UNIT_I_Introduction_to_Blockchain_Technology.pptx

Blockchain PPT

1. UNIT I – INTRODUCTION TO BLOCKCHAIN TECHNOLOGY Duration: 9 Hours Prepared by: Mr. Vishwesh Nagamalla

2. Overview of Blockchain Definition: Blockchain is a distributed ledger technology that records transactions securely and transparently. History: • 1991 – Concept introduced by Stuart Haber and W. Scott Stornetta. • 2008 – Bitcoin introduced by Satoshi Nakamoto using blockchain as its core. • 2015 – Ethereum brought smart contracts to blockchain. Evolution: From cryptocurrency applications to diverse sectors like finance, healthcare, and supply chain.

3. Blockchain Principles 1. Decentralization – No central authority; distributed network maintains the ledger. 2. Consensus Mechanisms – Protocols ensuring all nodes agree on the ledger’s state (e.g., Proof of Work, Proof of Stake). 3. Immutability – Once recorded, data cannot be altered, ensuring trust and transparency. 4. Cryptography – Ensures secure transactions and data integrity through hashing and digital signatures.

4. Types of Blockchain 1. Public Blockchain – Open to everyone (e.g., Bitcoin, Ethereum). 2. Private Blockchain – Restricted access, used within organizations (e.g., Hyperledger Fabric). 3. Consortium Blockchain – Controlled by a group of organizations, balancing privacy and transparency.

5. Blockchain Architecture 1. Blocks – Containers of transaction data with unique hash values. 2. Chains – Sequence of blocks linked securely using cryptographic hashes. 3. Nodes – Computers participating in the blockchain network. 4. Miners – Nodes that validate transactions and add new blocks through consensus algorithms. 5. Transaction Validation – Involves verifying authenticity, consensus agreement, and block addition to the chain.

6. Summary • Blockchain is a decentralized and secure ledger system. • Principles include decentralization, consensus, immutability, and cryptography. • Types: Public, Private, Consortium. • Architecture: Blocks, Chains, Nodes, Miners, and Transaction Validation. • Applications span across multiple industries enhancing transparency and trust.