Blockchain
A blockchain is a shared record of transactions maintained by many computers at once, where each new block of entries is cryptographically linked to the one before it.
Traditional ledgers sit with a single trusted institution — your bank keeps the record of your balance. A blockchain distributes that record across a network, so no single participant owns it and no single participant can quietly rewrite it.
Each block contains a batch of transactions plus a cryptographic fingerprint of the previous block. Altering an old block would change its fingerprint, breaking every block that follows. This chaining is what makes historical entries practically immutable once enough blocks sit on top.
Networks agree on which transactions are valid through a consensus mechanism. Proof of work has participants expend computing power to earn the right to add a block. Proof of stake instead requires them to lock up the network’s own token as collateral, which they lose if they behave dishonestly.
Public blockchains such as Bitcoin and Ethereum are open to anyone. Permissioned blockchains restrict participation to approved parties and are used by consortia that want shared record-keeping without a public network. The technology is not limited to currencies — it also underpins smart contracts and token standards.
TrustFinance News covers the crypto sector alongside traditional markets, including the exchanges and custodians through which most users actually interact with these networks.