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Cryptocurrency and Blockchain Technology

Cryptocurrency and Blockchain

Blockchain Technology is solely responsible for the successful launch of cryptocurrencies like Bitcoins. In 2008, when the world became aware of cryptocurrencies and how they work, it was almost unfathomable to people. Blockchain Technology and encryption are more in the conversation now, than it was a decade before. It is entirely because of Blockchain and its components that so many people are mustering courage and investing their lifelong savings in buying cryptocurrencies, mostly Bitcoins. Applications have made it easier for investors to arrive at the right places in time visit homepage.

Role of Cryptography in Blockchain

In cryptography, information is stored in encrypted forms. That is to say, all the information is stored in the form of codes, which convey no information to ordinary eyes. The plaintexts are coded in such a way that they look like secret messages. Only the authorized users will be able to understand what the coded encryption means.

To read the information, the authorized users convert the codes into normal texts using a key. It is the key that gives them the authority to decrypt the codes. The key is only available to an authorized user, who then has the authority to read or decrypt the code.

Cryptography makes use of two keys in the process: the public key and the private key. The public key is akin to the email address of a user, which can be widely shared so that they can receive information. However, it is only using their unique private key that they will be able to access the information. A sender sends the information using the public key, and the recipient uses the private key to access the information. The private key thus acts as the password to the email address.

Advantages of Cryptography in Blockchain

Here are a few reasons why Cryptography is such an integral part of Blockchain.

Conclusion

Even though Blockchain is said to have pioneered in the field of Bitcoin and other cryptocurrencies, it has spread its utility in various fields. This is an uphill journey.

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