As transactions are added to the Book: Explanation of Ethereum
As a beginner in the Cryptocurrency World, it can be irresistibly understanding the concepts behind blockchain technology and the way transactions are executed. The Ethereum Network.
Blockchain Basics
Before we dive into the specifics of Ethereum’s transaction process, let’s quickly review what blockchain is. Blockchain is a decentralized, digital book that captures transactions on the computer network (Nodes). This is basically the block chain, and each contains a set of transactions.
Ethereum and Transactions
On network of Ethereum transactions is recorded in
Blockchain called «mainnet» or «eth blockchain». Each block contains a list of transactions, which are checked online on the Network. When a new transaction is made, it is added to the next available block in the chain.
Transaction Process
Here’s how one transaction is added to the book Ethereum:
- Creating a transaction
: Alice sends 1 Bitcoin to Bob’s Public Address. This is achieved using a cryptocurrency payment processor such as coinbase or vapay.
- Transaction check
: This procedure is called «Mining».
- Block creation :
- Blockchain update : updated blockchain is broadcast to all knots online for checking.
Rudar Check
Once a new block is added, it is checked by specialized nodes called miners. Miners use powerful computers to solve mathematical problems, which include finding a «hash -a» that fits the previous block in the chain. This procedure is called
Proof of Work (Pow).
To create a valid transaction, Alice Must:
1.
- Be part of a group called «Committee» (more about it later).
4
The Role of the Committee and Decentralized Management
The Ethereum network is designed with committees, These committees have different levels of powers, allowing decentralized management and safety.
In Short, Ethereum’s Transaction Proconure Includes:
- Creating Alice Transactions
- Miners Check
- Block Creation and Supplement Mainnet
- Update and Check Blockchain
The use of powers.
The Ethereum book!