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What is hashing in cryptocurrencies?

Hashing is a fundamental part of cryptography. And plays a huge role behind the “crypto” in cryptocurrencies. In simple terms, hashing means inputting text of ANY length through a hash function which produces an output of a FIXED length. Any piece of data can be “ hashed ”, no matter its size, type, or length.

What is a cryptographic hash?

Cryptographic hashing has long played a part in cyber defense and is poised to drive the coming wave of blockchain applications. The perfect cryptographic hash function has the following key characteristics: It is foreordained, meaning that the same message will always result in the same hash.

What is the backbone of a cryptocurrency?

The backbone of a cryptocurrency is the blockchain, which is a globally distributed ledger formed by linking together individual blocks of transaction data through hashing. The blockchain only contains validated transactions, which prevents fraudulent transactions and double spending of the currency.

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