Why in news?
- Coffee Board is making use of block chain
What is this technology?
- Block chains are a stable, cryptographic and network dependent new data system. The platform facilitates the transfer of data and digital assets through crypto currencies like Bit coin.
- It is used in technology such as Bit coin and others that enable commodities to be exchanged with a central ledger after authentication.
- A less creative world in which e-mails, the World Wide Web, Napster, Skype and Uber have been developed is the new evolutionary blockchain network, like the early Internet.
How does it work?
- The technology allows transparent and safe, peer-to-peer transfers, fast and free of friction. It does this by transferring confidence to a vast global network from influential intermediaries, which allows a tamper-resistant public archive of any transactions ever made on the network, through mass coordination, clever coding and cryptography.
- A block is the actual part of a ledger that tracks any or all recent transactions and joins the block chain as a permanent archive once the transaction has been completed. A new block is generated every time a block is completed. Blocks are in a linear, chronological order with each block containing the previous block hash, like a chain.
- It’s like a public recording of all transactions.
- The transfers are done through mining that makes hacking difficult. All transactions carried out are authorized by miners, making the transactions unchanged and preventing the hacking threat.
- Rejects third party use and other errors.
- This encourages infrastructure to be autonomous