Bitcoin is a digital currency that allows for peer-to-peer transactions without the need for intermediaries like banks. It's decentralized, meaning no single entity controls it.
Blockchain is the underlying technology behind Bitcoin and other cryptocurrencies. It's a public ledger that records all transactions made with a particular cryptocurrency. Here's how it works:
Decentralized network: A network of computers (nodes) verifies and validates transactions.
Transaction recording: Transactions are recorded in blocks, which are linked together in a chain (hence blockchain).
Cryptography: Transactions are secured using advanced cryptography, making them tamper-proof.
Immutable: The blockchain is immutable, meaning once a transaction is recorded, it can't be altered.
The combination of decentralization, cryptography, and immutability makes blockchain a secure and transparent way to conduct transactions. Bitcoin is just one application of blockchain technology, which has far-reaching potential beyond digital currency.