Byzantine Fault Tolerance is a term based on old Byzantine times even it is now related with blockchain. Actually the theory based on “two general problems” term. Imagine that Byzantine army surrounded a castle such as image. The army surrounds castle in well shape and try to implement a plan which they did before.

In this case there are some critical points to implement that plan like time management, obligate same rules, act together and so on. If all of them start to attack at the same time, with same rules and by coordination they probably win the battle and capture the castle. In this scenery, altough expected end result with success what if they can not act together? For whole life there are always some reasonable actions but also nonsenses. In our scenery if some generals understand the plan worng, or make a time management mistake or worse if they do not comply the plan then falling process will start. Some of army wings attack while some of them not, that is the problem and resulted in lost probably.

How Does That Theory Affect Blockchain System?

In blockchain system as we described before in “what is bitcoin” article, it uses chain system to communicate. If a user carry out a process, it forwards through the chain and reaches end point. All chain members need to make some kind of hash calculations to be integrated to the system. And after that process they would be a part of the system. Think about stock markets, generally all process carry out by individuals but via banks which are official institutions. Sometimes, there may be some fake reactions to engage others and that situation may cause difficult issues. That’s why banks are authorized to get in stock markets by governments, so they could easily control the situation and intervene if it necessary. But, when we have a look at blockchain system that is a disadvantage. If any fake, unreasonable or sabotage acts occur, nobody could intervene and stop. However, there has not been anything like that since blockchain begins.

On the other hand, blockchain defends itself they protect their system by testing each contributor. You can not just be part of the system directly. Firstly, you need to understand the old hash and calculate it by technology you have, you need to add some extra to hash which takes an important time. In this case, it assumed that nobody gives so much time just to occur sabotage or fake act. Blockchain system contributors defends that but nobody could know what will be happen. At least according to Adam Smith’s theory, invisible hand arranges market. You are a part of invisible hand according to that you are safe and dangerous at the same time for blockchain, because there are no any official institution behind this.

Reference: https://bitcoinlerim.com/bizans-hata-toleransi/ 

Cover Image is taken from: http://blog.koinim.com/wp-content/uploads/2017/12/Blockchain.jpeg

Image-1 is taken from: https://cdn-images-1.medium.com/max/1600/0*-xCD-El4LZ48dji1.png

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Bitcoin, with its short code BTC, is an electronic money unit which is not belong to any central bank, state or official institution. It has been the most used money unit in deep web. BTC could be seperated after comma to 100 million digits. It started with a manifesto on 3rd January 2009 written by Satoshi Nakamoto. It is not produced from a center, it has a kind of network such as bittorrent networks. So, any payments occcured in the network reach other point at the moment.

All gathered logs kept in the structure named block. A high-level process requires hash, implemented on each block and it is wanted to find a statement beginning with a 0 number to create 1 bitcoin. Approximately 10 minutes process would be begin like this and first user who executes that process would be rewarded with 50 BTC, and with each 210 thousand blocks that prize decreased its half (now it is 25 bitcoin BTC).

Each block contains before’s hash algorithm. So, it would be a blockchain technology which is difficult to be corrupted. Aim behind that technology is to keep send process registered and prevent double process.

Bitcoin’s price is determined by supplies and demands in the market. When demands increased, price increases. When demands decreased, price decreases. There are limited bitcoins in circulation and there is a procedure and a limit to produce BTC.

What is Mining? How could you gain BTC?

Gaining BTC process is named via mining. Basically, you need to download a program on your computer to calculate hash algorithm and find new formula, so you would be rewarded and gain bitcoin. The most common ways are using high-hardware computers’ cpu’s or high-featured graphic card’s cpu’s to calculate algorithm, however there are also some firms give you chance to rent a high-technology devices for mining because first step costs much more a little bit.

Advice

Bitcoin without any official institution support might be dangerous in long term even if it is suitable for gaining in short term. Our advice is to divert stock market more than btc market, in this case you could follow our finance category.

Image Address: https://webrazzi.com/2017/07/26/bitcoin-cash/

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