Book Image

Building Blockchain Projects

By : Narayan Prusty
Book Image

Building Blockchain Projects

By: Narayan Prusty

Overview of this book

Blockchain is a decentralized ledger that maintains a continuously growing list of data records that are secured from tampering and revision. Every user is allowed to connect to the network, send new transactions to it, verify transactions, and create new blocks, making it permission-less. This book will teach you what blockchain is, how it maintains data integrity, and how to create real-world blockchain projects using Ethereum. With interesting real-world projects, you will learn how to write smart contracts which run exactly as programmed without any chance of fraud, censorship, or third-party interference, and build end-to-e applications for blockchain. You will learn about concepts such as cryptography in cryptocurrencies, ether security, mining, smart contracts, solidity, and more. You will also learn about web sockets, various API services for Ethereum, and much more. The blockchain is the main technical innovation of bitcoin, where it serves as the public ledger for bitcoin transactions.
Table of Contents (16 chapters)
Title Page
About the Author
About the Reviewers
Customer Feedback

Ethereum accounts

To create an Ethereum account, we just need an asymmetric key pair. There are various algorithms, such as RSA, ECC, and so on, for generating asymmetric encryption keys. Ethereum uses elliptic curve cryptography (ECC). ECC has various parameters. These parameters are used to adjust speed and security. Ethereum uses the secp256k1 parameter. To go in depth about ECC and its parameters will require mathematical knowledge, and it's not necessary to understand it in depth for building DApps using Ethereum.

Ethereum uses 256-bit encryption. An Ethereum private/public key is a 256-bit number. As processors cannot represent such big numbers, it's encoded as a hexadecimal string of length 64.

Every account is represented by an address. Once we have the keys we need to generate the address, here is the procedure to generate the address from the public key:

  1. First, generate the keccak-256 hash of the public key. It will give you a 256-bit number.
  2. Drop the first 96 bits, that is, 12 bytes...