Hope y'all doing very well these days ! Perviously we've learned how blockchain works. Today, in this article I will talk about another interesting fact which is TRANSACTION PROSEES 🔁 in blockchain. So, let's dive into the transaction process in blockchain.. ..

Transactions follow a specific process, depending on the blockchain they are taking place on. For example, on Bitcoin's blockchain, if you initiate a transaction using your cryptocurrency wallet—the application that provides an interface for the blockchain—it starts a sequence of events.

In Bitcoin, your transaction is sent to a memory pool, where it is stored and queued until a miner or validator picks it up. Once it is entered into a block and the block fills up with transactions, it is closed and encrypted using an encryption algorithm. Then, the mining begins.

The entire network works simultaneously, trying to "solve" the hash. Each one generates a random hash except for the "nonce," short for number used once.

Every miner starts with a nonce of zero, which is appended to their randomly-generated hash. If that number isn't equal to or less than the target hash, a value of one is added to the nonce, and a new block hash is generated. This continues until a miner generates a valid hash, winning the race and receiving the reward.

Generating random hashes until a specific value is found is the "proof-of-work" you hear so much about—it "proves" the miner did the work. The amount of work it takes to validate the hash is why the Bitcoin network consumes so much computational power and energy.

Once a block is closed, a transaction is complete. However, the block is not considered to be confirmed until five other blocks have been validated. Confirmation takes the network about one hour to complete because it averages just under 10 minutes per block (the first block with your transaction and five following blocks multiplied by 10 equals about 60 minutes).

Not all blockchains follow this process. For instance, the Ethereum network randomly chooses one validator from all users with ether staked to validate blocks, which are then confirmed by the network. This is much faster and less energy intensive than Bitcoin's process.

Today I will explain How Does Blockchain Work. Hope this article will help you all to understand blockchain consensus. So let's dive into the ocean 🌊 of blockchain.

The Process ♻️

Firstly, a user or a node will initiate a transaction signing it with its private key. Basically, the private key will generate a unique digital signature and make sure that no one can alter it. In reality, if anyone tries to modify the transaction information, the digital signature will change drastically, and no one will be able to verify it. Therefore, it will be dismissed. So after that, the transaction will get broadcasted to the verifying nodes. Basically, here, the blockchain platform can use different methods to verify whether the transaction is valid or not. There methods or algorithms are called consensus algorithm.