Bitcoin and What Keeps It Secure

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Even most of the general public can quasi-tell you what Bitcoin is or they have at least heard of it before. Basic answers might just be digital money, magic internet money or a cryptocurrency but there is so much more to Bitcoin then just the token itself. One of the major things that a lot of people either dont think about or think about and dont process (like how http works for the internet), is how Bitcoin is secured. By secured I mean, how Bitcoin can be the trustless engine it is without as many roadblocks as traditional financial vehicles.

The answer to understanding what is keeping Bitcoin secure, SHA-256. First lets take a look at what SHA-256 is, then where SHA-256 came from, and ultimately what some of the features of SHA-256 are that help keep Bitcoin as well as many other blockchains functional and secure.

What is SHA-256?

SHA-256 stands for Secure Hash Algorithm with a digest length of 256 bits. SHA-256 falls within the SHA-2 family of encryption algos, SHA-2 is the successor group to SHA-1. Both the National Security Agency (NSA) and the National Institute of Standards and Technology hand their hands in the creation the specific patented makeup of the SHA-256 algo. SHA-256 is the algo that secures Bitcoins Blockchain. (Interesting no one knows where Bitcoin came from, some say look at the underlying technology that secures it

What are some features or functions of SHA-256?

To date, SHA-256 is one of the most secure hashing algorithms out there. With a hash function digest length of 256 bits, it is considered almost impossible to decrypt and reconstruct the value behind the encrypted hash. The digest length also assists in preventing what is referred to as a "data collision" which is when the hash values of two different strings are identical. SHA-256 also has a unique method in which to store data that has been changed from an original value into something new without directly referencing or copying the original data on the chain. There are some that referred to this measure of data security as the "avalanche effect." 

There are several different levels within the SHA-2 encryption family SHA-256 is just one of them. While the encryption protecting blockchain is not bulletproof (thinkings like a 51% attacks and double spending could theoretically stick occur), I think Bitcoin is beyond a point in its current state to worry about things like that. So far, there has not been a single successful break of the Bitcoin blockchain due to failed encryption powered by SHA-256. For a deeper dive into more SHA-2 functions and the family as a whole take a look here: https://en.wikipedia.org/wiki/SHA-2

Other examples of where SHA-256 encryption is used?

Bitcoin is nowhere near the only implementation of the SHA-256 algorithm. In Bitcoin, SHA-256 is used to verify transactions on the blockchain. SHA-256 is used in many every functions like password hashing, SSL/TLS for web traffic,  GPG, and SSH, among many other things. When people thing of blockchain technology and SHA-256 encryption and hashing, it can easily become overwhelming. At the end of the day, it is very similar to how https and "www" in web browsers is common place and most of the general public can recognize these abbreviations when they see them. The general public knows what they are and how to use them at a base level but most people will never understand or even seek to understand how they truly work and WHY they truly work. One day Blockchain technology will be very similar... the backbone of everything and recognized by all, but without the need to understand and get technical to use it.

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