Cryptography’s Impactful Role in Blockchain Technology

Programmers are constantly finding ways to allow people from anywhere in the world to stay connected and transact business directly, safely, and efficiently. This has been happening ever since the advent of internet technology. At its core, internet technology experts are creating a digital world where a seamless system of bookkeeping ensures the secure handling of information, which is free from any risks of a security breach. Such a secure system is vital for banks, governments, and companies to guarantee the safety and security of their transactions.

Cryptography’s basic principle is disguising (encrypting) information and revealing (decrypting) the information using mathematics. It works by turning a message into a number that can be encrypted and decrypted between total strangers.

Blockchain technology relies on cryptography to achieve the following:

  • To safeguard the identity of those exchanging messages  
  • To ensure that all information and transactions are secure and legitimate 

Third-party transactions are always at risk for fraud and theft – verifications of such third-party transactions cannot be done by just anyone. This is where cryptography steps in. Thanks to cryptography, you can make online transactions without the worry of being deceived.

Almost everything online involves cryptography. From blockchain technology to communication apps, cryptography’s importance and role cannot be underestimated or overlooked.

Today, cryptography has become indispensable, particularly in digital communications. Many people rely on cryptography without even realizing it.  Take a look at your WhatsApp; there is the statement, “End-to-end encrypted.” This protects your privacy – the transmitted data stays between you (the sender) and the intended recipient. Other uses include: 

  • Reliability – the data cannot be modified in storage or transfer between you and the intended recipient having no kind of modification. 
  • Non-repudiation – once the data is transmitted, you cannot deny it in the later phases. 
  • Authentication – both you and the intended recipient need to circumstantiate your own identities about the transmitted and received data.  

To understand blockchain technology, you need to understand cryptography’s tenets. 

Learn more about the basics of cryptography and its key functions by enrolling in the Blockchain Essentials certificate program offered by Genashtim in collaboration with eCornell.

eCornell courses are approved by SkillsFuture Singapore for SkillsFuture Credit as well as by HRD Corp Malaysia under its SBL-Khas Scheme.