How is blockchain defined?

Blockchain is defined as a distributed ledger technology that enables secure and transparent transactions. Its primary characteristic is the decentralization of data, meaning that instead of being stored in a single location, the information is distributed across multiple nodes or computers in a network. This structure not only enhances security, as it reduces the risk of data tampering or unauthorized modifications, but it also fosters transparency, as all participants in the network can access and verify the transaction history.

In this context, blockchain's design allows for the creation of a verifiable chain of blocks, where each block contains a list of transactions. This chain is secured through cryptography, making it virtually impossible for any single entity to alter the data without consensus from the network. This makes blockchain particularly useful for applications such as cryptocurrency transactions, supply chain management, and voting systems, where integrity and trustworthiness are paramount.

Other options, such as a centralized database model, do not align with the decentralized aspect of blockchain. Similarly, describing blockchain as a digital transaction record that can be easily altered contradicts its fundamental purpose of providing secure and immutable records. Lastly, identifying blockchain as a social media platform overlooks its primary function and utility, which lies in data security and transaction integrity rather than social interaction.