In blockchain technology, each block carries some data like transaction data, Previous Block’s Hash etc. This string of data requires a specific signature (Fingerprint of a block) with the help of a cryptographic hash function. As the data of the block can’t be altered so we need a number to attain the perfect hash value. This number is called NONCE in blockchain technology.
A nonce is a random number that can be used only once as the word itself suggests(Number Once Used).
A nonce is a tiny piece of data in blocks that is modified randomly by the miners until they hit the perfect outcome/signature.
Miners employ a trial and error approach during the process of mining and use a new value/number every time to get accurate nonce.
It is used in the Proof-of-Work blockchain where miners use a huge amount of electricity in the form of computational power to insert many random values as expeditiously as possible until they find a definite value.
In the case of Bitcoin Blockchain, miners perform multiple attempts to calculate a perfect hash value( that starts with a certain number of zeros). When a miner acquires a perfect nonce, he is granted the right to add the next block into the blockchain and rewarded for doing so. Now, this process starts over for the next block.
