***** Blockchain Training : https://www.edureka.co/blockchain-training ***** This Edureka video on "Blockchain Explained" is to guide you through the fundamentals of the new revolutionary technology called Blockchain and its defining concepts. Below are the topics covered in this tutorial: 1. History of blockchain 2. What is Blockchain 3. Traditional Transaction vs Blockchain 4. How Blockchain Works 5. Benefits of Blockchain 6. Blockchain Transaction Demo Here is the link to the Blockchain blog series: https://goo.gl/DPoAHR You can also refer this playlist on Blockchain: https://goo.gl/V5iayd

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Hadoop vs Spark

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Agenda
History of
Blockchain
What is a
Blockchain?
Benefits of
Blockchain
How
blockchain
actually
works
Traditional
Transaction
vs
Blockchain
1 2 3 4 5
Transaction
Demo
6

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Everybody Wants to Know
Let’s check out that blockchain
thing I heard about at work
today..

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A Little Bit of History
The technology was originally described in 1991 and was
intended to timestamp digital documents to avoid
backdate or tempering of any records
However great the technology was, its true potential was
not realized until Satoshi Nakamoto used it to create a
cryptocurrency "Bitcoin"
Blockchain
History

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Blockchain: What Is It?
In a line, blockchain can be described as a tamper-proof, distributed ledger that is capable of
securely recording all transactions that are committed on its network.

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Properties of Blockchain
Secure
Complex Validation
Efficient
Immutable
Properties of Blockchain

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Cryptocurrency is Just the Beginning
That’s only the tip of the iceberg
man. You should research more
on the technology
Hey have you heard about
cryptocurrencies?? They work on
blockchain…

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Traditional Transaction
Bob Alice
Bob wants to buy a cake from Alice’s
bakery. He needs to pay Alice in
advance
Alice will send the goods to Bob once
she has received the money…or a
proper proof that she will receive it

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Traditional Transaction
Bob’s Bank
1. Bob pays on
PayPal
Intermediary
Alice
Bob
Clearing
Intermediary
Alice’s bank
4. Bob’s bank
transfers amount
5. Alice’s bank
receives amount
Intermediary
6. PayPal confirms
payment
2. PayPal queries
Bob’s VIsa
3. Visa queries Bob’s
banking account

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Bob wants to send
money to Alice
The transaction is
represented online as a block
Every block is broadcast to
every party on the network
Those in the network approve
the validity of the transaction
After validation the block is
added to the chain
Alice receives her
money from Bob
Blockchain Transaction

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Centralised vs Distributed

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How Blockchain Actually Works?
Bob want’s to send money to Alice over a blockchain network!
Bob Alice

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Sign(message,private-key)
Initiating A Transaction
Bob decides to
send Alice 4 BTC
Bob’s Private Key
Alice receives
Bob’s transaction Alice’s Public Key
Verify(message,signature,public-key)

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Transaction Propagation
Transaction is propagated to the entire network

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Transaction Verification
Miner
SHA256

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Finding the Puzzle – Why is it Hard?
The SHA-256 is a one-way function hence, brute force is the only way to a particular output value
On an average, it takes many random guesses to find a solution and thus the challenge is tough
It takes around 10 minutes on an average for someone to find the special key to the solution

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Block-Chain

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To Sum up
Transactions are encrypted using asymmetric
cryptography
Transactions are propagated from peer to
peer
Transactions are verified publicly by miners
Transactions are stored in a public ledger
In a Blockchain Network:

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Benefits of Blockchain
Real time settlement
A lot of money is saved as intermediaries are
removed
Security and Reliance
Immutability
Anonymity

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Learn Blockchain
At Edureka!

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Edureka Curriculum
Cryptocurrency & Blockchain
Delving Into Blockchain
Bitcoin & Blockchain
Bitcoin Mining
Ethereum
Setting Up Private Blockchain
Environment On Ethereum
Hyperledger
Setting Up Development
Environment Using Hyperledger
Composer
Prospects Of Blockchain
Deploy Private Blockchain
On Multichain
Blockchain Developer Training

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