Blockchain technology is a revolutionary technology, as it has had a massive influence over the past few years. The massive adoption also shows it will have a major role to play across several sectors in the future. Hashing is born out of blockchain.
To put it in simple terms, hashing means generating a value or set of values from a string of tests using a mathematical function.
It is one of the ways to ensure security during message transmission especially when the transmitted message is channeled to a single recipient. The hash is generated by a formula, which provides the security of the transmission against alteration.
How hashing works
Hashing generally requires data processing from a block through a mathematical function, resulting in an output of a fixed length. This fixed-length output is what increases security for the message.
Essentially, solving the hash means solving a complex mathematical problem, which is how Bitcoin is generated.
Each of the block headers contains the target hash, the nonce, the hash of the Merkle Root, a timestamp as well as a version number.
The miner concentrates on a string of numbers known as the nonce, which is usually placed on the hashed contents of the previous block before being hashed.
When the new hash is equal to or less than the target hash, the solution is accepted. Upon acceptance, the block is added to the blockchain and the miner is rewarded for his effort.
Solving the hash requires the miner to find out which string to use as the nonce, and this requires several trial and error periods before the solution is determined. This is because the nonce is a random string. So on a first try, it’s highly unlikely for a miner to determine the correct string. This means that they may end up testing a large number of nonce options before determining the right string.
This is why it takes a longer time to generate a solution and consumes a lot of power too. To process the hash function required to encrypt new blocks need a high level of computer processing power. That’s why it is costly to use hash while generating a blockchain solution for miners. They are rewarded with transaction fees and cryptocurrency tokens when they use the required technology to process the hash.