With the advancement of technology every aspect of everyday life advances such as: means of doing business, means of gathering information, means of communication etc. Means of value exchange are changing throughout history. First type of exchange was trade of goods, following it was emergence of minted money. after that national currencies and internet transactions. The next step in the development of value exchange is blockchain technology through which are transacted cryptocurrencies like: Bitcoin, Ethereum, Ripple, LiteCoin etc. Blockchain is a decentralized system. Information in the system are sent from multiple servers, and every new block is connected to the previous.. Once the information entered the blockchain system it stays in the system forevere and cannot be changed. Blockchain technology in a buisness environment allows transaction without the banks as a middleman. Without the presence of banking systems in transactions the transactions are cheaper in compariosn with traditional bank transactions. In order for blockchain technology to find its application in the business enviorment, the security of the system is very important. The system must not be a subject of various data and information manipulations. The aim of this papper is to provide insight on how the blockchain works and what are its applications, as well as the way cryptocurrencies work. The papper describes theorethical principles of blockchain technology as well as examples of blockchain technology application in Croatia and abroad in various branches of industry and bussines.