A Merkle tree, also called a hash tree, is a fundamental data structure in blockchain technology that helps ensure data integrity and efficiency. It organizes and verifies large amounts of data by breaking it down into smaller pieces and hashing them in pairs to form a tree-like structure.
At the base, each data block is hashed, and these hashes are then paired and hashed again, forming the next level of the tree. This process continues until a single hash, called the Merkle root, is produced at the top.
The Merkle root is a unique identifier that represents all the underlying data.
In blockchain, Merkle trees allow efficient and secure verification of data integrity, enabling users to verify transactions without downloading the entire blockchain. This is essential for ensuring the validity of transactions in a decentralized network, such as Bitcoin or Ethereum.
