What is Blockchain and how does it work?

A blockchain is a distributed digital ledger that records transactions in a sequence of blocks linked together using cryptography. Instead of relying on a single central authority, copies of the ledger are maintained by many participants in a network who agree on valid updates through a consensus mechanism. Each block contains transaction data, a reference to the previous block, and a cryptographic hash that helps make past records difficult to alter.

A blockchain is a way of storing and sharing data across a network of computers (called nodes) so that participants can maintain a common, trusted record without needing a central database owner.

The core idea is:

A typical block contains:…