1. Introduction to Blockchain#
Principle of Blockchain
The operation of blockchain is to achieve consensus and gain trust in the internet. Unlike traditional internet, it is a big ledger, and each person (node) has a small ledger. During the operation of the blockchain, each small ledger needs to be confirmed and then synchronized and updated.
Technology of Blockchain
The technology of blockchain includes cryptography, distributed storage, smart contracts, and consensus mechanisms.
① Cryptography: In 1976, two cryptography masters published a paper "A New Direction in Cryptography" which laid the foundation for cryptography. In 1977, the RSA algorithm in cryptography was invented, which cannot be cracked to ensure the security of the blockchain, protect personal assets from being stolen, and prevent hackers from attacking the blockchain.
② Distributed storage: It is a data storage method in which everyone participates, and each person has a ledger, achieving decentralization.
③ Consensus mechanism: Such as mining reward mechanism, different consensus mechanisms determine how rewards are distributed and who can get the accounting rights of the blockchain.
④ Smart contracts: All terms are written in advance, and automatic transactions can be made when processing data in the blockchain, similar to the instruction "if A then B" in programming, realizing trustless transactions.
An analogy
✍ Centralized database: Only Xiaoming keeps accounts, there is only one ledger. In reality, although we can check our own bill records after each transaction, the overall ledger is actually recorded by the bank. Therefore, the bank is a centralized database in actual transactions, and all transaction records need to be confirmed by the bank.
✍ Decentralized database: Xiaoming's family of three keeps accounts, there are three ledgers, and no ledger is unique. It is equivalent to not using the bank for transactions in real transactions, realizing direct transactions between people, and each person keeps records of transaction information.
✍ Distributed database: The above three ledgers are distributed among three people and cannot be destroyed at the same time. Individuals cannot tamper with the data, so the data is absolutely secure.
✍ Block: A piece of paper records the accounts of one day, and each piece of paper is a block.
Characteristics of Blockchain
➢ Decentralization (everyone keeps accounts)
➢ Immutable (unless 51% of the ledgers are tampered with)
➢ Openness (blockchain data is open to everyone in the system)
In short, blockchain is essentially a database, but it is a distributed and decentralized database. It connects data blocks in chronological order to form a chain-like data structure, and ensures immutability and non-falsifiability through cryptography.
2. Differences between Blockchain and Traditional Databases#
Blockchain
➤ No administrator/central institution
➤ No one can control all nodes
➤ Decentralized and distributed network architecture
➤ Information is publicly transparent
Traditional Databases
➤ Have administrators/central institutions
➤ Can modify and manage records in the database
➤ Centralized database
➤ Access permissions can be set
3. Web3.0/Blockchain#
Web3 is a decentralized internet built on top of blockchain
The core of Web3 is decentralization, and blockchain technology is an important means to achieve decentralization. Blockchain technology achieves transaction and data storage and verification through a decentralized node network and distributed ledger, ensuring the security and immutability of transactions. This allows users in Web3 to have control over their own data and assets without relying on trust in centralized institutions.
Blockchain technology provides a reliable infrastructure for Web3
Blockchain technology provides a decentralized, secure, and reliable infrastructure for Web3 to record transactions and store data. In Web3, blockchain technology serves as the foundation for applications such as digital identity, digital assets, decentralized exchanges, and decentralized finance. Through blockchain technology, Web3 enables direct interaction between users, avoiding interference from centralized institutions, and allowing users to engage in transactions and interactions more freely and securely.
The development of Web3 is driving further development and application of blockchain technology
The emergence of Web3 provides new application scenarios and development opportunities for blockchain technology, and also promotes the further development and application of blockchain technology. With the continuous development of Web3, blockchain technology is also constantly upgrading and optimizing, such as innovations in consensus algorithms, privacy protection technologies, smart contracts, etc. These innovations further drive the development of Web3.
Therefore, it can be seen that Web3 and blockchain are inseparable. Web3 is a decentralized internet built on top of blockchain technology, and blockchain technology provides a decentralized, secure, and reliable infrastructure for Web3. With the continuous development and promotion of Web3, blockchain technology will be more widely applied and promoted.