BitBit Financial is owned by iMining Technologies, a public company traded on TSXV under IMIN.

How does blockchain work?

The blockchain is a database that allows you to add information but not edit it, making it the go-to place for accurate information.

In the digital world, we live in, it’s very easy to manipulate information. In fact, it’s becoming harder and harder to know what’s true and who to trust.

The goal of the blockchain as a database is to allow information to be recorded in it, shared, and made accessible to everyone but not make the information editable. This means once the information is in the blockchain, it cannot be changed or misconstrued, or removed. In this way, the blockchain acts as a source of truth.

To understand how a blockchain works, let’s imagine you’re moving houses and you start by packing up your kitchenware.

Gold Bit Coin BTC coins on the motherboard. Bitcoin is a worldwi

Lesson 02

Blockchain Work

You get all your special chinaware organized. You pack them into a box until the box is full. Once at capacity, you write “fragile: wedding chinaware” on your box. When the box is closed off, taped and labelled, you add it to your U-Haul truck and drive to your new home.

Well done, you’ve just enacted how a blockchain works!


In our example above, the brand new chinaware were your transactions made with bitcoin; the box itself labelled “fragile: wedding chinaware” was the block that contains all the bitcoin transactions; and the U-Haul truck was the blockchain that contains all the blocks full of transactions.

Remember: Once the transactions are added to the blockchain, they cannot be reversed, edited, or deleted. Just like the chinaware cannot be accessed from the boxes once the truck is driving to your new home.

Now, wondering if the blockchain only applies to bitcoin? Not necessarily.

How a Blockchain Works in Different Industries

Health Care

Medical records are being added to the blockchain so that practitioners can view accurate health records in real-time.

Space Industry

NASA is using the blockchain to keep the information about their shuttles accurate, and as a way to protect their information from being hacked.

The blockchain is being applied to areas where there is a lot at stake and where information should not be lost or tampered with. The blockchain technology is spreading outside of cryptocurrencies and helping us create a world that is safer, transparent and more secure. This is why the blockchain is powerful.