The Backbone of Cryptocurrencies
Blockchain is a technology that makes cryptocurrencies like Bitcoin and Ethereum work. Here’s how it works in simple terms:
What is Blockchain? Blockchain is a digital ledger or a record book that keeps track of all transactions. Each transaction is recorded in a block, and these blocks are linked together to form a chain.
How Does it Work? When you make a transaction, like sending Bitcoin to a friend, this transaction is grouped with others in a block. This block is then added to the blockchain after being verified by many computers (called nodes) around the world. Once added, the information in a block cannot be changed, making it very secure.
Why is it Important? Blockchain ensures that cryptocurrencies are decentralized, meaning no single person or organization controls them. This technology also makes transactions transparent and secure.
Understanding blockchain helps you see why cryptocurrencies are considered revolutionary and trustworthy.
