Block Chain

Question 1

What is it Blockchain?

Answer 1

A Blockchain (BC) is a distributed ledger, where everyone in the BC can add data, and no changes are allowed

Question 2

How does the blockchain work?

Answer 2

The blockchain is a simple way of passing information from A to B in a fully automated and safe manner:

One party to a transaction initiates the process by creating a block. This block is verified by thousands, perhaps millions of computers distributed around the net.

The verified block is added to a chain, which is stored across the net, creating not just a unique record, but a unique record with a unique history

Question 3

Advantages and Disadvantages of the blockchain?

Answer 3

Advantages:

• Cost efficent (no transcaction costs)
• Transparency
• Stability

Disadvantages:

• High energy consumption
• Complexity
• Legal issues

Question 4

What is it a smart contract?

Answer 4

A smart contract is a computer protocol intended to digitally facilitate, verify, or enforce the negotiation or performance of a contract.
Smart contracts allow the performance of credible transactions without third parties.