Everything you need to know about hash

The blockchain network is considered one of the most secure technologies in the world. This technology is responsible for the advent of bitcoin and other cryptocurrencies. Before 2009, when people heard about the mining world, they immediately thought of gold, diamonds and other mineral resources. Today, people call bitcoin digital gold because it is mined on the blockchain network. Miners solve complex math equations to successfully claim bitcoin rewards. There are different factors that make up the complex bitcoin equation and the main one is the hash function. In this article, we want to talk about hashing and explain the important role it plays in the blockchain ecosystem.

What is a hash?

A hash is a mathematical function that transforms variable-length input into secure output of standard length. The original entry can be short or long text. However, the output of all equations will be the same length. In cryptocurrency, a hash function is a mathematical equation that satisfies the secure demands needed to solve a blockchain calculation.

For example, let’s say the “how are you” hash function will generate an “I’m fine” hash output. Whenever you enter “how are you” on any blockchain system, the result “i’m fine” will be displayed. This is an oversimplification and the functions are often much more complex.

If you are more interested in making money with cryptocurrency, you might not care about these complexities. Just download the Bitcoin Up application and watch the process.

How do hashes work?

Blockchain is a global ledger created by connecting individual blocks of transaction data. Each block contains only validated transactions and that is why users of this technology trust it to stay safe from fraud and manipulation. This validation also avoids the double spending of the currency because each user has access to the general ledger. When miners solve complex equations for bitcoin rewards, the result of the transaction is called the hash, and it bears no resemblance to the original data.

When a bitcoin mining system wants to resolve a hash, it starts with the hash header. It parses the data in the block header and that data contains a version number, a timestamp, the hash used for the previous block, the hash of the merkle root, the target hash, and the nonce.

To solve the hash, the miner will need to focus on a string of numbers known as the nonce. The nuncio is linked to the hashed content from the previous block, then the hash equation can be completed. If your new hash is less than or equal to the target hash, the blockchain network will accept your response as a solution and you will be rewarded with bitcoin (or other relevant rewards)

Hash characteristics

It cannot be reverse engineered

A unique feature of the hash function is that it cannot be reverse engineered. You cannot use the hash output to determine the hash input. If you program the hash input in another system, it will always give you that hash output.

It is unique

For each hash entry, there is a corresponding hash exit. The hash function is always unique, and two hash inputs cannot give you the same output.

it’s complex

A hash function shouldn’t be easy to guess or decode. It is secure and even the most experienced cryptographers should not be able to decrypt it.


Hashing is an integral part of the bitcoin mining system. If you are a crypto enthusiast, it is important to understand where bitcoin came from and how miners successfully achieve rewards. We’ve given you all the basic knowledge you need in this article, and you can do some deep research from here.

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