×

Cryptography in Blockchain

What is Cryptography?

Cryptography is a method for developing codes that prevent third parties from viewing private data. It helps in protecting data and information by using codes, such that it can only be interpreted by the intended receiver. Information can be encoded to make it difficult to steal the data. Clients want to be sure that their data and transactions are secure in the best possible way, though some organizations across the globe follow their own standard of security.

Cryptography is an essential component of Blockchain technology. Blockchain mainly uses asymmetric cryptography, also known as public-key cryptography. Blockchain uses cryptography in different ways, like- for wallets, security, and transactions. The role of cryptography is essential in Blockchain in terms of maintaining the trust and eliminating intermediates.

Public Key Cryptography

Public key cryptography uses the keys in pair, a public and private key. The public key is for encryption that can be distributed commonly, but the private key is not meant to share with anyone. Public key cryptography is mostly used between two users or two servers in a secure way. Blockchain technology mainly uses asymmetric cryptography for user authentication and data validation through digital signature.

There are many terms used in cryptography, and few are defined below:

  1. Encryption: Encryption is the method of converting data into a set of random numbers and alphabets, which makes it meaningless but not for the intended recipient. It is the process of encoding plaintext to ciphertext. In the process of encryption, the data and information are referred to as plaintext, whereas the converted data referred to as ciphertext.
Cryptography in Blockchain
  • Decryption: Decryption can be defined as the process of converting back the encrypted data into real data. It is the reverse process of encryption. An intended recipient can only decrypt the data by using the private key. If the key is not available, programmed software may be needed to decrypt the code using algorithms to make the data readable.
Cryptography in Blockchain
  • Cipher: Cipher is an Algorithm that takes some data and produces a fixed-length output called ciphertext. A ciphertext is an encrypted form of the plaintext. It comprises a well-defined set of operations for encryption and decryption.
  • Keys: Cryptography requires a key for encryption and decryption that allows changing the plaintext into ciphertext. The keys help to lock and unlock the data whenever needed; hence a key is not only a password.
  • Digital signature: Digital signature is a mathematical strategy used to generate digital codes, which are used to establish the legitimacy of digital messages & documents. These codes are produced and substantiated by public-key encryption. The content and the sender's specification are verified by attaching the signature to the electronically disseminated document.
  • Payload: Payload is the information or the actual data in the message, which needs to be transmitted safely between the two parties, namely the sender and receiver. The operations are performed on the payload.
  • Cryptographic Hashing: Cryptography hashing is an essential part of blockchain technology, which makes the Blockchain an immutable database. It is really important when someone needs to verify the authenticity of data or transactions. A hash function is created by a mathematical technique that takes an input any digital entity and produces an output of a 32-characters size fixed string, which is a combination of letters and numbers.

The SHA (Secure Hash Algorithm) is one of the most popular cryptographic hash functions (CHF). It is available in various forms like SHA1, SHA256, SHA512, etc. A cryptographic hash is used to make a signature for a text or a data file. We can convert data using various hashing algorithms

  • MD5- Message digest algorithm is used to generate a 128-bit hash value.
  • SHA1- It is an upgraded version of SHA designed by NIST and was published as per the Federal Information Processing Standard (FIPS).
  • SHA256- Hash value is computed with 32-bit words, and the message digest is 256 bits.
  • SHA512- Hash value is computed with 64-bit words, and the message digest is 512-bits.

Every such algorithm takes some data and produces a fixed-length output called as a cipher. 

Cryptography Example using Python

import hashlib
data=input("Enter data to encrypt ") a=hashlib.md5(data.encode()).hexdigest() b=hashlib.sha1(data.encode()).hexdigest() c=hashlib.sha256(data.encode()).hexdigest() d=hashlib.sha512(data.encode()).hexdigest() print(a,len(a))
print(b,len(b))
print(c,len(c))
print(d,len(d)) 

Output:

Enter data to encrypt   1234
81dc9bdb52d04dc20036dbd8313ed055   length 32
7110eda4d09e062aa5e4a390b0a572ac0d2c0220   length 40
03ac674216f3e15c761ee1a5e255f067953623c8b388b4459e13f978d7c846f4   length 64 d404559f602eab6fd602ac7680dacbfaadd13630335e951f097af3900e9de176b6db28512f2e
000b9d04fba5133e8b1c6e8df59db3a8ab9d60be4b97cc9e81db   length 128 

Cryptography Example using Java:

import java.security.MessageDigest;
import java.util.Scanner;
public class HashingTest {
private static String bytesToHex(byte[] hash) { StringBuffer hexString = new StringBuffer();
for (int i = 0; i < hash.length; i++) {
String hex = Integer.toHexString(0xff & hash[i]);
if(hex.length() == 1) hexString.append('0');
hexString.append(hex);
}
return hexString.toString();
}
public static void main(String[] args) throws Exception {
Scanner sc=new Scanner(System.in); System.out.println("Enter the String to encrypt : "); String s=sc.nextLine();
MessageDigest digest = MessageDigest.getInstance("SHA-256");
byte[] sha256digest = digest.digest(s.getBytes()); String sha256cipher=bytesToHex(sha256digest);
System.out.println("SHA-256 cipher is "+sha256cipher);
}         
} 

Cryptography Example using NodeJS

const SHA256=require('crypto-js/sha256');
function hashing(s)
{
return SHA256(s).toString();
}
console.log(hashing("xyz")) 

Related Topics

Smart Contracts in Blockchain

A Smart Contract (also known as a cryptocontract) is a computer software that manages the transfer of digital assets among parties directly and automatically under specific conditions. A smart contract...

6 minutes read.

How can Blockchain Technology help IoT to reach its full potential

The Blockchain technology has huge potential to speed up the IoT's efficient operation. Since then, security has been a big worry with IoT, which has hampered its widespread adoption. IoT...

4 minutes read.

Kerberos in Cryptography and Network Security

Kerberos is a system that is used for managing user authentication. With the help of Kerberos, the user can access their service without remembering multiple authentication passwords. It is not...

3 minutes read.

ECB Mode in Cryptography

What is Electronic Code Book (ECB)? Electronic Code Book (ECB) is a simple type of operational technique associated with a block cipher and performs symmetric key encryption. It is also a technique...

3 minutes read.

Basic Component of Bitcoin

As we know that Bitcoin is a digital currency (cryptocurrency). It is a virtual currency or digital token, as well as it is a network on which all such digital...

3 minutes read.

Limitations of Blockchain

Blockchain is a timestamped collection of immutable records that are attached in the form of a never-ending linear chain. Its characteristics, such as decentralized network and anonymity, make it the most trustworthy technology...

3 minutes read.

Demur-rage currencies in Blockchain

One of the key concepts of Blockchain technology that may be extended and re-understood is currency. Currency, often known as a digital token, allows for quantifiable transfer mechanisms. Demur-rage money...

4 minutes read.

Key Areas of Blockchain

As we know that Blockchain is the backbone of the technology of digital cryptocurrency (Bitcoin). The Blockchain contains all transaction records which are stored in a distributed database; it even...

3 minutes read.

IP Security in Cryptography

IPsec (Internet Protocol Security) is a collection of algorithms and protocols used to secure the data transmitted over a public network. The Internet Engineering Task Force (IETF) was developed in...

6 minutes read.

Uses of Blockchain

Nowadays, there are a lot of applications for Blockchain technology exist. The main use of Blockchains is to serve as a distributed ledger for cryptocurrencies like Bitcoin; by the end...

5 minutes read.

Blockchain Pow

Blockchain Pow is an acronym that stamds for Blockchain sProof of work. Pow (Proof of work) is an original agreement (consensus) algorithm in the Blockchain network. This algorithm is generally...

3 minutes read.

Bitcoin Mitigating Attacks

Bitcoin is the most secure & protected cryptocurrency, with security built into the protocol at numerous levels. It frequently executes persistent sophisticated attacks. In this part, we will look at numerous...

4 minutes read.

How to choose Bitcoin Wallet

This section will walk you through the process of selecting a Bitcoin wallet. If you wish to participate in Bitcoin, you'll need a wallet. You may receive Bitcoins, transmit Bitcoins,...

3 minutes read.

Blockchain Merkle Trees

Blockchain Merkle Trees Merkle Trees are foundation components of the blockchain mechanism. The methodical, systematic, and reliable verification of content in unbounded and dispersed data sets is enabled with the use of Merkle Trees....

3 minutes read.

Blockchain Cryptocurrency

As we know, cryptocurrencies are digital assets which can also be exchanged between two parties. For securing, verifying the transfer of assets & to have control over the creation of...

3 minutes read.

Elliptic curve in cryptography

What is Elliptical Curve Cryptography (ECC)? Elliptic Curve Cryptography (ECC) is public key cryptography based on elliptic curve theory. It can be used to create smaller, faster and more efficient public...

4 minutes read.

Need of Blockchain

Blockchain is an open and decentralized network, which stores redundant data at multiple sites called nodes (computers). Its properties, such as immutability, distributed control, highly secured encrypted blocks, and anonymity, make it ideal...

3 minutes read.

What are the steps to becoming a Blockchain developer

What do you need to do to become a Blockchain Developer? Blockchain is one of the most rapidly emerging technology and industry in today's IT market. The world market for Blockchain...

5 minutes read.

Obtaining Free Test Ethers for the Rinkeby Test Network on the Ethereum Blockchain

On the Ethereum Blockchain network, each of us must pay a fee known as gas in order to conduct a transaction or carry out a contract. Therefore, on the Ethereum...

2 minutes read.

Top 10 Blockchain Project Concepts

A platform for Trusted Crowdfunding Using a Smart Contract According to reliable studies, 85% of firms delay delivery, and 14% never fulfill the promises made to angel investors. Currently, there are...

4 minutes read.