Cryptography: What makes blockchain so hard to hack? | BSEtec

Nirmal Raj
3 min readJun 6, 2022


Blockchain is intrinsically a very secure technology. You would have read an umpteen number of articles regarding Bitcoins and Cryptocurrencies. This is because of the robust nature of cryptocurrencies. Its decentralized nature and cryptographic algorithm make it immune to attack. In fact, hacking a Blockchain is close to impossible. Let’s see briefly what makes blockchain so hard to hack.

Decentralized: Blockchain technology is completely decentralized. A good or service is decentralized if it is run by a collective of participants using majority rule. In the case of bitcoin, its attributes, such as the total supply of bitcoins, are determined by the majority of its network participants.

Decentralized networks are made up of computers, also known as nodes, that interact on a direct, peer-to-peer basis, without the need for third parties. Within a decentralized network, information is distributed to every single “node” on the network.

Each node has an updated copy of all recorded data. Decentralized networks can also distribute data so that certain private information can be validated without that information being transferred to a third party. A blockchain’s decentralized nature means that its network is distributed across multiple computers known as nodes.

This eliminates a single point of failure. In other words, there is no way to “cut the head off the snake” — because there isn’t any head. This way decentralization makes blockchains hard to hack.

Open-Source Protocols: Open source for blockchain means that it is a very public, transparent way to keep records. This should all but eliminate any kind of operator tampering or revisions.

Hashing Algorithm: A block has cryptographic elements that make it unique. A network’s hashing algorithm determines the details. For example, the Bitcoin blockchain uses the double SHA-256 hash function, which takes transaction data and hashes/compresses it into a 256-bit hash. A cryptographic hash is a kind of ‘signature’ for a text or a data file. SHA-256 generates an almost-unique 256-bit (32-byte) signature for a text. For example, Since it has double SHA- 256 hash, abc is hashed as 2751fee5e6599e13fadc9027d6d422525a354d48c0f8b40cf67ca63b7c08919fBby making it hard to reverse the hashed value, this makes the transaction inflexible. Each block in a chain contains a specific set of data from the previous block. Therefore, even if a malicious actor reverse-engineers the hash, the resultant block would be out of sync with the rest of the blocks since it will have a different hash output, thus causing the system to reject it.

51% of Attacks Are Improbable: The longer a blockchain exists and the more new users it attracts, the less likely it is to suffer a 51% attack due to its growing hash power. Note that for a hacker to reverse engineer a transaction’s hash, they need to control at least 51% of a blockchain’s power. Therefore, considering the size of established blockchains like Ethereum and Bitcoin, such a scenario is nearly impossible.

To Know More Blockchain technology to be adopted in 2022

As blockchain platforms get stronger through an increase of nodes or stakes, the possibility of hacking a decentralized network is increasingly moving towards zero. To sum it all up — if you ever hear someone saying that a “blockchain was hacked!” you now have the tools to correct them and send them on their way. If you are an entrepreneur looking for ways to create a crypto wallet or integrate the hard-to-crack blockchain technologies into your existing online business contact BSEtec.

BSEtec, a leading blockchain development company in India is specialized in Stellar blockchain technology. BSEtec provides you with the best in-hand solutions for all your cryptocurrency exchanges and Hot wallets.

Originally published at on June 6, 2022.



Nirmal Raj

Bsetec is a Digital Solution Provider Company. Our team of experts deliver next-generation solutions to perk up the business productivity.