Now that you know the basic concepts of the blockchain and how blocks are linked together, it is time to look at the mechanism that secures the blockchain and its transactions.
When comparing a blockchain with a traditional database that is based on trust, a traditional database is operated by a single entity, or operator, and it requires a user-controlled access system. Thus, it is crucial for the single entity operating it to be a trustworthy individual. On the other hand, most blockchains (or distributed databases) are operated by unknown entities, which can be an individual, an organization, or even a computer that automatically operates it. So, with this lack of trust, how can we be certain that the data is not compromised?
The trust aspect of the blockchain lies in the way that consensus is reached. In a blockchain, an entity (individual or organization) can submit information that they wish to add to the distributed database. Submitting information results in a transaction...