What is blockchain?

Blockchain is the technology that allows digital information to be distributed, but not copied. That means each individual piece of data can only have one owner.

You may have heard it is described as a “digital ledger” stored in a distributed network. Here is a good example, anology that helps to understand how blockchain works:

“Picture a spreadsheet that is duplicated thousands of times across a network of computers. Then imagine that this network is designed to regularly update this spreadsheet and you have a basic understanding of the blockchain.”

The information is constantly reconciled into the database, which is stored in multiple locations and updated instantly. That means the records are public and verifiable. Since there is no central location, it is harder to hack it since the information simultaneously exists in millions of places. ^{(Doughi, 2018)}

References:
^{Doughi, P., 2018. A Simple Explanation Of How Blockchain Works. [online] Medium. Available at: <https://medium.com/the-mission/a-simple-explanation-on-how-blockchain-works-e52f75da6e9a> [Accessed 15 October 2020].}

Watch video below to get better understanding of blockchain technology.