Following cyberattacks on public and private companies that steal information and damage their reputation, cryptography has become a security measure to protect information and prevent unauthorized access.
At MIIM, we bring you this article to explain what cryptography is and how it works in blockchain.
What Is Cryptography?
In two words, it’s encrypted writing. It’s a method of storing and transmitting data that only authorized individuals can read and process. It’s an information security science where the encoding is in an unreadable format. Its main objective is to prohibit access by unauthorized individuals, focusing on confidentiality, integrity, authentication, and authorization.
It used to be used for communications, but nowadays, it’s used to transmit various data and information (video, audio, money, etc).
Types of Cryptography
There are three types of cryptography:
Hashing Cryptography.
Symmetric Cryptography.
Asymmetric Cryptography.
All three are used in the world of blockchain and cryptocurrencies, regardless of whether they are private, public, or hybrid in nature.
Operation of the three types of cryptography in blockchain
Hashing or hash means chopping or grinding the data and information of a message, with the aim of making it unreadable through a sequence of fixed-length characters, representing something similar to a unique fingerprint.
Its process is as follows: thanks to a mathematical function, the same hash is obtained. If the message changes even slightly, for example, if a space or comma is added, the hash changes completely. This is the only way to guarantee the integrity and non-alteration of the information.
It should be noted that the hash does not hide the message for later decryption, but rather checks its integrity and the fact that it has not been altered.
Regarding symmetric cryptography, this involves the most rudimentary way of encrypting and decrypting information since it is based on the same key for both operations. It is a two-way cryptography and faster than asymmetric cryptography.
Finally, in asymmetric cryptography, multiple keys (private and public) that are mathematically related are used. It is a more computationally expensive algorithm.
There are also other key concepts to better understand how cryptography works in blockchain. They are as follows:
Plaintext: Data in a normal format.
Ciphertext: Data that has been converted into an unintelligible format.
We can conclude that what cryptography does is provide transparency in blockchain interactions while ensuring the privacy of all participants.
At MIIM, we take care of protecting your idea on the blockchain and certifying it so you can prove it’s yours and no one else’s. We are idea patenters through blockchain. Do you have a business idea? Protect it with MIIM.
