Proof of Work (PoW) Concept of Consensus Mechanisms In Blockchain Technology
What is PoW? PoW is a consensus algorithm that ensures that only valid transactions are added to the blockchain. It does this by requiring nodes (or miners) to solve a complex mathematical problem to validate a block of transactions. The first miner to solve the problem broadcasts their solution to the network, and if other nodes confirm the solution, the block is added to the blockchain.
Consensus Mechanisms In Blockchain Technology
What are Consensus mechanisms? Consensus mechanisms are an essential part of blockchain technology. They are the algorithms that allow nodes in a decentralized network to agree on the state of the system without relying on a central authority.
Decentralization in Blockchain Technology
What is Decentralization? Decentralization is a term used to describe a system or network that is not controlled by a central authority or entity. In a decentralized system, power and decision-making are distributed across a network of participants, rather than being concentrated in the hands of a few.
Story about Blockchain Technology
The Birth of Blockchain In 2008, a mysterious person or group known as Satoshi Nakamoto published a white paper describing a new type of digital currency called Bitcoin. What made Bitcoin different from traditional currencies was the underlying technology it used: a decentralized digital ledger called a blockchain.