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3 - Blockchains

The Foundation

from Part II - Technological Underpinnings of Web3

Published online by Cambridge University Press:  21 November 2024

Ken Huang ,
Youwei Yang ,
Fan Zhang ,
Xi Chen  and
Feng Zhu
Ken Huang
Affiliation:
DistributedApps.ai
Youwei Yang
Affiliation:
Bit Mining Limited
Fan Zhang
Affiliation:
Yale University, Connecticut
Xi Chen
Affiliation:
New York University
Feng Zhu
Affiliation:
Harvard Business School
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Summary

Chapter 3 provides a comprehensive overview of the foundational blockchain technology stack. It begins by examining the consensus layer, which enables a decentralized network to agree on the state of a shared ledger. The consensus layer is highlighted as the core foundation, with a deep dive into the breakthrough Nakamoto consensus protocol. Nakamoto consensus leverages proof of work for leader election and the longest-chain rule for transaction confirmation to achieve decentralized consensus in permissionless settings. The chapter then explores the computer layer, which defines the blockchain’s computational model, and the application layer where decentralized apps are built. It uses Bitcoin and Ethereum as examples to demonstrate how these layers work together in real-world systems. Bitcoin implements a simple UTXO model and scripting language, while Ethereum provides a Turing complete virtual machine. Finally, the chapter discusses elements such as wallets and RPC services involved in the user-facing experience. Overall, the chapter provides a comprehensive technical grounding across all layers of blockchain systems.

Type
Chapter
Information
Web3
Blockchain, the New Economy, and the Self-Sovereign Internet
 , pp. 73 - 94
Publisher: Cambridge University Press
Print publication year: 2024

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References

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  • Blockchains
  • Ken Huang, DistributedApps.ai, Youwei Yang, Bit Mining Limited, Fan Zhang, Yale University, Connecticut, Xi Chen, New York University, Feng Zhu, Harvard Business School
  • Book: Web3
  • Online publication: 21 November 2024
  • Chapter DOI: https://doi.org/10.1017/9781009375665.008
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  • Blockchains
  • Ken Huang, DistributedApps.ai, Youwei Yang, Bit Mining Limited, Fan Zhang, Yale University, Connecticut, Xi Chen, New York University, Feng Zhu, Harvard Business School
  • Book: Web3
  • Online publication: 21 November 2024
  • Chapter DOI: https://doi.org/10.1017/9781009375665.008
Available formats
×

Save book to Google Drive

To save content items to your account, please confirm that you agree to abide by our usage policies. If this is the first time you use this feature, you will be asked to authorise Cambridge Core to connect with your account. Find out more about saving content to Google Drive.

  • Blockchains
  • Ken Huang, DistributedApps.ai, Youwei Yang, Bit Mining Limited, Fan Zhang, Yale University, Connecticut, Xi Chen, New York University, Feng Zhu, Harvard Business School
  • Book: Web3
  • Online publication: 21 November 2024
  • Chapter DOI: https://doi.org/10.1017/9781009375665.008
Available formats
×