These days we have all come across one of the coolest buzzwords in the IT industry: "The Blockchain". It might seem to be a new magic word in the market that companies spell interest in their businesses. However, the complexity of it is incredibly far-reaching. Blockchain integrates the openness and flexibility of the internet with the security of cryptography to come out with a safer, faster way of verification of information and most importantly establishes trust in this open world. Blockchain was first developed by an anonymous programmer or group of programmers known by a name 'Santoshi Nakamoto'.It was an underlying technology for the Bitcoin, which is used for peer-to-peer transactions. Blockchain at its heart is a list of transactions like a distributed ledger open to all in the network. It stores the data in such a way that it seems virtually impossible to add, update or remove any information stored without the notice of other users in a peer-to-peer network.


How Does Blockchain Work?

Blockchain mainly performs two tasks: collect and order data in blocks- similar to the traditional computer database and then chain them securely using cryptography. Let us take a closer look at each block in this enormous chain,
  • FILLING IN THE BLOCK Data: This is the information which depends on the blockchain if it is a Bitcoin block, and then it contains information about the sender, receiver of the amount and the amount value.
  • SECURING THE CHAIN Hash: It is quite similar to human fingerprint and is unique to each block, once the information of the block changes, the hash changes and the block no longer remain the same as the previous one.
  • LOCKING THE BLOCKS DOWN Hash of the previous block-the hash of one block gives the data for the next block, and this new block uses this hash function and traces of it is woven into the new hash this continues to build an enormous chain.
All participants have a copy of the entire blockchain so that they can identify manipulation. If the hash matches across the chain, everyone knows it is trustworthy. Although blockchain is a new technology, it has been evolving since its inception. This technology has the ability to completely transform the way everyone works together: businesses, governments, and individuals. It promises a simple, secure, and paperless way to establish trust for virtual money, product, and other secret information transactions all over the world.


Blockchain is one of the technologies that have gained popularity from its very birth, and now it is being used in many fields. In financial markets, trade is very dynamic where there is the exchange of money, assets involving multiple banks; this may lead to unexpected errors. To reduce this bottleneck blockchain came up with the idea of smart contracts which is a small computer program that describes the transactions step by step combining multiple blockchains, multiple assets and executes the transactions securely. Blockchain can keep track of many commercial transactions and efficiently hold sensitive information. A digital id via blockchain secures the data stored and can be used worldwide in your fingertips. Blockchain can be very handy in monitoring the supply chain in food and manufacturing industries by removing paper-based trails and also removing intermediaries between producers to customers. Not just the above applications it is used in many more places and has changed, is going to change the world around us. Although it is a new technology, it has the potential to revolutionize everything that exists now. As a coin has two sides, blockchain technology has flaws because it can eliminate middlemen in a variety of businesses. Blockchain has established a firm foothold in the new world's soils, and the swarm of transformation has already begun. It is the responsibility of the entire young generation to fully utilize this technology as it evolves and transform it into a massive money plant.