Blockchain is an innovative application model that integrates distributed data storage, peer-to-peer transmission, consensus mechanisms, digital encryption technology and other computer technologies. It is decentralized, secure, and Information disclosure. In the blockchain, digital encryption technology has a core position. The security of user information and transaction data is a necessary condition for the promotion of blockchain. The development of cryptography technology promotes and restricts the further development of blockchain. This paper outlines the infrastructure of blockchain, including the data layer, network layer, consensus layer, contract layer and application layer. The principles of encryption technology is introduced briefly, such as hash function, asymmetric cryptosystem, digital signature. The application of cryptography in all levels of blockchain is analyzed, including data layer, network layer, consensus layer, etc. It shows that cryptography runs through the whole blockchain system. The existing security problems of blockchain is analyzed, and the future research direction is expected.