Please explain complete procedure/journey how transaction in block-chain get validated by miners, From broadcast of transaction to become part of new block.
A Detailed Verification Process Blockchain wallets are what holds the Bitcoin address and also records all of your transactions. To send, receive, or store digital currencies you need to have a digital wallet. The Bitcoin address is a code created with a numbers and letters, also called a public key. The sequence of the public key can be seen by all within the network. Along with the public key, there is another key that is kept private (another code). Digital currency users need to keep their private key safe and secret. Both the keys are related, without one of the other,you can’t make transactions.
Transactions that are issued by the user from their Bitcoin address need to be signed with the private key. To complete the process, transaction details and the private key need to be on Bitcoin software on your Smartphone, laptop, or tablet. With these details, the program sends out a digital signature and it gets sent to the network for validation.
This transaction can be easily validated, one of the best things about Blockchain technology. If the signature was made with the private key that corresponds to the public key, the software will validate the transaction. The network will confirm that the user didn’t spend the cryptocurrency by checking the address history. This is possible as the network is now aware of the users address or the public key.
Blockchain Verification Details Once the transaction is validated it gets into the block with a chain of several other transactions. Hash is an important function and it plays a huge role. A hash is produced by a hash function which is a mathematical equation that reduces any data into 64 character string. A hash, when put in a particular data, set to the function will reduce it to a 64 character string, it’s not random. But if a simple comma is added to that data the string will be completely different from another 64 character string.
This complete article can be reduced using a hash unless any changes are made to this article the same hash can be produced numerous times. A simple change such as adding a character or removing a character will produce a new string. This is what makes blockchain technology so unique and secure. By checking this the blockchain can confirm that whether a transaction has tampered or not.
Blockchain follows its own way of verifying transactions and this process is completely different than anything else-which makes it unique in today’s world. This makes this technology safe and secure. It’s because of this special feature that many businesses around the world are eager to implement this technology and use it in their own businesses..
First thing you need to acknowledge that Ethereum (like all cryptocurrencies) is decentralized peer to peer network. There is no central authority that processes all transactions. Instead, it is split by thousands of nodes worldwide, which can be hosted by anyone.
When you click "send" button, you digitally sign transaction with your private key using special algorithm. Then, transaction arrives on wallet's Ethereum node, and your signed transaction is being spread across all nodes (including miners' nodes).
Good. The transaction became "pending".
When miner's ready to produce new block, he takes all signed transactions from node, and checks transactions' digital signatures. If transaction is signed correctly, miner puts it into new block, and sends block to all Ethereum nodes back. When node received block, it validates block, including all transactions again (because cryptocurrencies are based on zero-trust system). If block is correct, transaction marks as valid, and you're ready to spend it.
This is simplified form of process, but it is enough to understand how everything works.