How important are Merkle trees in Blockchains?

Asked 19-May-2022
Viewed 357 times

1 Answer


0

  • The Merkle tree is a key component of blockchain technology. It's a mathematical data structure made up of hashes of various data blocks that acts as a summary of all the transactions in a block. It also enables quick and secure content verification across big datasets. It also aids in data consistency and content verification. Merkle Trees are used by both Bitcoin and Ethereum. Hash Tree is another name for Merkle Tree.
  • By creating a digital fingerprint of the complete collection of transactions, a Merkle tree records all of the transactions in a block. It allows the user to check whether a transaction is valid for inclusion in a block.
  • Merkle trees are made by hashing pairs of nodes repeatedly until there is only one hash left. The Merkle Root, or Root Hash, is the name of this hash. The Merkle Trees are erected from the ground up.

Read More: What regulation and requirements govern bitcoin?