Interacting with Distributed Ledger and Tokens + Get 100SP Delegation with YOUR comment!

in #blog6 years ago

Hi all,

This is part 2 of my explanation of interacting with the basics of blockchain. You should check out my last post in order to understand this one. For part 1, see: https://steemit.com/bitcoin/@ddangerwu/learn-by-interacting-with-hash-blocks-and-blockchain-get-100sp-delegated-for-insightful-comments

Bitcoins.jpg

Disclaimer: I did not make the website used in this explanation. It was made by Anders Brownworth and you should check him out at https://anders.com


So last time we ended with explaining what is Hash, Blocks, and Blockchain, now let's talk about how we can make it useful.

Screen Shot 2018-02-27 at 6.45.48 PM.png
Screen Shot 2018-02-27 at 6.46.07 PM.png
Screen Shot 2018-02-27 at 6.46.17 PM.png

First we need to secure blockchain by giving the same copy to lots of people. This is what it means to have a "distributed" blockchain. Notice that everything in all three chains are exactly the same: data, nonce, and hash.

Screen Shot 2018-02-27 at 6.51.46 PM.png

If one peer changes his chain, it will be very obvious to the entire network that his chain does not "follow the rule". But what happens if peer C changes his chain then mines it so that it follows the rule?

Screen Shot 2018-02-27 at 7.10.05 PM.png

As you can see, now peer C's chain is once again following the rule but his hash is different. Block 2 hash of Peer A and B is 000012fa... while peer C's block 2 hash is 0000860d... So, this is how we have the conclusion that "blockchain is secure because if you change any middle block's data, you'd cause every subsequent block to be invalidated. This is how we can be sure everything is tamper-proof just by verifying the latest block." (see part 1 post for details)


Next, let's change the data to a ledger to create a token.

Screen Shot 2018-02-27 at 7.14.53 PM.png
Screen Shot 2018-02-27 at 7.15.06 PM.png
Screen Shot 2018-02-27 at 7.15.16 PM.png

As you can see, creating a ledger on the blockchain is simply changing the data to a list of A transfer to B some X amount. What is important to note is that block size or number of transfers within each block does not have to be consistent. This explains why Lightning Network works in that blocks can be small and only refers to the full ledger elsewhere. see my video on Lightning for details: https://steemit.com/bitcoin/@ddangerwu/understanding-lightning-in-simple-terms-and-what-it-means-for-you-get-100sp-delegated-to-you

Screen Shot 2018-02-27 at 7.22.40 PM.png

Lastly, a new address, maybe one created by an exchange, will give you an initial amount and your balance will be deducted from this initial balance. This is how the Bitcoin network validates your transactions. It actually will go back up each transaction to see where the money came from.

To understand how this works, we will talk about output vs inputs, private vs public keys, and the relationship between some more advanced topics. Stay tuned.

-Dan Wu


Now that you've watched the vid, what did you think? I want to do my part to fight spam and promote insightful comments/discussions. I read every comment and value your feedback. Write something and I will pick the most insightful comment to delegate 100 Steem Power to you for a week.

You may earn curation awards using my STEEM manually OR use a service like SmartSteem to vote automatically for you.

Here is last post's winner:
Screen Shot 2018-02-27 at 7.30.45 PM.png

Sort:  

Blockchain is a distributed ledger system - but have you considered that your interpretation may need to include the mining concept.

I didn't know about more block chain before reading your post . I like your post and steemit is the best place to make rewards and it will become successfull man to me

great post :)

Blockchain is not bitcoin. Bitcoin is digital money, a virtual currency that was the first successful blockchain product. Blockchain is the technology that enables cryptocurrency like bitcoin. While they go hand-in-hand, there are other use cases for blockchain besides bitcoin. Blockchain can ensure that the terms of programmable autonomous contracts, known as smart contracts, are met. It can be used for online voting to address voter fraud. It can be used to secure identity and many other situations where transparency and security is lacking.

Exactly. This clarification is important.

Thanks a ton for your delegation!

Although my VP is very low at the moment and I'm on a recharging mode a.k.a. voting-fast this week but this delegation will certainly help me in whatever little votes I cast this week.

Your blog becomes more interesting with this offer. It's like learning and earning going hand in hand 😊. Thanks again for such generosity!

your welcome =D

I'm still pretty new to the world of crytocurrency so thanks for helping out newbies like me, understanding blockchain makes my head spin haha even know I'm confused by it all I absolutely love steemit as I can learn sooooo much :D

thanks for your information...

What is the relationship between 'following the rule' as you have described in this post and making a fork or 'changing the rule'?

the rule in forks is about changing the protocol. see my vid on forks https://steemit.com/cryptocurrency/@ddangerwu/hard-vs-soft-forks-how-they-can-double-or-trouble-your-funds

the rule I'm talking about here is about finding the nonce. see my last post

Thank you for the clarification & the link to the fork video.

Great offer dude!

Choose me cos it's the easiest option!!!

Coin Marketplace

STEEM 0.35
TRX 0.12
JST 0.040
BTC 70601.11
ETH 3576.21
USDT 1.00
SBD 4.78