Blockchain Index – Important Terminologies in Blockchain.

All who are interested in Blockchain come across the same common Blockchain terminologies. To some people, they already knew the meaning of these terms. But to others, some terminologies are not always understood well. We are creating this Blockchain Index to help explain briefly some of the important terminologies in Blockchain.

Address

 Address is a string of alphanumeric characters that can also be represented as a scannable Quick Response Code (QR). Addresses are used to send and receive transactions on the network.

Agreement Ledger

An agreement ledger is a ledger used by parties to negotiate and come to an agreement.

Attestation Ledger

Attestation Ledger is a distributed ledger that provides a durable record of commitments, agreements or statements, giving evidence that these commitments, agreements or statements were made.

Bitcoin (uppercase)

Bitcoin is often used to refer to the entire ecosystem. Bitcoin is the common way of referencing Bitcoin when talking about it in general terms.

bitcoin (lowercase)

bitcoin refers to specific technologies that are used by Bitcoin’s ledger. Currency itself is one of the technologies.

Blocks

Files in which transaction data are permanently recorded.

Blockchain

A Blockchain is a distributed database that keeps a continuously-growing list of records protected from revision and tampering. Basically, the Blockchain technology is a public ledger that records all transactions that have ever occurred.

Block Height

Block height is the number of blocks linked together in the Blockchain. For instance, Height 0 is the first block.

Central Ledger

Central Ledger is a ledger kept by a central agency.

Confirmation

Confirmation is the verification of the Blockchain transaction by the network. This occurs through a process referred to as mining. A confirmed transaction cannot be reversed.

Consensus Process

Consensus Process is a method used by a group of peers  responsible for keeping a distributed lender to reach consensus on the contents of the ledger.

Cryptocurrency

Cryptocurrency is a digital currency that uses encryption techniques to control the generation of units of currency and authenticate the transfer of funds, working independently of a central bank.

Digital Identity

A digital identity is a networked or online identity adopted in cyberspace by an organization, electronic device or an individual.

Distributed Ledger

Distributed ledger is a type of database that is spread across many sites, institutions or countries.

Difficulty

 Difficulty refers to how hard is it to authenticate blocks in a Blockchain network.

Genesis Block

 This is the first block in a Blockchain.

Halving

Bitcoins have limited supply and scarce digital commodity. Bitcoins that will ever be issued add up to 21 million. Every four years, the number of bitcoins produced per block is reduced by half. This is referred to as halving.

Litecoin

Litecoin is a peer-to-peer cryptocurrency that enables instant cost payments to anyone in the world. It is an open source, a world-wide payment network that is entirely decentralized.

Mining

 Mining is a process by which transactions are authenticated and added to a Blockchain.

Peer-to-peer (P2P)

Peer-to-peer is the decentralized interactions that occur between two or more parties in a highly connected network. Peer-to-peer participants deal directly with each other via a single mediation point.

Participant

 This is a person who can access the ledger: add records or read records.

Private Currency

A currency supplied by a private firm or individual, normally secured against uninsured assets.

Private Key

 A string of data that show a person has access to bitcoin wallet. Basically, private keys are thought of as password.

Ripple

Payment networks created on distributed ledgers that allow a transfer any currency.

Smart Contracts

 These are contracts whose terms are written in computer language.

Tokenless Ledger

This is a ledger that doesn’t need a native currency to operate.

Wallet

A secure online service which simplifies the sending and receiving of Bitcoins for both new and experienced users.

More will be added to the Blockchain Index as soon as we get new terms. Feel free to add one in the comment box bellow if you have any. Or contact editor@techbullion.com to suggest a term.

Angela Scott-Briggs: Editor TechBullion.com | Interested in Innovations in Business, Finance, and Technology .
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