Blockchain technology provides an innovative way to handle transactions over the internet. Instead of using a 3rd party to facilitate and validate transactions, blockchain allows for decentralized agreements. It basically eliminates the middlemen along with the usual accompanying fees. It may seem a bit mysterious, but really, it’s not so bad.
Transaction information is held in containers known as blocks. This data is checked and validated by all other computers (nodes) on the network. Once a block holds a specific number of valid transactions, it is officially created and added to the chain in sequential order. This means the last block on the chain always contains the most recent group of transactions. A unique alphanumeric code called a “hash” is created for the block. Each block contains the hash of itself and the previous block on the chain.
Once on the chain, the transaction information contained within the blocks can’t be changed. Any change to data within a block would alter its hash and the hash of each subsequent block. This breaks the chain. Each node on the network has the full history of the blockchain, so its accuracy and integrity are constantly verified. This is why blockchains are considered immutable. With these advantages, it’s easy to see why we’ve chosen to integrate blockchain technology into our security and privacy-focused file-sharing program, AXEL Go. For example, now if you send a contract to a vendor or client, that transaction is registered on the blockchain. You can now confirm with undeniable proof when the contract was sent and to whom.