Blockchain: Explained in Simple Words

Cryptocurrencies, the NFT and most Web 3 applications all have in common that they are blockchain-based. Let's dig a little deeper into understanding this technology and its benefits for users!

No way to get the block out of the chain

As the name implies, a "blockchain" is a data chain built according to specific rules from consecutive blocks. The entire chain is destroyed if even one of these blocks is replaced or removed. In a practical sense, it is a way of recording and storing digital information so that it cannot be tampered with, deleted or altered unnoticed.

Any transactions are verified and validated by multiple computers on which the blockchain is stored. Information is transferred between users without intermediaries and bypassing centralization, where there is a chance that a harmful bug in the code could help a hacker take money or important data.

How does it work in a technical sense? Every transaction on the network is converted into a so-called block, which is distributed across the computer network between peer nodes. The block contains important data: information about the seller and buyer, details about the transaction and the digital wallet, and so on. The transaction is instantaneous; no one can change the record. Each block is added to a chain of other blocks. Transaction history is obtained in a public registry: the blockchain itself.

While blockchain is traditionally understood to be an open and anonymous network, there are also "private" circuits, where the condition for being allowed to administer the registry is a prior authorization check.

Why do today's developers choose blockchain?

A blockchain is a versatile tool for building various databases, which has the following advantages:

Decentralization. There is no main storage server. Each member of the system stores all records.

Reliability. Any attempt to make unauthorized changes will be rejected due to inconsistency with previous copies. A special unique code issued and validated by the system is required to change the data legally.

Full transparency. Any participant can trace all operations that took place in the system.

Privacy. All data is stored in encrypted form. The user can track all transactions but cannot identify the recipient or sender unless they know the wallet number. Transactions require a unique access key.

Compromise. Other participants verify data within the system.

Due to its potential, blockchain technology is attractive to many different industries. We can use it for various types of data: from cryptocurrency, transactions, and contract information to data files, photos, videos, and project documents.

But most importantly: blockchain technology has the potential to decenter the World Wide Web in the future, thereby leveling the playing field between control and ownership!

The concept of Inite is that your ideas can also become the basis for a unique blockchain network! Our think2earn framework is gaining momentum, but it is already attracting thousands of interested users. And major partners like Polygon, Aurora, and Near provide us with powerful technological support. How about becoming one of our pioneers?