3 Bitcoin Consensus That Must Be Understood

3 Bitcoin Consensus That Must Be Understood
3 Bitcoin Consensus That Must Be Understood

3 Bitcoin Consensus Needs to be Understood – Has Made Bitcoin So Popular

3 Bitcoin Consensus. We have seen much of how the Bitcoin consensus can be reached, then the consensus is distributed. If described in general, there are basically 3 Bitcoin consensus. Of the three consensus it is that has made Bitcoin become so popular.

Before we proceed with this discussion, we assume that you have read two of the following:

  1. Consensus Without Identity In Block Chain
  2. Distribution of Bitcoin Consensus

If you have read the two discussions above, let’s continue with the discussion. 3 Bitcoin consensus in question is:

  1. Consensus on rules
  2. Consensus on transaction history
  3. The consensus that BTC coins are valuable

Let’s mambahas one by one the consensus.

  1. Consensus on rules

The Bitcoin consensus on this rule is the rules relating to what makes a transaction or a block declared valid. These rules have been incorporated into the Bitcoin Core software. So when the software is run, automatically, the user is also valid in accordance with these rules.

If everyone runs the same software even though the users are different, then they can communicate with each other. And of course, can agree on something that happens in the network.

  1. Consensus on transaction history

We certainly know that all transactions will be recorded and stored entirely. In the first consensus on rules, it can be seen which transactions are valid and which are not. Thus, the consensus on the history of these transactions, too, is to do with valid transactions within Blockchain.

All transactions that have occurred, recorded, and stored in the Blockchain, can be proof that can not be changed or manipulated. In every transaction, it can claim where and where the coin goes.

It can be said that the consensus on the history of this transaction is the result of a consensus on the rules of Bitcoin. Technically how can a Bitcoin transaction be able to claim its historical transactions, being the most complicated to understand. However, we have discussed it in the discussion of data structures .

  1. The consensus that BTC coins are valuable

After the two consensus are able to walk, then in the end there is general agreement in Bitcoin community. Seeing that Bitcoin is quite valuable. So if someone receives a certain amount of bitcoin, the recipient can trade it.

It can be done, of course, because Bitcoin does have value. Likewise, if the recipient is going to spend some bitcoin belongs to him in the future. He can certainly use and transact with a certain amount of value.

If we try to compare with Fiat currency, of course the currency becomes believed to have value because it has been stated in the rules of legislation. In cryptocurrency, the rules and historicity of the transaction, subject to existing consensus.

Unlike Fiat, the bitcoin value consensus depends on each user who believes the same. That a certain amount of bitcoin can be traded for a certain value at this time as well as in the future. If all users believe it until the future, then of course the consensus will continue.Proverbial, this bitcoin value consensus is like in a Tinkerbell story. In that story, Tinkerbel is there because you believe in him.

3 Bitcoin consensus is intertwined with each other. All three become an important part that has made Bitcoin work and work as it should. As we see today, Bitcoin is becoming quite popular.

Cloud Faucet Net

Cloud Faucet Net

Cloud Faucet Net is an online medium for sharing knowledge and information about Bitcoin and cryptocurrency. It was first established in March 2017. Hopefully, it can be used as a source of information as well as a reference to the addition of useful knowledge, related to Bitcoin and the technology that surrounds it.

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