What Is Blockchain And How It Works

What is Blockchain?

The blockchain is an advanced technology integrated transaction logging technology, where blockchain already has a unique code that is revolutionizing the internet work system and other things.

Judging from the meaning of the word alone has given clear knowledge, Block is a limited special place or a special area boundary in accommodating all item changes or transactions that have occurred during the chain process.

While Chain means a unique chain record and becomes the path of a consistent stage of a transaction/item. Blockchain technology has the most important role in creating Bitcoin or virtual currency. Since 2015 the development of Bitcoin and blockchain technology has been rapid in Indonesia.

Getting to Know Blockchain Technology

Blockchain technology is sometimes referred to as the best new breakthrough in inefficiency in the financial sector. But it also has a wider positive impact that can be applied by the government. The benefits of blockchain technology are instant, secure, efficient, and more transparent. In this case, data transmission can happen faster, efficient and more secure.

All transactions as well as data storage are guaranteed to be secure because in this case they are replicated within the blockchain network so that if any hacker tries to hack the blockchain system it should also change all the same data across all other and the same users.

So this is what does not allow the hacker to take over. In addition, blockchain is like a ledger where all transactions that occur are transparent so that certainty in credibility is high. More important is the Blockchain technology system is peer to peer.

Why is Blockchain Important?

As mentioned above about high security makes blockchain more useful and important in the virtual financial world. Because all history in transaction data recorded by itself in the absence of a ledger managed by the bank / third party.

This will provide an opportunity for internet users to trade or send digital properties that are unique to other internet users. Transactions are safe and can be seen by everyone and no one is able to fight the truth of the transaction and can not be changed by anyone.

The impact of the blockchain on governance is when the government uses it to record all financial transactions or agreements then it will make corruptor will impossible to steal again.

The smart contract will be able to show in detail the flow of funds or transactions used in the agreement using the blockchain. This provides a great deal for the government, but there are also negative impacts. If a country needs a central bank to regulate all its money circulation then blockchain can regulate all the circulation of this virtual currency.

That’s a little explanation of blockchain technology, hopefully useful.

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