Blockchain is one of the most promising technology of today. This article is a basic introduction to blockchain technology and its components.
The blockchain concept was first introduced by Stuart Haber and W. Scott Stornetta in 1991 as “a cryptographically secured chain of blocks”, which means a chain or blocks that are linked and cryptographically secured. Each block is a combination of three items; a hash pointer to the previous block, a timestamp, and transaction data. Blocks are encrypted and validated before they join a blockchain.
Blockchain technology is a new way to store and manage data securely over a peer-to-peer network of devices using cryptography and distributed ledger technology. Blockchain brings trust, accountability, and transparency to digital transactions. By design, blockchains are secure and difficult to modify.
Let’s look at a typical definition of blockchain that is universal now:
“Blockchain is a secure, shared, distributed ledger”.
Blockchain is secure. All transactions in a blockchain are cryptographically secure using encryption during the creation of a block.
Blockchain is shared. A blockchain is shared by number of individuals or organizations to contribute and participate. No single authority controls a blockchain.
Blockchain is distributed. Blockchain database is replicated on a peer-to-peer network and all the participating nodes in the blockchain has the latest copy of the data.
Blockchain is a ledger. Blockchain is a database of immutable transactions. Each transaction involved two parties. Each block is hashed and linked to a previous record and the reference of the previous block is stored in the current block.
Blockchain Technology vs A Blockchain
A blockchain also called a chain is a product build based on blockchain technology. Bitcoin is the first successful blockchain used for digital payments. There are thousands of cryptocurrencies that are built on blockchain technology.
Blockchain Architecture
As a developer, how can you compare blockchain technology with an existing technology such as Web technology?
Web technology <> Blockchain technology
Website <> Blockchain
Let’s look at a typical Web application architecture that is hosted on an IIS Web server and uses a SQL Server as a backend database.



