What is blockchain?

• Definition: Blockchain is a decentralized and secure digital ledger that records transactions across a network of computers[^8]. It ensures transparency, immutability, and tamper resistance, making data manipulation difficult.

• Functionality: Each transaction, or 'block', is securely linked to the previous one, forming a continuous chain of information[^11]. This distributed ledger eliminates the need for intermediaries like banks, enabling peer-to-peer transactions and reducing costs.

• Applications: Beyond cryptocurrencies, blockchain technology has found applications in various industries such as supply chain management, healthcare, and finance[^14]. It offers enhanced efficiency, traceability, and decentralized solutions.

• Security: Blockchain uses encryption to protect sensitive data, ensuring that transactions are secure and resistant to hacking[^12].

• Decentralization: Blockchain operates on a decentralized network, also known as a distributed-ledger technology (DLT), where there is no single authority overseeing transactions[^13].