Skip to content
Related Articles

Related Articles

Improve Article
Save Article
Like Article

History of Blockchain

  • Last Updated : 26 Oct, 2021

In this article, we will discuss the definition of Blockchain, and its overview, and then our main focus will be on the History of Blockchain and will discuss it in detail. Let’s discuss it one by one.

Blockchain

Blockchain can be defined as the Chain of Blocks that contain some specific Information. Thus, a Blockchain is a ledger i.e file that constantly grows and keeps the record of all transactions permanently. This process takes place in a secure, chronological (Chronological means every transaction happens after the previous one) and immutable way. Each time when a block is completed in storing information, a new block is generated.



Overview of Blockchain:

Blockchain is a buzzword in today’s technology and this technology is described as the most disruptive technology of the decade. Thus, Blockchain is used for the secure transference of items like money, contracts, property rights, stocks, and even networks without any requirement of Third Party Intermediaries like Governments, banks, etc. Once the data is stored in the Blockchain it becomes very difficult to manipulate the stored data. A Blockchain is a Network Protocol like SMTP. However, Blockchain cannot be run without the Internet. BlockChain is useful in many areas like Banking, Finance, Healthcare, Insurance, etc.

History of Blockchain:

Here, we will discuss the history of blockchain in detail as follows.

  • In 1991, researcher scientists named Stuart Haber and W. Scott Stornetta introduce Blockchain Technology. These scientists wanted some Computational practical Solution for time-stamping the digital documents so that they couldn’t be tempered or misdated. So both scientists together developed a system with the help of Cryptography. In this System, the time-stamped documents are stored in a Chain of Blocks.
     
  • After that in 1992, Merkle Trees formed a legal corporation by using a system developed by Stuart Haber and W. Scott Stornetta with some more features. Hence, Blockchain Technology became efficient to store several documents to be collected into one block. Merkle used a Secured Chain of Block which stores multiple data records in a sequence. However, this Technology became unused when Patent came into existence in 2004.
     
  • However, in the same year 2004, Cryptographic activist Hal Finney introduced a system for digital cash known as “Reusable Proof of Work”. This step was the game-changer in the history of Blockchain and Cryptography. This System helps others to solve the Double Spending Problem by keeping the ownership of tokens registered on a trusted server.
     
  • After that in 2008, Satoshi Nakamoto conceptualized the concept of “Distributed Blockchain” under his white paper: ”A Peer to Peer Electronic Cash System”. He modified the model of Merkle Tree and created a system that is more secure and contains the secure history of data exchange. His System follows a peer-to-peer network of time stamping. His system became so useful that Blockchain become the backbone of Cryptography.
     
  • After that, the evolution of Blockchain is steady and promising and became a need in various fields. Blockchain technology is so secure that the following surprising news will give proof about that. A person named, James Howells was an IT worker in the United Kingdom, he starts mining bitcoins which are part of Blockchain in 2009 and stopped this in 2013. He spends $17,000 on it and after he stopped he sells the parts of his laptop on eBay and keep the drive with him so that when he needs to work again on bitcoin he will utilize it but while cleaning his house in 2013, he thrashed his drive with garbage and now his bitcoins cost nearly $127 million. This money now remains unclaimed in the Bitcoin system.

References :

My Personal Notes arrow_drop_up
Recommended Articles
Page :