It is becoming more important to cryptography in the future blockchain network. One of those is the process of computing real, unique data. Hash knows this system. The chances are that you are familiar with the unique codes often find on Blockchain. One example is a Hash function in the blockchain.
There are many opportunities for digitalization in financial services in the future because of cryptocurrencies, such as Bitcoin. Bitcoin circulates via blocks, which reward miners who break a block. On the other hand, the central bank issues fiat currency. The miner who uses special hardware is run the practice to solve computational problems and produce 64-character output.
Although it equip with a lot of advanced use technology in it for various parts in terms of speed, accuracy to security on Blockhain is very good. However, it does not mean that there is no crime in it. One of them is a 51% attack that its impact is dangerous and harms many parties.
The output below is knows as a “hash”. These hashes, are they? This term refers to a mathematical operation or function that contains data of different sizes and combines it into a series. It is important to remember that some data has a fixed size, especially in times of large transactions.
What is Hash Function?
Before understanding how hash functions work in blockchain, you must know the difference between encryption or encoding. Encryption, also known as encryption, is a protection process in which the information has make invisible without special assistance. The next stage is the decryption or description.
This is responsible for reading encrypted messages. The widespread use of encryption has been embed in many electronic commerce mechanisms, ATMs, mobile telephone networks, and mobile telephone networks.
Encoding (encoding/encoding) refers to turning information from the source into data that can send to the recipient according to the data processing method. Encoding is similar to encryption. This is the process by which data is converted from the source into information that the recipient can understand.
What About the Hash Function?
A hash in cryptography is an algorithm to replace information. Data entered will transform into numbers, letters, and other characters, without altering the size. You cannot retrieve encrypted data via the hash function. One of the reasons why this algorithm is knows as a One-way Function.
You can customize how the hash function works to suit your needs. The problem is that the algorithm used to transform the information can differ depending on its adjusted direction. Therefore, several conditions must meet before the hash function will work in blockchain correctly.
A hash function in blockchain requires that two key identicals to each other so that the hashing result is not different and has a low complexity level. This reduces the possibility of a collision.
Why is Hashing Important
It uses across multiple industries because of its complexity and sensitivity. It is possible to have difficulties when you first try the algorithm or mathematical process. But, once you understand their roles, it is easy to learn as many hash functions as you need. These are the three reasons that make the hashing process so important.
1. Ability to Preserve Data Integrity
Hash functions, as we have already mentioned, are extremely sensitive. The compiled code will affect by even the smallest change. However, the chance of another similar hash appears smaller. Hashing uses to protect confidential data, such as passwords for ATMs or other devices that store individual data. Hackers will less likely to hack systems that are more complicated than those created by the hash function.
2. Accelerating the Sending Process
You can see one example from the hash function of this problem: the verification that the archived copy is identical to the original. Shipping can complicate if the documents are not in the same location as the original archival databases.
Instead of sending the whole document to a central machine that takes too much time, you can use a proper hash function to send a message to the archive. If the message digest for the copy matches the original archive, you can certain that they are identical.
3. Normalize Different Data Length
If you create an account on a market or application, the minimum length of your password requires. It can any character from 5 to 9 characters, with different types. The server will store the password to make the authentication process easier for you as a PC or laptop user. The password characters will put in a fixed-length hash value to ensure uniform length in the database. The hash role will display passwords processed by the black dot.
What kind of Hash Function Used in the World of Crypto?
SHA256 is the first Hash to be created and used on a publicly accessible blockchain network. This Hash can use in Bitcoin for transaction processing and calculation of the Hash Value. NIST (National Institute of Standards and Technology) initiated this user in 2001.
SHA256, 2nd generation Sha type have. Use number 256 to indicate that the database is 256 bits. Because it is small and can send quickly, SHA26 is frequently used by different blockchain mechanisms. You can even process large transactions.
Hash RIPEMD160 refers to Race Integrity Primitive Evaluating Message Digest. MD4 developed the concept of the hash algorithm. The transaction data generated is less than SHA256, which is 160 bits.
MD5 is often used as a hash function with a 128-bit value. This is one of several security applications that is using (RFC 1321). MD stands for message digest. MD5 can use to replace MD4, which was developed at MIT by Professor Ronald Rovest.
What is MD5 as a type hash function in blockchain? There are occasions when retrieving files and documents is interrupted by insecure internet access or the device shutting down suddenly. The downloaded file might not to available to you if it is already corrupted, destroyed, or unavailable. MD5 can help you avoid this risk if used correctly.