What is Blockchain?
Blockchain does not have any central structure and is not dependent on a person or persons. The blockchain structure consists of computers that have started this system. Computer systems in the blockchain system are not dependent on any business or person. Not every computer system owns the blockchain. They are only part of the blockchain and are available anonymously. The block creation process is done by the computer included in this network under the name of mining. Blockchain only works by the mining units that are included in their own network by verifying each other within the framework of the rules of creating blocks and adding these blocks in chain one after another. Thus, an intervention from outside the blockchain network is completely prevented.
In this way, blockchain distributes data to many different computers and different locations instead of collecting all data at one point, as other traditional systems on the internet do. Each computer that makes up the blockchain system both stores and validates the data. Thus, these data cannot be changed or destroyed from outside. In order for it to be changed or deleted, or even to add new data outside the system, you need to find and process the computers that are mining in the whole system one by one and also have them verified by others. In short, it is impossible.
The blockchain database has been established as a public system. Anyone can easily join this network. This is done with the public transparency of the blockchain system control. The transaction entering the record in the created block makes the wallet address, Transaction ID, the transfer code and amount verifiable by everyone.
You cannot duplicate the same transaction in the blockchain system. Wallet addresses of users in the current network are recorded by the blockchain system as transactions occur. The same process cannot be repeated twice. The registration process is distributed across the network and it is no longer possible to change, duplicate or even delete it. It is also called Distributed Ledger. In short, all the notebooks on the network are the same and they verify each other. If you try to change one, it cannot be changed unless verified by other computers connected to the millions of networks.
How Does Blockchain Work?
Each transaction has a cryptographic equivalent in the blockchain network, and a new block is created when the actual transaction completes the blocks. The transactions in which the blocks are connected to each other with the codes of the previous block continue in this way with the chain block networks.
When the blocks are completed, the ” Hash ” code is created and the next block creates a new block with the previous ” Hash ” code. With the ” Hash ” code, the creation of a copy block is prevented.
Thanks to the Blockchain network, sending coins is both cheaper, faster and safer when looking at transactions with banks. The submission you order from your Koin wallet is saved on the blockchain network. A Transaction ID code is generated for your shipment, which includes your coin wallet address, the recipient wallet address you are sending to and the details of the amount of coins sent.
You can track your transfer transaction with the Transaction ID code. With the Transaction ID code, you can see the details of your transfer on the blockchain network. You can examine details such as receiver and sender wallets, the amount sent, the number of confirmations on the network, which block it is in, and the transaction fee you will pay.
We can cover the advantages of the blockchain network in a few items:
- The lack of a center and not being connected to a person / person enables the transactions to be reliable, low cost and faster transactions compared to other methods.
- The ability to inspect all transactions carried out on the blockchain prevents external intervention and fraud on the network system.
- The scattered recording of the data related to the blockchain system on many devices prevents attacks from outside and provides secure systems.
- Because it includes mathematical formulas in its structure and works automatically, it enables it to work without errors.