Concept
How do hashes package transactions into blocks?
chapter 5 / Building the Blockchain
"A mining computer reduces transaction information to an encrypted alphanumeric string called a hash, using bitcoin’s SHA-256 algorithm to produce a fixed-length result. Even a tiny change in the underlying information produces a completely different hash, while the original information can be checked against the hash for verification. Miners combine the hashes of successive transactions into a continuing hierarchy, allowing many transactions to be grouped into a single block whose contents can later be verified through the unbroken chain."
Related Ideas
- Why does each block link to the previous block?chapter 5 · Building the Blockchain
- How do other miners confirm a winning block?chapter 5 · Building the Blockchain
- What is recorded in the bitcoin blockchain?chapter 5 · Building the Blockchain
- Why can a transaction take time to become fully confirmed?chapter 5 · Building the Blockchain
- How does the blockchain prevent double-spending?chapter 5 · Building the Blockchain
- How does the Yap ledger illustrate decentralized record-keeping?chapter 5 · Building the Blockchain
- How does bitcoin keep block production on schedule?chapter 5 · Building the Blockchain
- What role does the Internet play in decentralized money?chapter 5 · Building the Blockchain