@ -22,9 +22,9 @@ Bitcoin wallets contain keys, not coins. Each user has a wallet containing keys.
((("wallets", "technology overview", "wallet types")))There are two primary types of wallets, distinguished by whether the keys they contain are related to each other or not.
The first type is _nondeterministic wallets_, where each key is independently generated from a random number. The keys are not related to each other. This type of wallet is also known as a JBOK wallet from the phrase "Just a Bunch Of Keys."
((("JBOK wallets")))((("wallets", "JBOK wallets")))((("nondeterministic wallets", seealso="wallets")))The first type is _nondeterministic wallets_, where each key is independently generated from a random number. The keys are not related to each other. This type of wallet is also known as a JBOK wallet from the phrase "Just a Bunch Of Keys."
The second type of wallet is a _deterministic wallet_, where all the keys are derived from a single master key, known as the _seed_. All the keys in this type of wallet are related to each other and can be generated again if one has the original seed. There are a number of different _key derivation_ methods used in deterministic wallets. The most commonly used derivation method uses a tree-like structure and is known as a _hierarchical deterministic_ or _HD_ wallet.
((("deterministic wallets", seealso="wallets")))The second type of wallet is a _deterministic wallet_, where all the keys are derived from a single master key, known as the _seed_. All the keys in this type of wallet are related to each other and can be generated again if one has the original seed. There are a number of different _key derivation_ methods used in deterministic wallets. The most commonly used derivation method uses a tree-like structure and is known as a _hierarchical deterministic_ or _HD_ wallet.
Deterministic wallets are initialized from a seed. To make these easier to use, seeds are encoded as english words, also known as _mnemonic code words_.
judymcconville@roadrunner.com
7 years ago