Blockchain - from whatis.techtarget.com
Blockchain is a
distributed database based on the Bitcoin
model that stores a permanent and tamper-proof ledger of transaction data.
The blockchain
consists of two types of records, individual transactions and blocks, which are
collections of data pertaining to the transactions within a set time period. In
a cryptocurrency system, transactions are
created whenever funds are transferred from one user to another, and users
known as miners create and validate blocks through
specialized software designed for that purpose.
Miners create a
hash of the information in each block and
store the hash with the block at what is, at that moment, the end of the
blockchain. Other data included in the hash is the hash of the previous block’s
data. That inclusion makes tampering with blockchain data practically
impossible. Altering any transaction in a block would change the block’s hash
and also make the following hashes associated with the following blocks
incorrect. Anyone running a hashing function on a block to check its validity
would discover immediately that the hash did not match the stored value.
Although it has
most commonly been associated with cryptocurrencies, and Bitcoin in particular,
the blockchain model could be adopted for other financial systems. According to
proponents, its use could make transactions more secure and make fraud nearly
impossible.
https://www.youtube.com/watch?v=HTgYHHKs0Zw
scoop_post=bcaa0440-2548-11e5-c1bd-90b11c3d2b20&__scoop_topic=2455618
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