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Blockchain

15.04.2026

A blockchain is a distributed database that stores records in a sequence of blocks, each cryptographically linked to the previous one. Once data is written to a blockchain, it is practically impossible to alter — making it an ideal foundation for digital currencies and financial systems that require trust without a central authority.

How a blockchain works

  1. A user initiates a transaction (e.g., sends cryptocurrency)
  2. The transaction is broadcast to the network and sits in the mempool
  3. Miners collect transactions from the mempool and form a candidate block
  4. Miners compete to find a valid hash for the block (Proof of Work)
  5. The winning miner broadcasts the new block; all nodes verify and add it to their copy of the chain
  6. The transaction is now confirmed and immutable

Key properties

  • Decentralized — no single entity controls the chain; thousands of nodes hold identical copies
  • Transparent — all transactions are publicly visible and auditable
  • Immutable — altering a past block would require recomputing all subsequent blocks and outpacing the entire network
  • Trustless — participants don't need to trust each other; the math guarantees correctness

Types of blockchains

Type Description Examples
Public Open to anyone; fully decentralized Bitcoin, Ethereum, Kaspa
Private Restricted access; controlled by one organization Enterprise solutions
Consortium Shared between multiple organizations Banking consortiums

Blockchain vs BlockDAG

Traditional blockchains form a single linear chain. BlockDAG (Directed Acyclic Graph) networks like Kaspa allow multiple blocks to be created simultaneously, dramatically increasing throughput while maintaining security.

See also

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