of trading, buying and selling of assets does not need to go through a centralized intermediary. Any kind of asset may be encoded into the blockchain and transacted, validated, or preserved in a much more efficient manner than at present including ideas, health data, financial assets, automobiles, and government documents. Venture Capitalists are calling the blockchain the next big investment wave.
Bitcoin and Blockchain Technology Explained: Not just Cryptocurrencies, Econo...Melanie Swan
The blockchain concept may be one of the most transformative ideas to impact the world since the Internet. It represents a new organizing paradigm for all activity and integrates humans and technology. Cryptocurrencies like bitcoin are merely one application of the blockchain concept. The blockchain is a public transaction ledger built in a network structure based on cryptographic principles so there does not need to be a centralized intermediary. Any kind of asset (art, car, home, financial contract) may be encoded into the blockchain and transacted, validated, or preserved in a much more efficient manner than at present including ideas, health data, financial assets, automobiles, and government documents. Blockchain technology applies well beyond cryptocurrencies, economics, and markets to all venues of human information processing, collaboration, and interaction including art, health, and literacy.
Block chain 101 what it is, why it mattersPaul Brody
The Blockchain is an important new technology, but it is shrouded in mystery: what does it do? Why is it such a big deal? How is it related to bitcoin? In this short presentation (with attached video), I attempt to answer those questions.
There are new and emerging opportunities for organisations in all sectors to create and deliver compelling services for their customers using the power of disruptive innovation. As organisations formulate their plans for the coming months, this paper aims to help business and public sector leaders understand the cultural and organisational challenges that are inevitably brought by the use of blockchain technologies, and provides them with the insights they need to overcome them.
More info: https://blockchainhub.net/
Currently there is a lot of hype going on around blockchain ICOs. This Slide deck will help you ask the right questions.
For more info check out blockchainhub.net. If you are new to cryptocurrency, you will need to understand some basic facts about storing and securing your money. Coins like Bitcoin are stored in the so-called “wallets”. This tutorial will guide you through the first steps of purchasing cryptocurrency.
More info: https://blockchainhub.net/
Blockchain for Beginners: blockchains are the basis for auto enforceable smart contracts and dApps (decetralized applicatons).
More info: https://blockchainhub.net/
Blockchain for Beginners: Blockchain history, state of development, outlook & current challenges #bitcoin #ethereum #smartcontracts
More info: https://blockchainhub.net/
Ethereum for Beginners: History of the Blockchain & Ethereum, Components, Outlook, Web 3.0, Serverless, Decetralized Universal World Computer
Presented at the international Chamber of Commerce, Rome, November 10
An introduction to blockchain and bitcoin for those naively thinking about blockchain without bitcoin
In his presentation at Blockchain Vlaanderen, Sam Wouters explained why the Blockchain exists, how it works and what can be done with it.
Interested in learning more? Check out my website or book me as a speaker: http://samwouters.com/
Twitter: https://twitter.com/SDWouters
LinkedIn: https://www.linkedin.com/in/samwouters
CoinDesk reveals the key trends, challenges, and opportunities for bitcoin and blockchain technology in 2016.
Reports are available to download for those who are signed up to our research list.
Sign up here: http://www.coindesk.com/newsletter/
Buy our research on the banks and the blockchain here: http://www.coindesk.com/research/banks-blockchain-report/
Get in touch via research@coindesk.com if you'd like to partner with research in the future.
Email=Bitcoin
@=$
History of the internet of information and blockchain, the internet of value.
오늘날의 비트코인은 인터넷 태동기의 이메일과 같습니다.
이메일이 현재의 인터넷으로 발전한 것 처럼 비트코인은 제 2의 인터넷으로 발전할 것입니다.
In this case study, we are providing information about the Introduction of Blockchain Technology, Bitcoin and its environment setup, Ethereum coin, other cryptocurrencies, Bitcoin in education, and a case study of healthcare using blockchain.
Bitcoin and blockchain are not the same things, although they are related in that blockchain technology was first described and implemented in Bitcoin. Learn More about Blockchain:
A Primer on Blockchain and its Potential, with a Focus on the GCCZeyad T. Al Mudhaf
During my summer internship at BECO Capital, a technology-focused Venture Capital firm based in Dubai, I put together this primer on blockchain that demystifies this hyped up technology, covers key investment trends in the space both globally and regionally within the GCC*, and highlights both the barriers and enablers for wider blockchain adoption in the region. *The GCC is the Gulf Cooperation Council - comprised of the United Arab Emirates, Saudi Arabia, Kuwait, Bahrain, Qatar, and Oman.
Blockchain: The Invisible Technology – How We Build a BlockchainPriyAnshu Bansal
Blockchain isn’t a household buzzword, like the cloud or the Internet of Things. It’s not an in-your-face innovation you can see and touch as easily as a smartphone or a package from Amazon. But in a world where anyone can edit a Wikipedia entry, blockchain is the answer to a question we’ve been asking since … More Blockchain: The Invisible Technology – How We Build a Blockchain-Based World
Blockchain Facts_What Is It, How IT Works and How Can It Be Used.pdfHarry977415
An Article detailing what a blockchain is, how it works and how it can be used ,it has some general information Regarding uses , area it is found and information on the pros and cons.
Report on Bitcoin- The cryptocurrency (November 2017)AJSH & Co LLP
•What is a Bitcoin?
•Understanding the basics
•How a blockchain works
•Bitcoin- Good or Bad?
•How to obtain a Bitcoin?
•Acceptability of Bitcoin around the world
•Other Cryptocurrencies
•Investing in Bitcoin
This report discuss about Bitcoin and cryptocurrencies - Understanding, Acceptability and Risks
AJSH & Co. have tremendous experience in the field of chartered accounting and have worked with chartered accounting giants in India and abroad. Please feel free to email our team at E: ankit@ajsh.in , siddhartha@ajsh.in also reachable on Direct numbers +91-98106 61322, +91-9811325395. For more information visit our website:- http://www.ajsh.in .
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3. 3
INITIAL DEFINITION
The blockchain is the technology running the bitcoin.
Some Definitions
WIKIPEDIA DEFINITION
A blockchain is a distributed database that maintains a continuously-
growing list of records called blocks secured from tampering and revision.
MY DEFINITION
The blockchain is a secured protocol enabling peer-to-peer exchanges on a
distributed network in a secured, public and non-repudiable way.
4. 4
A tiny little bit of history
Architecture and principle first designed
for Bitcoin
A solution to make the database both
secured and widely distributed
Actually the main innovation of the
Bitcoin
Conceived in 2008 and implemented in
2009
Satoshi Nakamoto
As of 2014 : “Blockchain 2.0”
Evolution over the initial blockchain
From simple transactions to actual
Software Programs
From simply a distributed transaction
ledger to a globally decentralized, un-
ownable, digital computer
5. 5
Introduction Example
Bob is an online web
surfer and is looking for
a suite. He wants to buy
it online.
Sally runs an online
shop and sells clothes.
15. 15
The financial system is opaque and lacks transparency and fairness.
All these intermediates are no volunteers. They work for money and get paid for
their services.
The transaction costs money to both the buyer and the seller.
There are interest rates, fees, surcharges, etc.
EFTs in Europe can cost 25 euros.
Credit transactions can cost several percent of the transaction.
All these exchanges are error prone.
Credit card informations are often stolen.
Banks make mistakes.
An account holder is eventually not even the actual owner of his account.
The bank really owns the account.
Funds can be garnished, even frozen completely.
Banks and other payment processors like PayPal, Visa, and Mastercard may refuse to
process payments for certain legal entities.
Financial exchanges are slow.
Checking and low cost wire services take days to complete.
The problems with this model
16. 16
A clearing house
is a financial institution that provides clearing and settlement services for financial
and commodities derivatives and securities transactions
stands between two clearing participants / firms (banks)
reduces the risk of one (or more) clearing firm failing to honor its trade settlement
obligations.
It nets offsetting transactions between multiple counterparties.
Clearing House
17. 17
Clearing House (1)
Buyers and sellers use intermediaries because they may not trust the other
party, but they trust that the intermediary will assure the transaction is
completed faithfully. This is the fundamental role of a clearing house
19. 19
When one bank sends money to another, no physical currency changes hands.
Banks and settlement systems use central electronic ledgers to track assets.
But such central ledgers - or clearing houses - can be slow and inefficient, often
relying on faxes or manual input.
That not only wastes time but racks up fees.
The system is also open to hacking and fraud.
These central institutions gets fees to cover such risks of course as well as
many other services. The price is high
It prevents, for instance, micro-payments services who are not able to support the
charge asked by these central structures.
The problems with Clearing Houses
20. 20
Distributed Ledgers
OTHER DEFINITION
A blockchain is a type of distributed ledger, comprised of unchangeable,
digitally recorded data in packages called blocks.
A distributed ledger (also called shared ledger) is a consensus of replicated,
shared, and synchronized digital data geographically spread across multiple
sites, countries, and/or institutions.
Every node in the decentralized system has a copy of the ledger.
No centralized "official" copy exists and no user is "trusted" more than any other.
23. 23
Blockchain overview (1)
The blockchain itself is a list of blocks.
These digitally recorded "blocks" of data are stored in a linear chain.
Each block in the chain contains data (e.g. bitcoin transaction) and is
cryptographically hashed.
Each block includes the hash of the prior block in the blockchain, linking the
two, ensuring all data in the overall "blockchain" has not been tampered with and
remains unchanged.
This has the effect of creating a chain of blocks from the genesis block to the
current block.
Each block is guaranteed to come after the previous block chronologically because the
previous block's hash would otherwise not be known.
24. 24
Blockchain overview (2)
The blockchain network is a peer-to-peer network of independent nodes
communicating together by message broadcasting.
A node is not necessarily connected to every other node, but at least some of
them.
26. 26
Blockchain principle (1)
The operation principle of is pretty straightforward to understand. We’ll illustrate it
her on the Bitcoin blockchain.
Principle is as follows :
1. A user wants to pay another user some bitcoins, he broadcasts a transaction to the network.
2. Miners add the transaction as they receive it to their current block, the one they are currently
working on
3. Randomly, one of the miner may win the lottery and "mine" the block (we'll get back to that)
4. At that moment, this new "definitive" block is broadcasted to the network and added to
everyone's copy of the blockchain
32. 32
In order for a block to be accepted by network participants, miners must
complete a proof of work which covers all of the data in the block.
The proof of work is a piece of data which is difficult (costly, time-consuming) to
produce but easy for others to verify and which satisfies certain requirements.
Producing a proof of work can be a random process with low probability so that a lot of
trial and error is required on average before a valid proof of work is generated.
Bitcoin uses the Hashcash proof of work system.
For a block to be valid it must hash to a value less than the current target; this
means that each block indicates that work has been done generating it.
Each block contains the hash of the preceding block, thus each block has a
chain of blocks that together contain a large amount of work.
Changing a block (which can only be done by making a new block containing the
same predecessor) requires regenerating all successors and redoing the work
they contain.
This protects the block chain from tampering.
The amount of successors is relevant when qualifying the validity of a block : at least 6
successors are required to consider a block valid
Proof of Work
39. 39
Blockchain structure
The blockchain data structure is an ordered, back-linked list of blocks of
transactions.
Every block contains a hash of the previous block. This has the effect of creating a
chain of blocks from the genesis block to the current block.
Each block is guaranteed to come after the previous block chronologically because the
previous block's hash would otherwise not be known.
Each block is also computationally impractical to modify once it has been
in the chain for a while because every block after it would also have to be
regenerated.
New transactions are constantly being processes by miners into new blocks
which are added to the end of the chain and can never be changed or removed
once accepted by the network.
40. 40
Block Structure
Each block contains, among other things :
a record of some or all recent transactions,
and
a reference to the block that came
immediately before it.
It also contains an answer to a difficult-to-
solve mathematical puzzle, the hash or
Proof of Work.
41. 41
Mining
In the Bitcoin world, transactions are broadcast to the network by the sender,
and all peers trying to solve blocks collect the transaction records and add them
to the block they are working to solve. This is called Mining.
Mining is the process of adding transaction records to Bitcoin's public ledger of past
transactions. This ledger of past transactions is called the block chain as it is a chain of
blocks.
Mining is intentionally designed to be resource-intensive and difficult so that the
number of blocks found each day by miners remains steady. Individual blocks must
contain a proof of work to be considered valid.
The primary purpose of mining is to allow Bitcoin nodes to reach a secure,
tamper-resistant consensus.
50. 50
The difficulty is the measure of how difficult it is to find a new block compared
to the easiest it can ever be.
It is recalculated every 2016 blocks to a value such that the previous 2016
blocks would have been generated in exactly two weeks had everyone been
mining at this difficulty.
This will yield, on average, one block every ten minutes.
Difficulty Adjustment
59. 59
Mining is also the mechanism used to introduce Bitcoins into the system:
Miners are paid any transaction fees as well as
a "subsidy" of newly created coins.
These both serves the purpose of disseminating new coins in a decentralized
manner as well as motivating people to provide security for the system.
It gives miners incentive to put their computation power at the disposal of the
blockchain network.
Because there is a reward of brand new bitcoins for solving each block, every
block also contains a record of which Bitcoin addresses or scripts are entitled to
receive the reward.
This record is known as a generation transaction (or a coinbase transaction) and is
always the first transaction appearing in every block.
Miner retribution
64. 64
In the specific case of the bitcoin, Satoshi had very soon the idea of limiting the bitcoin supply.
In a centralized economy, currency is issued by a central bank at a rate that is supposed to match the
growth of the amount of goods that are exchanged so that these goods can be traded with stable
prices.
The monetary base is controlled by this central bank.
In the United States, the Fed increases the monetary base by issuing currency, increasing the
amount banks have on reserve, and more recently, printing money electronically in a process called
Quantitative Easing.
In a fully decentralized monetary system, there is no central authority that regulates the monetary
base.
Instead, currency is created by the nodes of a peer-to-peer network.
The Bitcoin generation algorithm defines, in advance, how currency will be created and at what rate.
Any currency that is generated by a malicious user that does not follow the rules will be rejected by
the network and thus is worthless.
Bitcoins are created each time a user discovers a new block.
The rate of block creation is adjusted every 2016 blocks to aim for a constant two week adjustment
period (equivalent to 6 per hour.)
The number of bitcoins generated per block is set to decrease geometrically, with a 50% reduction
every 210,000 blocks, or approximately four years.
The result is that the number of bitcoins in existence is not expected to exceed 21 million.
Speculated justifications for the unintuitive value "21 million" are that it matches a 4-year reward
halving schedule; or the ultimate total number of bitcoins that will be mined is close to the
maximum capacity of a 64-bit floating point number.
Bitcoin limited supply
66. 66
A wallet is basically the Bitcoin equivalent of a bank account. It allows you to
receive bitcoins, store them, and then send them to others.
The name "Bitcoin wallet" is a bit of a misnomer. Bitcoin wallets don't hold actual
Bitcoins, those are essentially stored on the blockchain.
Instead, Bitcoin wallets hold the private keys that give users the right to use those
coins.
Each Bitcoin wallet comes with at least two keys : one public, and one private.
A Bitcoin address, or simply address, is an identifier of 26-35 alphanumeric
characters, beginning with the number 1 or 3, that represents a possible
destination for a bitcoin payment.
Addresses can be generated at no cost by any user of Bitcoin.
Bitcoin Wallet Cryptography
71. 71
A Merkle Tree is a tree constructed by hashing paired data (the leaves), then
pairing and hashing the results until a single hash remains, the merkle root.
The construction of the Merke tree is such that if any single leaf transaction is
changed, all hashes along the branch would be changed and ultimately the
merkle root as well.
This is a key property ensuring security of the blockchain.
Merkle trees in bitcoin use a double SHA-256, the SHA-256 hash of the SHA-
256 hash of something.
Merkle Trees
72. 72
Merkle Tree
This procedure repeats
recursively until we reach a row
consisting of just a single
double-hash.
This is the Merkle root of the
tree.
First from the top row of the tree
with the ordered double-SHA-
256 hashes of the byte streams
of the transactions in the block.
Then the row below it consists of
half that number of hashes.
Each entry is the double-SHA-
256 of the 64-byte concatenation
of the corresponding two hashes
below it in the tree.
73. 73
Replication (1)
Both new transactions and newly mined blocked are broadcasted to the peer-to-
peer network using the Flood Protocol.
79. 79
It's possible for the blockchain to have temporary splits
for instance, if two miners arrive at two different valid solutions for the same block at
the same time, unbeknownst to one another.
The peer-to-peer network is designed to resolve these splits within a short
period of time, so that eventually only one branch of the chain survives.
The client accepts the longest chain of blocks as valid.
The "length" of the entire block chain refers to the chain with the most combined
difficulty, not the one with the most blocks.
This prevents someone from forking the chain and creating a large number of low-
difficulty blocks, and having it accepted by the network as "longest".
Orphaned, Extinct and Staled Blocks
86. 86
The Blockchain 2.0 is an evolution of the blockchain protocol enabling not
only to exchange transaction but rather code and programs in the form of Smart
Contracts
Now developers are allowed to build programs and API's on the Blockchain Protocol.
This relatively new concept involves the development of programs that can be
entrusted with money.
Smart contracts are programs that encode certain conditions and outcomes.
By developing ready to use programs that function on predetermined conditions
between the supplier and the client, smart programs ensure a secure escrow
service in real time at near zero marginal cost
Apart from Financial transactions, smart contracts makes the blockchain
technology entering a whole lot of different industry.
For instance in the Legal System, companies like Empowered Law use the public
distributed ledger of transactions that makes up the Block Chain to provide Multi-
Signature account services for asset protection, estate planning, dispute resolution,
leasing and corporate governance.
91. 91
The Blockchain 2.0 and its applications -
“From Bitcoin Transaction
to Smart Contracts”
- will be the topic of a next article on my blog
and a future presentation