A list of validated blocks, each linking to its predecessor all the way to the genesis block.
block reward (aka coinbase reward)::
An amount included in each new block as a reward by the network to the miner who found the Proof-of-Work solution. Approximately every four years, or more accurately every 210,000 blocks, the block reward is halved. It is currently 6.25 BTC per block.
Byzantine Generals Problem::
A reliable computer system must be able to cope with the failure of one or more of its components. A failed component may exhibit a type of behavior that is often overlooked--namely, sending conflicting information to different parts of the system. The problem of coping with this type of failure is expressed abstractly as the Byzantine Generals Problem.
candidate block::
A block that a miner is still trying to mine. It is not yet a valid block, because it does not contain a valid Proof-of-Work.
coinbase::
A special field used as the sole input for coinbase transactions. The coinbase allows claiming the block reward and provides up to 100 bytes for arbitrary data.
Not to be confused with Coinbase transaction.
coinbase (aka coinbase data)::
A special field used as the sole input for coinbase transactions. The coinbase data field allows claiming the block reward and provides up to 100 bytes for arbitrary data.
Not to be confused with coinbase transaction or coinbase reward.
coinbase transaction::
The first transaction in a block. Always created by a miner, it includes a single coinbase.
Not to be confused with Coinbase.
Not to be confused with coinbase (coinbase data) or coinbase reward
cold storage::
Refers to keeping a reserve of bitcoin offline. Cold storage is achieved when Bitcoin private keys are created and stored in a secure offline environment. Cold storage is important for anyone with bitcoin holdings. Online computers are vulnerable to hackers and should not be used to store a significant amount of bitcoin.
@ -73,6 +76,9 @@ fork::
genesis block::
The first block in the blockchain, used to initialize the cryptocurrency.
halving::
A halving event occurs when the block reward is cut in half, which happens approximately every four years (or precisely every 210,000 blocks). Bitcoin already had three halving events: in 2012 (from 50 to 25 BTC), in 2016 (from 25 to 12.5 BTC), and in 2020 (from 12.5 to 6.25 BTC).
hard fork::
Hard fork, also known as Hard-Forking Change, is a permanent divergence in the blockchain, commonly occurs when non-upgraded nodes can’t validate blocks created by upgraded nodes that follow newer consensus rules.
Not to be confused with fork, soft fork, software fork or Git fork.
@ -122,6 +128,9 @@ merkle tree::
miner::
A network node that finds valid proof of work for new blocks, by repeated hashing.
mining reward::
The reward miners receive in return for the security provided by mining. Includes the new coins created with each new block, also known as a block reward or coinbase reward, and the transaction fees from all the transactions included in the block.
multisignature::
Multisignature (multisig) refers to requiring a minimum number (M) of keys (N) to authorize an M-of-N transaction.
@ -188,9 +197,6 @@ Proof-of-Stake::
Proof-of-Work::
A piece of data that requires significant computation to find. In bitcoin, miners must find a numeric solution to the SHA256 algorithm that meets a network-wide target, the difficulty target.
reward::
An amount included in each new block as a reward by the network to the miner who found the Proof-of-Work solution. It is currently 6.25 BTC per block.
RIPEMD-160::
RIPEMD-160 is a 160-bit cryptographic hash function. RIPEMD-160 is a strengthened version of RIPEMD with a 160-bit hash result, and is expected to be secure for the next ten years or more.
Will Binns
3 years ago
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