An Intuitive Approach behind Distributed Ledger Technology

Abstract

Blockchain is an empowering technology with distributed database documents or public ledger of transactions shared amongst organizations or individuals to provide trust and transparency. The decentralized distributed feature on top of cryptography makes blockchain grant higher safety than other systems. The significance of blockchain is to record transactions that are consensually shared and synchronized across multiple nodes of a network. In addition to these facts maintaining the integrity of the data, the fault tolerance of the system, scalability, and security are crucial concerns to be considered in upholding the reliability of a network. To mitigate with the prescribed facts and to make the nodes agree on the authenticity of the transaction, the consensus mechanism plays a significant role. The consensus mechanisms will ensure the correctness of solved transactions among nodes in the network, providing legitimized transactions. However, there are some major limitations and challenges and this chapter will carry out a comprehensive study of each consensus algorithm with its merits, demerits, and applications. Further, this chapter will address a factual study of possible solutions provided by research giants with their adapted innovative protocols thereby helping researchers to draw insights into this field.