Blockchain Technology Explained: What Is a Blockchain and How Does it Work?

2024-10-10T18:16:16-04:00

This means that if you wanted to, you could track a bitcoin wherever it goes. The Bitcoin blockchain collects transaction information and enters it into a 4MB file called a block (different blockchains have different size blocks). Once the block is full, the block data is run through a cryptographic hash function, which creates a hexadecimal number called the block header hash. As a result, blockchain users can remain anonymous while preserving transparency.Agricultural firms use it logistically to track the supply chain of food.Part of the reason for that is a system called “proof of work,” which many blockchains (especially cryptocurrencies) [...]