What is blockchain in cryptocurrency

[Wiex.Io]

Blockchain in cryptocurrency is one of the key concepts that make it unique and sustainable. It is a distributed and immutable database that stores all transactions made in a given cryptocurrency.
The basic idea what is a blockchain in crypto wiex.io/wallets/bitcoin is to create a decentralised system with no central authority or intermediaries. Each transaction is added to a block, which is then attached to a chain of blocks. Each block contains information about the previous block, which ensures that all transactions are chronologically consistent.
One of the main benefits of blockchain in cryptocurrency is security. Because the blocks cannot be changed or deleted, data manipulation becomes very difficult. In addition, the transfer of cryptocurrency is done directly between entities, which eliminates the need to trust intermediaries or banks.
Blockchain also provides transparency and privacy. All transactions are visible to all participants in the network, eliminating the possibility of fraud and counterfeiting. However, users' personal data remains protected because they are identified by a key, not by name or other personal information.
However, cryptocurrency blockchain is not without its drawbacks. Its main challenge is scalability, because as the number of transactions grows, so does the size of the blockchain. In addition, the process of verifying and adding blocks to the blockchain can be time-consuming and computationally intensive.
Overall, blockchain in cryptocurrency is a fundamental technology that is changing the way we work with finance and other types of data. Its advantages of security, transparency and lack of intermediaries make it very attractive to various industries and the future of its use could be very promising.