Frequently Asked Questions

A blockchain is a distributed ledger with cryptographically linked data blocks replicated across a peer-to-peer network. Each block contains validated transactions, a timestamp, and a hash of the previous block. Because every node holds a full copy and consensus rules govern which blocks are accepted, no single party can alter historical records. The result is a tamper-evident, transparent record that removes the need for a central intermediary.

Public blockchains (Bitcoin, Ethereum) are permissionless: anyone can read, write, and participate in consensus. They maximise decentralisation and censorship-resistance at the cost of throughput and privacy. Private blockchains restrict participation to vetted nodes — common in enterprise settings where regulatory compliance, data confidentiality, and higher transaction speeds are priorities. Consortium chains sit in between, governed by a defined group of organisations.

Smart contracts are self-executing programmes stored on a blockchain that run automatically when predefined conditions are met. They encode business logic directly into the protocol layer, making outcomes deterministic and auditable. Their significance lies in removing trust dependencies: parties interact with code rather than counterparties, reducing settlement time, counterparty risk, and administrative overhead.