Simply put, the blockchain is a huge online data storage for everything that has value in the digital world. Each new record is called a "Block"and these blocks are appended to all the blocks that precede them, like the links in a chain. chain). Hence the term Blockchain.
What is special about the blockchain is that it does not store information on a central, local server, but instead on a decentralised databasewhich is operated jointly by many participants. This register is called "Distributed ledger" and enables all data to be absolutely forgery-proof to transmit and store the data.
Each new block that is generated is checked by every single computer in the network before it is incorporated into the existing chain. verified. Subsequently, the new block encrypted and appended to the previous blocks. In addition, at the beginning of a new block there is always a Summary of the previous block so that each block always refers to its predecessor.
Since later transactions always refer to the ones before them and thus verify them again, it is impossible to manipulate or delete a single transactionwithout also changing all the blocks that come after it. Every participant in the network could see this inconsistency of the successive blocks.
This combination makes it impossible to change, copy or delete individual pieces of information on a blockchain. This makes blockchains secure, always up-to-date directories that can document digital transactions in a traceable way.
Here is how the procedure works similar to a bank.
Each user must have a digital "Wallet"which is comparable to a bank account. If a user wants to transfer a payment to another user, all computers in the network check whether this user has enough money in his wallet for the transaction.
If yes, the process completed and a new block is generated, which now says that on this day at this time User 1 has transferred a certain amount to User 2 and how much money each of them has in their wallet afterwards.
If user 1 does not have enough money in his wallet for the upcoming transaction, the process will be cancelled during the check. Rejected and the payment cannot be completed.
NFT stands for "Non-Fungible Token", i.e. "non-substitutable object".
An NFT can be described as digital title deed and it is this digitally verified certificate that can also be stored in a blockchain. Here, too, each new block of information is appended to the previous one. Thus, such a token is complete again tamper-proof.
NFTs can be created for a wide variety of things. Examples are digital artwork, tickets, domain names, company shares or also Computer game objects.
Of particular relevance to us is the use as a digital Proof of ownership or Certificate of authenticity of physical objects such as paintings, collectibles, expensive jewellery, etc.
We are happy to help you with any questions you may have about blockchain, NFT and our offerings. Give us a call or send us an email.
Tel.: +43 1 250 95-226
