Data Processing Chains

Definition ∞ Data processing chains represent a sequence of interconnected operations where raw data undergoes a series of transformations to become refined or actionable information. Each stage in the chain performs a specific function, with its output serving as the input for the subsequent step. This structured flow ensures systematic data handling. The entire process is designed to achieve a desired data outcome.
Context ∞ In blockchain and decentralized systems, data processing chains are fundamental for tasks such as transaction validation, smart contract execution, and the aggregation of off-chain information by oracles. Ensuring the integrity and immutability of data throughout these chains is paramount for maintaining the trust and reliability of digital assets. Any compromise in a processing link could lead to incorrect ledger states or faulty contract execution, highlighting the need for robust design.