What is Blockchain?

A blockchain, as the name suggests, is a continuous list of blocks of information that live on a network of computers. Since new blocks are continuously added to the existing chain, all computers on the network participate in verifying the information contained in each new block.

A key attributes of blockchain technology is that they are immutable and decentralised. This means that no one computer or actor can modify the record of events which are stored on chain. This gives the blockchain a strong security guarantee, since it is essentially an immutable record to be maintained across the entire network. Additionally, by not relying on a single authority, and instead working by sharing responsibility across a large number of participants, decentralisation further improves the security of the blockchain.

As such, Blockchains are extremely useful to form the foundation of digital money. The use of this technology helps to create and maintain scarce virtual assets.

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