How does the ledger function in the world of digital currencies?

1 answers

• Mar 06, 2022 · 3 years ago
  In the world of digital currencies, the ledger functions as a public record of all transactions. It keeps track of who owns what and ensures that the same digital currency cannot be spent twice. The ledger is maintained by a network of computers, each of which has a copy of the entire ledger. Whenever a transaction occurs, it is broadcasted to the network and verified by the computers. Once verified, the transaction is added to a block and added to the end of the blockchain. This process ensures that the ledger is secure and cannot be tampered with. It also provides transparency, as anyone can view the transaction history. The ledger is essential for the functioning of digital currencies, as it allows for trustless and decentralized transactions.
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