What is blockchain? Blockchain is the core of Bitcoin …

What is blockchain

Blockchain is the core of Bitcoin, since it contains information about all transactions in the Bitcoin network. As the name suggests, a blockchain is a chain of blocks or a set of transactions in chronological order..

Each of the blocks is added to the blockchain after the miner selects a hash that corresponds to a separate set of transactions. This hash and the hash of the previous block are propagated over the network and by common agreement are added to the last block of the chain..

In the Bitcoin blockchain, as in the blockchains of other cryptocurrencies, a request can be sent to provide information at certain addresses: for example, at the first ten addresses by value or number of transactions in a certain period of time and their size.

The main disadvantage of the Bitcoin blockchain is its size. It is constantly growing, which brings about problems of storing it on separate computers and synchronization.

The target time for processing one block on the Bitcoin protocol is 10 minutes. Other cryptocurrencies tend to take a shorter time to create one block, especially scripted alternative cryptocurrencies like Litecoin or Dogecoin. A certain time to create one block is ensured by the complexity settings, which determine the probability of finding the correct hash. The higher the complexity, the lower the probability of finding the hash, which means that the network of computers will take longer to find the correct solution for a set of transactions.

What is blockchain? Blockchain is the core of Bitcoin ...

Along with the increase in the number of computers for mining and their capacities, the complexity also grows, which allows maintaining the time for creating one block at the level of 10 minutes. However, since the Bitcoin SHA-256 algorithm is not repetitive, but works entirely at random, like a lottery, 10 minutes is the expected average time. In fact, if the network encounters an unsuccessful set of attempts to select the correct hash, confirmation of the set of transactions to form a block can take much longer..

The probability distribution of the time it takes to find one block is exponential. This means that sometimes this process can take a very long time, and sometimes it happens very quickly. This is a lottery, but 10 minutes remains an average value, which is provided by the complexity, which, in turn, depends on the number of attempts by miners to solve the problem and their computing power.

Source: https://www.cryptocompare.com/coins/guides/what-is-the-blockchain/

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