To understand how Hyperledger Fabric is different and how it works under the hood, let's look at how a transaction gets validated. In a typical Hyperledger network, the following figure depicts the end-to-end system flow for processing a transaction:
As a first step, the client initiates a transaction by sending a request to a Hyperledger Fabric-based application client, which submits the transaction proposal to endorsing peers. These peers simulate the transaction by executing the Chaincode (using a local copy of the state) specified by the transaction and sending back the results to the application. At this point, the application combines the transaction along with the endorsements and broadcasts it to the Ordering Service. The Ordering Service checks the endorsements and creates a block of transactions for each channel before broadcasting them to all peers in the channel. Peers will then verify the transactions and commit them.
In our use case, the Hyperledger Fabric blockchain can connect participants through a transparent, permanent, and shared record of food origin data, processing data, shipping details, and more. The Chaincode we defined will be invoked by authorized participants in the food supply chain. All executed transaction records will be permanently saved in the ledger, and all entities will be able to look up this information.