What is Blockchain
To put it briefly, Blockchain is a distributed data recording system that controls the tracking of encrypted transactions. It should not be viewed as a database because the saved data cannot be restored or changed again. This feature of Blockchain derives from encrypting and storing the blocks where information is stored, just like a chain, and sharing this chain with many people.
The blockchain in which transactions are
recorded is kept to match everyone on the network. Otherwise, if someone tries
to add something in their own book without the approval of others, it will
remain out of the network because there will be incompatibility with other books.
In this way, the Blockchain system allows us
to keep records that cannot be modified and will not allow manipulation. What
makes Blockchain technology so important is its decentralized structure. The
integration of these transactions into the Blockchain recording system and
their spreading to the network is done entirely by the computers on the
network. The greater the number of computers participating in the network, the
greater is the reliability of the system.
History of Blockchain
The basic technology underlying digital
currencies is Blockchain technology. Blockchain allows all users on the network
to negotiate with each other without the need for mutual trust.
The idea behind Blockchain technology, was
proposed by scientists W. Scoot Stornetta and Stuart Haber in 1991 to prevent
confusion of digital documents with the timestamp or to change them
retrospectively in order to find a solution to its use in terms of calculation.
Upon these developments, Merkle trees were
included as a design in 1992 and a number of documents were collected together
in a block form, which made the system more efficient. Nevertheless, this
technology was not used and ended in 2004.
of the Bitcoin Network
In the last quarter of 2008, white paper describing a decentralized, peer-to-peer digital money system called Bitcoin was published by an anonymous person/people named Satoshi Nakamoto.
To put it briefly, Bitcoins are mined by
miners using the proof of business system and then verified by computers that
are not connected to a central authority in the network.
When the first block of Bitcoin was created by Satoshi Nakamoto on January 3, 2009, Nakamoto earned exactly 50 Bitcoins from this transaction.