1.1. 0. Components of a Blockchain
What are the components of a Central Bank of a country? These are:
• Machines
• Personnel
In the same manner, a blockchain consists of computational machines that are purely digital. That is, they are not physical machines but computerized mathematical designs. Just like the Central Bank’s machines that produce physical money, blockchain’s machines produce digital money that is called cryptocurrency.
However, unlike a fiat Central Bank that requires personnel to operate the physical machines, a blockchain does not require any staff to operate it. Blockchain operation is automated, completely independent of any human operation.
A blockchain can handle billions, trillions, and in fact, any number of transactions, of digital currencies and yet no human hands are required! That is one of the wonders of the 4th Industrial Revolution.