What is the core essence of blockchain?

The core essence of blockchain technology is based on decentralization. Its purpose is to use coding and cryptography to maintain the trust between participants, remove the interference of intermediate processes, and save all data and information in an unchangeable distributed account book to achieve complete transparency and mutual trust. Therefore, blockchain technology can be used not only for financial transactions, but also for supply chain management, intellectual property protection, electronic voting and other fields, all of which are related to its decentralized nature.

In addition, the essence of blockchain technology lies in its untrusted system. In this system, participants do not need to trust each other, but can ensure the coordination between nodes through algorithms and intelligent contracts. Blockchain technology transforms the process of trust into the process of algorithm and cryptography, and all data and information do not need to be verified by third-party institutions, thus reducing transaction costs, speeding up transactions, improving transaction reliability and bridging the current situation of mutual distrust in reality.

Generally speaking, the core essence of blockchain technology is to achieve cooperation and coordination among participants on the basis of decentralization and distrust. It solves the contradiction in reality through technical means, makes people more trustworthy in future transactions and realizes decentralized bookkeeping, thus further narrowing the distance between people. With the continuous optimization and application of blockchain technology, it is believed that it will play a huge role in more industries and promote innovation and development in various fields.