DepthCrypto

Home / Glossary / Immutable

Immutable

Immutable, in the context of blockchain technology, refers to the characteristic of data or transactions that, once recorded on the blockchain, cannot be altered, modified, or deleted. This fundamental attribute of blockchain ensures the integrity and permanence of the data stored within it. Immutability is achieved through cryptographic hashing, a process that converts any input data into a fixed-length, unique string of text, known as a hash. This hash acts as a digital fingerprint, making it virtually impossible to reverse-engineer the original data from the hash value.

In a blockchain, each block contains a hash of the previous block’s data, creating a linked chain of blocks. Altering any information in a block would change its hash, thus breaking the chain and signaling tampering. Since all nodes in the blockchain network verify and agree on the validity of data before it is added, any attempt to change recorded data would require the alteration of all subsequent blocks and the consensus of the entire network. This makes blockchain an inherently secure and trustworthy system for recording transactions and other data.

The benefits of immutability in blockchain include enhanced data integrity, security, and reliability. It provides an auditable and transparent record of transactions, making blockchain technology particularly valuable for applications where trust and veracity of data are paramount, such as in financial services, supply chain management, and legal documentation. However, while immutability ensures data integrity, it does not make blockchains completely immune to vulnerabilities like double spending or majority attacks (51% attacks). Nonetheless, the high level of difficulty in altering blockchain data significantly contributes to its robustness and security.

Related Terms

Zero Knowledge Proof

Zero-Knowledge Proof (ZKP): A cryptographic method allowing an entity to prove the truth of a statement without revealing any additional information.

Read More »

YTD

Year to Date (YTD) in the realm of cryptocurrency refers to a vital metric that assesses the performance of a digital asset within a specific calendar year, spanning from January 1st to the current date.

Read More »

Yield Farming

Yield Farming is an investment strategy in the realm of decentralized finance (DeFi) where cryptocurrency holders provide their assets to a DeFi protocol to earn returns, often in the form of additional tokens.

Read More »