From Cryptography to Blockchain: The Mathematics behind Secure Transactions

Abstract

In an era where digital transactions dominate economic activities, ensuring the security and integrity of these transactions has become paramount. This study delves into the mathematical foundations that underpin secure transactions, with a particular focus on the evolution from classical cryptography to modern blockchain technologies. Utilizing secondary data, the research explores key cryptographic principles and their application in safeguarding digital communications and transactions. By examining established cryptographic methods such as symmetric and asymmetric encryption, hash functions, and digital signatures, the study provides a comprehensive overview of the mechanisms that ensure data integrity and confidentiality. It further investigates how these principles are intrinsically linked to blockchain technology, highlighting its reliance on cryptographic hashing and decentralized consensus algorithms to facilitate secure and transparent peer-to-peer transactions. Through an analysis of existing literature and case studies, the study elucidates the role of mathematical innovation in advancing the security features of blockchain systems. Ultimately, this research underscores the critical importance of cryptographic mathematics in the development of robust digital transaction frameworks and its implications for the future of secure digital economies.