Difference Between Blockchain and Distributed Ledger Technology
Blockchain and Distributed Ledger Technology (DLT) are frequently used interchangeably but are different technologies. Structure, data organisation, and consensus mechanisms distinguish these two conceptions. Each block in a blockchain comprises a set of transactions. Blockchain is a subtype of distributed ledger technology (DLT). These units are cryptographically connected, guaranteeing the data’s integrity and immutability. Blockchain typically uses a consensus mechanism called Proof of Work (PoW) or Proof of Stake (PoS) to validate and add new transactions. This decentralised approach eliminates the need for a central authority, allowing participants to conduct transactions without trust.