Questions tagged [terminology]

Questions concerning terminology, jargon, abbreviations, acronyms and phrases that are essential to the cryptocurrency community.

Filter by
Sorted by
Tagged with
59
votes
5answers
26k views

What is a soft fork?

When people talk about possible changes to how Bitcoin works they sometimes say a particular change can be implemented as a soft fork. What does that mean? How does this compare to a hard fork?
49
votes
2answers
38k views

What are bitcoin “confirmations”?

When I receive bitcoins I see a certain number of "confirmations" in the client. What do these mean? Why do most sites make me wait for 6 "confirmations" before a purchase will go through?
67
votes
2answers
30k views

What is an SPV client?

I've seen SPV client mentioned in several places. What exactly is a SPV client? How is it different from a standard client?
30
votes
4answers
53k views

What are orphaned and stale blocks?

If I understand it right, a stale block is a block for which an earlier confirmation has been found and was accepted by majority of people. This block is considered invalid and is later never used. ...
45
votes
5answers
27k views

What is meant by Bitcoin dust?

I've seen the term "dust" used to describe small transactions that might be considered as spam by the Bitcoin network. Is there is a generally accepted definition of this term?
51
votes
4answers
777k views

What is the difference between kH/s, MH/s, and GH/s?

I started mining on a friend's computer and it shows 300 kH/s. But when I research other peoples' hash rates I usually see MH/s. Are these speeds the same as kilobytes and megabytes? Also, when I say ...
36
votes
3answers
8k views

What are checkpoints?

I often read that checkpoints protect the network from a 51% attack because an attacker cannot reverse transactions made before the last checkpoint. How exactly does this checkpoint mechanism work? ...
150
votes
5answers
243k views

What is a 'Satoshi'?

I am aware that Satoshi Nakamoto is the author of the paper that originated Bitcoin and the creator of the original bitcoin client. However, I often hear the term Satoshi as if it was a monetary unit. ...
42
votes
2answers
59k views

What is a share? Can I find it while mining solo, or only when pool mining?

In mining, what is "a share"? When mining solo, do I "find shares"?
163
votes
5answers
225k views

What are “bitcoin days destroyed”?

The concept of bitcoin days destroyed has been proposed as a measure of bitcoin volume. However, I don't think the bitcoin wiki really explains the idea very well. What is the purpose or advantage of ...
26
votes
4answers
8k views

What are tainted coins exactly?

I've come across the term of a tainted coin several times now. I understand that coins, or better, the origin of a coin can be traced throughout the blockchain. I've read that bitcoins can be ...
21
votes
2answers
13k views

What does the term “Longest chain” mean?

What does the term "Longest chain" mean, as there is only one 'right' blockchain exists? How another longer chain would make the 'right' chain invalid?
7
votes
3answers
10k views

What does “ASIC” mean?

I stumbled on the terms "ASIC" and " ASIC Miner", what do they mean? Is this something related to special hardware?
4
votes
1answer
1k views

What is a block?

I know bitcoin has a block chain that is from my best representation a list of blocks. I know the block holds many transactions. But i'm still very much lost as to what a block is and how a block can ...
7
votes
2answers
3k views

What is the minRelayTxFee?

What is the minRelayTxFee? What is it used for, what's the default value and how does the value change?
3
votes
3answers
1k views

What is the meaning of the term “full-node”?

There seem to be some different interpretations of what the term "full-node" implies. E.g. there seems to be some disagreement whether a pruned node is still a full-node. So: What characteristics ...
43
votes
1answer
13k views

What are Channel Factories and how do they work?

One of the open research questions for Lightning Network is that it will take a massive amount of on-chain transactions to create enough payment channels for all the Lightning Network users. Lately, I'...
23
votes
4answers
2k views

What is the difference between BitCoin, Bitcoin, and bitcoin?

I've seen several capitalizations of the term "bitcoin". What do all these mean?
6
votes
4answers
961 views

What is a Bitcoin wallet?

What is a wallet in the context of Bitcoin? What are wallets used for? What relation do wallets have to other concepts such as addresses, private-keys, client-software, and Bitcoin balances?
3
votes
1answer
236 views

Is there a correct way to refer to “orphan” blocks?

I was reading a passage on the bitcoin wiki that pointed out that it doesn't make sense to call invalid chains "orphans," since, by definition, every block in the blockchain except the genesis block ...
30
votes
1answer
9k views

What are colored coins?

What exactly are colored coins? I've tried understanding, but I don't quite get it yet . . . Do any examples exist?
12
votes
1answer
5k views

Replace-by-Fee vs Child-pays-for-Parent?

Both RBF and CPFP attempt to solve the problem of transactions not confirming because of an insufficient fee. What are the pros/cons of using one vs the other? Are both currently functional and ...
8
votes
1answer
7k views

What was the goal of creating the feature of immature coins?

I just ran into the idea of immature coins. Can someone explain to me the idea behind immature coins and what was the purpose of it?
1
vote
1answer
3k views

Naming convention: MilliBit or Millibitcoins (mBTC), microbitcoin or Mikrobitcoins (μBTC)?

I heard about many use: Bitcents, Bitmills (or Bitmilles) 1.02 - One bitcoin and two bitcents 0.001 - One millibitcoin (nickname "one Millie") 0.000001 - One microbitcoin (nickname "one Mike") ...
7
votes
3answers
14k views

What is the difference between a miner and a full node?

I have trouble finding the difference between a full node and a miner. It looks like these two names are used interchangeably which I think is not entirely correct. Miners do process blocks and full ...
8
votes
2answers
2k views

What the difference between old segwit (3) and new segwit address (bc)?

i'm not that kind of person who understands cryptography and math, can you tell me simply the main purpose of new segwit address? are transactions fee the same for new segwit (bc1)? instead of "Old ...
7
votes
2answers
6k views

What does “Activating Best Chain” mean?

What does "Activating Best Chain" mean? My Bitcoin Core doesn't freeze, it just takes a while. I'm curious as to what it's doing.
2
votes
2answers
559 views

Do we put all the transactions in the memory pool?

I wonder if orphan transactions are also stored in the memory pool? If yes, how do the Bitcoin client distinguish between the orphan and non-orphan transactions?
1
vote
1answer
92 views

What is a “half” in Bitcoin?

I saw in an article something about a Bitcoin algorithm half in 2020. What exactly is this? I have tried looking this up but I couldn't find anything that told me what it was only a website counting ...
4
votes
2answers
10k views

What hashing speed does my hardware have?

I'm checking this page to know what hashing speed my hardware has. But there's no explanation about the acronyms. For my Core 2 Quad Q9650, what's the expected hashing speed?
3
votes
2answers
10k views

What is a worker?

Lots of cryptocoin sites and in particular mining pools use the term 'worker,' but there is no clear definition. What is a worker?
3
votes
2answers
2k views

What is the difference between on-chain scaling and off-chain scaling?

What is on-chain scaling and off-chain scaling? What is the core difference between on-chain scaling and off-chain scaling?
2
votes
1answer
449 views

How is hash rate of mining hardware calculated

The mining hardware does a double sha-256 hash of the header while mining. Is each sha-256 operation counted when determining the hash rate or is the whole sha256(sha256(header)) counted as one hash? ...
1
vote
1answer
992 views

What does nonce mean?

I'm trying to learn how litecoins work (and learn new programming language at same time by writing a crappy little miner). I'm stuck with getdata. Here http://litecoin.info/wiki/Scrypt it says that ...
1
vote
1answer
54 views

Implementing an “ad-hoc-like network of payment channels” on top of Bitcoin network?

If we define an ad-hoc network as follows: "An ad hoc network is a network that is composed of individual devices communicating with each other directly." [1] ad-hoc networks do not rely on ...
1
vote
1answer
776 views

Can we estimate how many node has the Bitcoin network? [duplicate]

Is it possible to estimate the amount of nodes (hosts) are connected to the Bitcoin network in a given time? Note: Here node means host.
0
votes
1answer
118 views

How to fund a bidirectional channel in Lightning Network by two participants? (Edited)

I brought up a similar question here: (Link to question) for a payment channel (in general case and without specifying which payment channel implementation.) Since this funding channels depends on the ...