The Washington Independent
The Washington Independent

The Basic knowledge of blockchain

The Basic knowledge of blockchain

Bitcoin was launched in 2008 by Satoshi Nakamoto to make the digital world. Yes, there were a lot of problems before bitcoin. For example, people use fiat currency, and if they want to transfer money abroad or outside the country, they need to pay high charges to third parties like banks and financial institutions.

Mitchel Nash
Oct 12, 2021

Table of Contents


Bitcoin was launched in 2008 by Satoshi Nakamoto to make the digital world. Yes, there were a lot of problems before bitcoin. For example, people use fiat currency, and if they want to transfer money abroad or outside the country, they need to pay high charges to third parties like banks and financial institutions. But the bitcoin blockchain was the first platform that made all things possible through a single platform. The first bitcoin was mined on Blockchain by Satoshi Nakamoto, and at the initial stage of mining bitcoin, the reward was 50 bitcoins. Unfortunately, many people are confused with blockchain and bitcoin exchanges. So in this article, we will learn about the basis of blockchain in detail. So without wasting time, let's understand the whole concept of the bitcoin blockchain.

What is blockchain?

Blockchain is the platform where all the bitcoin transactions occur. The second name of blockchain is a public ledger which means it is a type of digital ledger which discloses all the transactions publically. That means you can see the previous and latest transactions by visiting BitIQ.

Blockchain consists of two words, Block and chain. Block means a set of enough transactions, and chain means repeating the circle. So in simple terms, blockchain is a platform where all the transactions occur, and miners create blocks of transactions by validating each transaction and then broadcast it into the blockchain network.

The relation of miners with blockchain:

Blockchain is just a platform where you can buy, sell, send, or receive bitcoin from private, and the miners perform public addresses and the actual work. Miners play an essential role in the blockchain, and bitcoin and blockchain are nothing without miners or mining. Miners are the persons who validate the transactions by solving complex mathematical equations in a programming language. They are experts in mathematics and programming. When you send bitcoin to a particular address, the first step is to check whether this transaction is correct or not, and the miners perform the validation process through their skills. Suppose you are sending bitcoin to a particular address and miners do not validate the transactions, then there is no means of blockchain or bitcoin. Thus, there is an intense relation between blockchain and miners.

Blockchain makes all the difference:

Why is bitcoin popular? What is the reason behind its popularity?  The answer is decentralization. Yes, the main reason that makes bitcoin a more widespread currency separated from other currencies is decentralization. Blockchain is a decentralized platform which means there is no controller of bitcoin. The government cannot control bitcoin, banks and financial institutions cannot regulate bitcoin, and the country's president cannot control it. Even the founder of bitcoin, Satoshi Nakamoto, cannot control or manage bitcoin because it is a decentralized system.

There is a deep relation between blockchain and miners and miners who work behind the blockchain for the smooth running of bitcoin. The miners are the controllers that mean if miners stop validating bitcoin, then bitcoin will stop. The bitcoin blockchain is the world's most secure platform for bitcoin transactions; even the notorious hacker cannot hack the bitcoins. Many miners are working behind the network, and if you want to hack the bitcoin, you have to hack all the computers of miners working behind it.

Exchange and Blockchain:

Many articles say hackers can hack the bitcoin, and it is not safe, but it is not bitcoin. In reality, bitcoin is impossible to hack because it is a decentralized system. Bitcoin exchanges are the third parties that provide extra services to bitcoin and crypto users and charge some amount for these services. Some exchanges get hacked, and many people think hackers can hack the bitcoin.

But understand the difference between the blockchain and bitcoin exchange. Why are people using exchanges rather than blockchain? The biggest reason for not choosing the blockchain for bitcoin transactions is privacy; that means anyone on the blockchain can check your public address, your previous and recent trade, the amount of your send, receiver, and sender's public address. But exchanges provide the extra services with specific security like no one can check the public discourse of sender and receiver. Anyone can limit the number of transactions, but there is no detail about the sender and receiver.

So exchanges are good to buy bitcoin and other crypto coins for the short term or trading purposes, and if you are serious about bitcoin investment, you must go with the powerful blockchain platform.

Mitchel Nash | Mitchel works for a high-tech telecommunication firm as a software engineer with vast experience and management skills. The company creates and provides technologies that help service providers provide high-quality voice and data services over broadband access networks while maximizing their network infrastructure investment. He is in charge of the production of the company's management software products as a senior software engineer. Mitchel has a B.Sc. in Computer Sciences from Tel-Aviv Jaffa Academic College.


6 Major Mistakes that Most Crypto Newcomers Make in Crypto Market!

Every day thousands of people enter the crypto market, out of which only a few know the market. Most people enter the market with zero skill and try to make a profit on their luck. It is crucial to know that pure luck and zero skills don't work in the crypto market.

Bitcoin in the Next Decade

Bitcoin came into the market as a revolution. In the current finance ecosystem, it behaves like a through the thing. Although it is volatile, the overall picture of Bitcoin has remained too rosy to cash. When we see the introduction of Bitcoin coming in a big way, we see some change taking place.

Can a local business accept bitcoin?

Nowadays, many startups and small businesses have come into existence. Everyone uses mobile phones, and everyone wants to pay digitally rather than in cash. There are multiple online payment options like Google Pay, Phone, Paytm, PayPal, Card swipe, QR code, UPI, and many more, and it makes the payment easy.

Earn good money with bitcoins – What are the top methods?

The primary motive of every person in life is to earn money. There are numerous ways to earn money, but bitcoin is the perfect option if you want to do it uniquely and easily. Bitcoin is not only a cryptocurrency that allows you to make payments, but it also provides you with several methods through which you can earn money, and some of them are listed below.

Do Bitcoin Benefits Overshadow Its Risks?

Bitcoin's journey has been quite interesting as it has ride waves of market volatility and interest of the public, but the main reason behind swings in its price is an actual reality. The crypto world is massive as thousands of cryptocurrencies exist in it and offer significant advantages to users.

Is bitcoin taxable or not?

It is difficult to say whether bitcoin is taxable because in some countries, bitcoin is taxable, and in some countries, there are no rules for bitcoin. Some countries banned bitcoin because it is a decentralized system that means the government cannot control the bitcoin and cannot trace and charge tax for bitcoin transactions.

Different ways to make money with cryptos!

Everyone is talking about cryptocurrencies nowadays. For most people, it is just a method for trading. However, if you look at the bigger picture, it is not only trading that has made it so popular. You can go for other methods of making money with cryptocurrencies, provided you are aware of them. First of all, you need to get the small picture of cryptocurrency.

Finding the 'Right' time to invest in Bitcoin

Far from being a red flag best avoided, this is testament to the fact that with Bitcoin more than most other trades, timing is an imperative aspect of success, though perhaps not in the ways that you might assume. As such, while there isn’t exactly a ‘right’ time to trade, these tips can at least help you to find the time that works best for at least helping you to earn big from your efforts here.

Will NFT go up in value? Understand why some are worth millions

The recent popularity and increased demand for NFTs or non-fungible tokens mean that the crypto world may be moving to a new unprecedented high.

Crypto in El Salvador

El Salvador became the first country in the world to recognize Bitcoin as legal tender. All organizations will be obliged to accept cryptocurrency here, it will be possible to pay taxes with it, and special wallets will be opened for citizens.

Top 5 ways to invest in Blockchain technology boom

Amidst the strong headlines of Covid -19 and its impact on global economies, something else was happening behind the scenes. It was the rush to invest in the growing blockchain technology. Business owners, investors, and key players across all industries are increasingly getting into the transformative blockchain technology.

© Copyright 2021 The Washington Independent All Rights Reserved

Terms & Privacy |