blockchain technology for secure transaction by software outsourcing company india

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Blockchain for secure transaction

Blockchain is a distributed database that maintains a continuously-growing list of records called blocks secured from tampering and revision. Each block contains a timestamp and a link to previous block

A blockchain consists of blocks that hold batches of valid transactions. Each block includes the hash of the prior block in the blockchain, linking the two. The linked blocks form a chain

Software solution company in Indiahttp://www.ifourtechnolab.com

Introduction of Blockchain

http://www.ifourtechnolab.com/eCommerce-solutions.aspx

Why Use Blockchain


Shared Contract

CryptographyShared Ledger

Consensus

Append-only system of record shared across business network

Ensuring secure, authenticated & verifiable transactions

All parties agree to network verified transaction

Business terms embedded in transaction database & executed with transactions


Why Use Blockchain contd.


Highly secured Blockchain is decentralized data/block system Minimal or no data loss as every node inside blockchain has copy of

data/block so can easily recover corrupt data/block Additional security as no centralized "official" copy exists and no user is

"trusted" more than any other.


Why Use Blockchain contd.


Highly secured as Blockchain public and private key for encryption. Private key are known to only user and is not stored

anywhere. When we do any transaction we give only scriptpubkey. Scriptpubkey contains a public key and network

address in encrypted format. So sender/hacker does not have information about our public key and network address so it is more secure compared to other technology



Blockchains are a technology that may be integrated into multiple areas. Examples includes

Payment system and digital currency Cryptocurrency Permission distribution like distributed voting system and share power of

voting system.

Where to use Blockchain



How blockchain works



Expaination of how blockchain worksHere, person A sends some bitcoin(digital currency) to person b. person A has wall account and also knows digital address of person b

Step 1 Inside this person A creates his own digital signature inside transaction.

Step 2 This transaction is sent to Miner. Miner is one type of verifier that verifies transaction.

Step 3 Miner broadcasts transaction as block to all connected nodes if transaction is valid

Workflow explanation



Step 4 Node accepts block only if all transactions in it are valid and not already

used. Ownership of blocks that include transaction is transferred to target

account(digital address) of person b Step 5

Person B gets money(digital currency)

Architecture explanation



Block Format

{ "hash": "258ed68ac5a813fe95a6366d94701314f59af1446dda2360cf6f8e505e3fd1b6", "ver": 1, "vin_sz": 1, "vout_sz": 3, "lock_time": 0, "size": 166,

"in": [ { "prev_out": { "hash": "4ebf7f7ca0a5dafd10b9bd74d8cb93a6eb0831bcb637fec8e8aabf842f1c2688", "n": 1 }, "scriptSig": "" } ],


"out": [ { "value": "0.00400000", "scriptPubKey": "OP_DUP OP_HASH160 c81e8e7b7ffca043b088a992795b15887c961592 OP_EQUALVERIFY OP_CHECKSIG" }, { "value": "0.00590000", "scriptPubKey": "OP_DUP OP_HASH160 71049fd47ba2107db70d53b127cae4ff0a37b4ab

Block Format contd.


OP_EQUALVERIFY OP_CHECKSIG" }, { "value": "0.00000000", "scriptPubKey": "OP_RETURN 42696c6c20537472616974206973207570646174696e672073637265656e73686f74732e" } ] }


Block Format contd.

• Previous format is one part of blocks.• Block contains Hash value of current and previous blocks• Hash values are in encrypted format• Sign script is the owner of previous transaction• Scriptpubkey identifies receiver. It is genearted from sender hash public key,

value Is amout of bitcoin send by sender



Disadvantage of Blockchain

Blockchain requires more storage space as it stores all transactions. Complete transaction takes more time compared to other technologies as

transaction verification process is longer and we are dependent on Miner for verification. On verification by Miner, transaction is broadcast to all node as Block

This is comparatively costly technology. Miner charges per transaction for verification



Ethereum

Ethereum is a public blockchain-based distributed computing platform, featuring smart contract functionality. It provides a decentralized virtual machine, the Ethereum Virtual Machine (EVM), that can execute peer to peer contracts using a cryptocurrency called ether.List of application use Ethereum

http://dapps.ethercasts.com/



Miner

Miner is one type of Verifier. Work of Miner is to verify a transaction and broadcasts the same to all connected nodes.

Miner charges small transaction fees for verification. Testnet Miner takes 0.01Btc per transaction.



Example

If you want to send 0.5 BTC from a transaction input with 1 BTC you actually have to spend all!As the diagram shows below, your transaction output specifies 0.5 BTC to Hall of The Makers and 0.4999 back to you.What happens to the remaining 0.0001 BTC? This is the miner fee in order to incentivize them to add this transaction into their next block

List of minerF2Pool,AntPool,BTCC Pool,BitFury,BW.COM,ViaBTC,HaoBTC,SlushPool,BitClub Network,BTC.com,GBMiners,1Hash,Kano CKPool,Telco 214,Bitcoin.com,BitMinter



Questions

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blockchain technology for secure transaction by software outsourcing company india

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