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Five key fundamental building blocks of Blockchain

This covers the five basic and key fundamental building blocks of blockchain.

Encryption

The ability to record data in the blocks securely using public and private key encryption is the essence of blockchain. Participants control their identity, and personal information.

Immutability

Transactions are cryptographically signed, time-stamped and sequentially added to the ledger which cannot be altered.

Tokenization

Secured transfer of value is delivered in the form of tokens, it can represent from financial assets to data to physical assets. Tokenization is foundation for creator economy in blockchain.

Decentralization

No single entity can control the network, and dictate the rules. Network information and rules are maintained by nodes on the distributed network through consensus.

Distribution

Participants independent of their location connected on a network, each maintains a copy of the ledger and update with new transactions as they occur.


 



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