Blockchain serves as a digital ledger, a decentralized database where data is stored as interconnected blocks. When you engage in transactions on the blockchain, your device also becomes part of this network.
Information within the blockchain is organized chronologically. For instance, every 5 seconds, the TON Blockchain generates a new “block” containing all transactions and the preceding block’s hash. A hash is a unique set of characters derived from encryption corresponding to encrypted information. While obtaining the hash of encrypted data is relatively simple if you know the encryption method, the reverse process of deriving the original information from the hash is highly complex and demands significant computational resources. As each subsequent block includes the hash of the previous one, altering the information within a block would necessitate decrypting the intricate cryptography of the entire blockchain and modifying all historical blocks, making it practically impossible for a fraudulent actor to tamper with the blockchain’s information (at least, no one has succeeded in doing so yet!).
Cryptocurrency is a digital currency that operates on a decentralized network known as the blockchain. One of its defining characteristics is that it enables peer-to-peer transactions without needing traditional financial institutions like banks. All transaction data is stored in a public ledger, providing transparency and security.
The terms “coins,” “assets,” or “tokens” are often used to describe different types of cryptocurrency. Cryptocurrency relies on cryptographic techniques to secure transactions, manage the creation of new units, and validate funds transfers. The world of cryptocurrency is dynamic and continues to evolve rapidly, offering an intriguing field to explore.
