Asaad on Nostr: Honestly, I Miss the talks about the #bitcoin technical side, but I guess that is ...
Honestly, I Miss the talks about the #bitcoin technical side, but I guess that is another talk in the bear market.
Bitcoin technical terms cover a wide range of concepts, tools, and mechanisms related to its functioning as a decentralized digital currency. Here’s a comprehensive list, grouped by categories:
General Bitcoin Terms
Bitcoin (BTC): The cryptocurrency and payment network.
Satoshi (SATs): The smallest unit of Bitcoin, equal to 0.00000001 BTC.
Blockchain: A decentralized ledger where Bitcoin transactions are recorded.
Cryptocurrency: A digital or virtual currency secured by cryptography.
Decentralization: A system without central authority, where control is distributed across participants.
Peer-to-Peer (P2P): A network model where participants communicate directly without intermediaries.
Open Source: Bitcoin's code is publicly accessible and modifiable.
Transaction-Related Terms
Wallet: Software or hardware used to store Bitcoin.
Public Key: The address used to receive Bitcoin.
Private Key: The secret key that grants access to spend Bitcoin.
Digital Signature: Cryptographic proof of transaction authorization.
UTXO (Unspent Transaction Output): Unspent outputs from Bitcoin transactions used as inputs for new transactions.
Transaction Fee: A fee paid to miners to confirm a Bitcoin transaction.
Mempool: A waiting area for unconfirmed Bitcoin transactions.
SegWit (Segregated Witness): A protocol upgrade that separates transaction signatures to increase block capacity.
Multi-Signature (Multisig): A wallet setup requiring multiple keys to authorize a transaction.
Mining and Consensus
Mining: The process of validating transactions and adding them to the blockchain.
Proof of Work (PoW): The consensus algorithm used to secure Bitcoin's network.
Hash: A fixed-size alphanumeric string generated from input data.
Nonce: A variable miners adjust to solve a block's hash.
Block Reward: New Bitcoins rewarded to miners for solving a block.
Halving: An event that reduces the block reward by half every 210,000 blocks (~4 years).
Difficulty Adjustment: The process of recalibrating mining difficulty every 2,016 blocks (~2 weeks).
Network and Protocol
Node: A computer running Bitcoin software that validates transactions.
Full Node: A node that fully validates the Bitcoin blockchain.
Lightweight Node: A node that relies on full nodes for blockchain data.
SPV (Simplified Payment Verification): A method for lightweight nodes to verify transactions.
P2P Network: The decentralized network of Bitcoin nodes.
Consensus Rules: The set of rules that all nodes follow to validate blocks and transactions.
Cryptography and Security
SHA-256: The cryptographic hash function used in Bitcoin.
Elliptic Curve Cryptography (ECC): The math behind Bitcoin's public/private key pair.
Cold Storage: Offline storage of Bitcoin to enhance security.
Seed Phrase: A mnemonic phrase used to recover a Bitcoin wallet.
Encryption: Securing information so that only authorized parties can access it.
Scaling and Forks
Block Size: The amount of data a Bitcoin block can hold (1 MB by default).
Fork: A change to the Bitcoin protocol, leading to a split in the blockchain.
Soft Fork: A backward-compatible protocol update.
Hard Fork: A non-backward-compatible protocol update.
Lightning Network: A Layer 2 scaling solution for faster, cheaper transactions.
Economic and Market Terms
21 Million Supply Cap: The total number of Bitcoins that will ever exist.
HODL: A slang term for holding Bitcoin long-term.
FOMO (Fear of Missing Out): The anxiety of missing investment opportunities.
FUD (Fear, Uncertainty, Doubt): Negative information spread to create panic.
Whale: A person or entity holding a large amount of Bitcoin.
Market Cap: The total value of all existing Bitcoin.
Development Terms
Taproot: A Bitcoin upgrade for improved privacy and scalability.
BIP (Bitcoin Improvement Proposal): A design document for introducing new features.
Testnet: A Bitcoin testing environment separate from the main network.
Satoshi Nakamoto: The pseudonymous creator(s) of Bitcoin.
Bitcoin technical terms cover a wide range of concepts, tools, and mechanisms related to its functioning as a decentralized digital currency. Here’s a comprehensive list, grouped by categories:
General Bitcoin Terms
Bitcoin (BTC): The cryptocurrency and payment network.
Satoshi (SATs): The smallest unit of Bitcoin, equal to 0.00000001 BTC.
Blockchain: A decentralized ledger where Bitcoin transactions are recorded.
Cryptocurrency: A digital or virtual currency secured by cryptography.
Decentralization: A system without central authority, where control is distributed across participants.
Peer-to-Peer (P2P): A network model where participants communicate directly without intermediaries.
Open Source: Bitcoin's code is publicly accessible and modifiable.
Transaction-Related Terms
Wallet: Software or hardware used to store Bitcoin.
Public Key: The address used to receive Bitcoin.
Private Key: The secret key that grants access to spend Bitcoin.
Digital Signature: Cryptographic proof of transaction authorization.
UTXO (Unspent Transaction Output): Unspent outputs from Bitcoin transactions used as inputs for new transactions.
Transaction Fee: A fee paid to miners to confirm a Bitcoin transaction.
Mempool: A waiting area for unconfirmed Bitcoin transactions.
SegWit (Segregated Witness): A protocol upgrade that separates transaction signatures to increase block capacity.
Multi-Signature (Multisig): A wallet setup requiring multiple keys to authorize a transaction.
Mining and Consensus
Mining: The process of validating transactions and adding them to the blockchain.
Proof of Work (PoW): The consensus algorithm used to secure Bitcoin's network.
Hash: A fixed-size alphanumeric string generated from input data.
Nonce: A variable miners adjust to solve a block's hash.
Block Reward: New Bitcoins rewarded to miners for solving a block.
Halving: An event that reduces the block reward by half every 210,000 blocks (~4 years).
Difficulty Adjustment: The process of recalibrating mining difficulty every 2,016 blocks (~2 weeks).
Network and Protocol
Node: A computer running Bitcoin software that validates transactions.
Full Node: A node that fully validates the Bitcoin blockchain.
Lightweight Node: A node that relies on full nodes for blockchain data.
SPV (Simplified Payment Verification): A method for lightweight nodes to verify transactions.
P2P Network: The decentralized network of Bitcoin nodes.
Consensus Rules: The set of rules that all nodes follow to validate blocks and transactions.
Cryptography and Security
SHA-256: The cryptographic hash function used in Bitcoin.
Elliptic Curve Cryptography (ECC): The math behind Bitcoin's public/private key pair.
Cold Storage: Offline storage of Bitcoin to enhance security.
Seed Phrase: A mnemonic phrase used to recover a Bitcoin wallet.
Encryption: Securing information so that only authorized parties can access it.
Scaling and Forks
Block Size: The amount of data a Bitcoin block can hold (1 MB by default).
Fork: A change to the Bitcoin protocol, leading to a split in the blockchain.
Soft Fork: A backward-compatible protocol update.
Hard Fork: A non-backward-compatible protocol update.
Lightning Network: A Layer 2 scaling solution for faster, cheaper transactions.
Economic and Market Terms
21 Million Supply Cap: The total number of Bitcoins that will ever exist.
HODL: A slang term for holding Bitcoin long-term.
FOMO (Fear of Missing Out): The anxiety of missing investment opportunities.
FUD (Fear, Uncertainty, Doubt): Negative information spread to create panic.
Whale: A person or entity holding a large amount of Bitcoin.
Market Cap: The total value of all existing Bitcoin.
Development Terms
Taproot: A Bitcoin upgrade for improved privacy and scalability.
BIP (Bitcoin Improvement Proposal): A design document for introducing new features.
Testnet: A Bitcoin testing environment separate from the main network.
Satoshi Nakamoto: The pseudonymous creator(s) of Bitcoin.