Book Image

Advanced Blockchain Development

By : Imran Bashir, Narayan Prusty
Book Image

Advanced Blockchain Development

By: Imran Bashir, Narayan Prusty

Overview of this book

Blockchain technology is a distributed ledger with applications in industries such as finance, government, and media. This Learning Path is your guide to building blockchain networks using Ethereum, JavaScript, and Solidity. You will get started by understanding the technical foundations of blockchain technology, including distributed systems, cryptography and how this digital ledger keeps data secure. Further into the chapters, you’ll gain insights into developing applications using Ethereum and Hyperledger. As you build on your knowledge of Ether security, mining, smart contracts, and Solidity, you’ll learn how to create robust and secure applications that run exactly as programmed without being affected by fraud, censorship, or third-party interference. Toward the concluding chapters, you’ll explore how blockchain solutions can be implemented in applications such as IoT apps, in addition to its use in currencies. This Learning Path also highlights how you can increase blockchain scalability, and discusses the future scope of this fascinating and powerful technology. By the end of this Learning Path, you'll be equipped with the skills you need to tackle pain points encountered in the blockchain life cycle and confidently design and deploy decentralized applications.
Table of Contents (25 chapters)
Title Page
Copyright and Credits
About Packt
Contributors
Preface
15
Blockchain - Outside of Currencies
16
Scalability and Other Challenges
Index

What is a hierarchical deterministic wallet?


A hierarchical deterministic wallet is a system of deriving addresses and keys from a single starting point called a seed. Deterministic indicates that for the same seed, the same addresses and keys will be generated, and hierarchical indicates that the addresses and keys will be generated in the same order. This makes it easier to back up and store multiple accounts, as you just have to store the seed, not the individual keys and addresses.

Note

Why will users need multiple accounts? You must be wondering why users will need multiple accounts. The reason is to hide their wealth. The balance of accounts is available publicly in the blockchain. So, if user A shares an address with user B to receive some ether, then user B can check how much ether is present in that address. Therefore, users usually distribute their wealth across various accounts.

There are various types of HD wallets, which differ in terms of seed format and the algorithm to generate...