Crypto Glossary

CoinMinutes’s crypto glossary explains the major cryptocurrency terms you should know when learning about digital currencies

Word of the day

Bitcoin Halving

Bitcoin halving is an event that occurs every four years, where the reward for mining new blocks is reduced by half.

Beginner

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Beginner

SegWit

Intermediate

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SegWit

SegWit (Segregated Witness) is a soft fork update to the Bitcoin protocol that was activated in 2017. It is designed to improve the scalability and efficiency of the Bitcoin network by reducing the size of transactions and increasing the number of transactions that can be processed in a block.

Layer 2

Layer 2 refers to a secondary layer or level within a blockchain network that is designed to improve the scalability, speed, and efficiency of transactions.

Proof of Work

Proof of Work (PoW) is a consensus
mechanism used in blockchain networks
where miners solve complex puzzles to validate transactions
and add them to the blockchain.

Proof of Stake

Proof of Stake (PoS) is a consensus mechanism in blockchain networks that validates transactions and creates new blocks. In PoS, validators are chosen to propose and validate new blocks based on the number of cryptocurrency tokens they hold and are willing to “stake” or lock up as collateral.

Altcoin

Bitcoin pioneered decentralized digital currency, but beyond it lies a diverse ecosystem of altcoins. These alternatives have expanded the crypto market and advanced blockchain tech. Let’s explore with Coinminutes their history, features, opportunities, and risks.

Private Key

A private key is a secret, alphanumeric code used in cryptography to securely access encrypted data or authenticate digital identities. It’s paired with a public key and must be kept confidential.

Mt. Gox

Mt. Gox was a Tokyo-based Bitcoin exchange that was once the largest in the world. In 2014, it collapsed after losing approximately 850,000 Bitcoins due to hacking and poor management.

Block Time

Block Time is the average time it takes to create a new block on the blockchain.

Block Size

Block size refers to the maximum amount of data that can be contained within a block on the blockchain.

Vitalik Buterin

Vitalik Buterin is a Russian-Canadian programmer and writer, best known as the co-founder of Ethereum, a leading blockchain platform for decentralized applications.

Bitcoin Address

A Bitcoin address is a unique alphanumeric string used to receive Bitcoin payments. Each address is derived from a public key and ensures secure and verifiable transactions on the Bitcoin network.

Genesis Block

The genesis block is the first block in a blockchain, serving as the foundation for all subsequent blocks.

Ethereum

Ethereum is a decentralized blockchain platform, created by Vitalik Buterin, that enables the creation and execution of smart contracts and decentralized applications (dApps). It uses its cryptocurrency, Ether (ETH), to power transactions and computational services, expanding blockchain’s capabilities beyond digital currency.

Cryptography

Cryptography in cryptocurrency involves techniques to secure digital transactions, ensuring privacy, integrity, and authenticity. It uses encryption to protect data and control the creation of new units.

Bitcoin Wallet

A Bitcoin wallet is a digital wallet used to store, send, and receive Bitcoin. It is a software program that interacts with the Bitcoin blockchain to enable users to manage their Bitcoin holdings.

Cryptocurrency

Cryptocurrency is a digital or virtual currency that uses cryptography for security and is decentralized, meaning any government or financial institution does not control it. It is a medium of exchange that operates on a computer network, allowing for peer-to-peer transactions without the need for intermediaries like banks or payment processors.

Crypto Glossary

Word of the day

Bitcoin Halving

Popular

Bitcoin

Recently added

SegWit

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