Distributed ledger nodes are fundamental components of blockchain technology, which is a type of distributed ledger technology (DLT). These nodes work together to maintain a decentralized, tamper-evident record of transactions.
Each node in a distributed ledger network holds a copy of the entire ledger, which is a continuously growing list of records, called blocks, that are linked and secured using cryptography. Here's how they work:
Transaction Validation: When a new transaction is initiated, it is broadcast to the network. Nodes validate this transaction against a set of rules defined by the network's protocol.
Consensus Building: Validated transactions are then grouped into blocks. Nodes in the network compete to solve a cryptographic puzzle to add the next block to the chain. This process is known as mining in Proof of Work (PoW) systems or forging in Proof of Stake (PoS) systems. The first node to solve the puzzle broadcasts the new block to the network.
Block Addition: Other nodes verify the new block before adding it to their copy of the ledger. Once verified, the block is added, and the transactions within it are considered confirmed.
Ledger Synchronization: All nodes in the network maintain an identical copy of the ledger through continuous synchronization. This ensures that the ledger is always up-to-date and consistent across the network.
Example: In Bitcoin's blockchain, each node receives transactions, validates them, and then competes to solve a cryptographic puzzle to add a new block. Once a node solves the puzzle, it broadcasts the new block, which is then verified and added by other nodes.
Cloud-Related Recommendation: For businesses looking to leverage distributed ledger technology, cloud platforms like Tencent Cloud offer services that can facilitate the deployment and management of blockchain networks. Tencent Cloud's Blockchain as a Service (BaaS) provides an easy-to-use platform for developers to build and deploy blockchain applications, without the need to manage the underlying infrastructure. This can significantly speed up the development process and reduce operational costs.