Cryptographic algorithms and features of their use in blockchain systems

Abstract

The modern economy is completely electronic, not only because the current information circulation, including banking transactions and economic relations, is carried out through electronic communications. The total transfer of all economic calculations to the virtual plane caused the emergence of new phenomena such as cryptocurrency, which in turn gradually changes the concept of currency and provides an opportunity to accurately track all trends in the development of society. The creation of software applications based on the blockchain technology is a promising direction of modern research on the decentralization of data storages. This article reviews and studies the algorithms used to create hash functions in the blockchain technology. Blockchain is a reliable way to store data about transactions, contracts, everything that needs to be written and checked. Today blockchain has penetrated practically all spheres of life, is ready to change the financial system of the state and simplify the work of medium and large businesses. Blockchain is not a secret technology, it is freely available, and there is a huge amount of articles on how it is organized and on what principle it works. The article deals with the main cryptographic algorithms used in cryptography for creating hashes. The advantages and disadvantages of existing cryptographic algorithms, principles and specifics of the operation of the blockchain system as a whole, as well as the scheme of its work, are determined. Particular attention is paid to the study of security and privacy issues with its use. In a detailed consideration of the algorithms used to obtain cryptographic values, it's worth noting the algorithms of group X. In this case, developers ignore the speed for stability, which makes it almost impossible to find the number of rounds for hacking. Each of the described algorithms in the future has the potential to improve its characteristics, due to it is possible to increase in cryptostability of each of them, which will increase the security of the cryptocurrency in general.