Bitcoin for Beginners
Bitcoin (₿) is a cryptocurrency invented in 2008 by an unknown person or group of people using the name Satoshi Nakamoto and started in 2009 when its implementation was released as open-source software.It is a decentralized digital currency without a central bank or single administrator that can be sent from user to Transactions are verified by network nodes through cryptography and recorded in a public distributed ledger called a blockchain. Bitcoins are created as a reward for a process known as mining. They can be exchanged for other currencies, products, and services. Research produced by the University of Cambridge estimates that in 2017, there were 2.9 to 5.8 million unique users using a cryptocurrency wallet, most of them using bitcoin. Bitcoin has been praised and criticized. Critics noted its use in illegal transactions, the large amount of electricity used by miners, price volatility, and thefts from exchanges. Some economists, including several Nobel laureates, have characterized it as a speculative bubble. Bitcoin has also been used as an investment, although several regulatory agencies have issued investor alerts about bitcoin.
Bitcoin (₿) is a cryptocurrency invented in 2008 by an unknown person or group of people using the name Satoshi Nakamoto and started in 2009 when its implementation was released as open-source software.It is a decentralized digital currency without a central bank or single administrator that can be sent from user to Transactions are verified by network nodes through cryptography and recorded in a public distributed ledger called a blockchain. Bitcoins are created as a reward for a process known as mining. They can be exchanged for other currencies, products, and services. Research produced by the University of Cambridge estimates that in 2017, there were 2.9 to 5.8 million unique users using a cryptocurrency wallet, most of them using bitcoin. Bitcoin has been praised and criticized. Critics noted its use in illegal transactions, the large amount of electricity used by miners, price volatility, and thefts from exchanges. Some economists, including several Nobel laureates, have characterized it as a speculative bubble. Bitcoin has also been used as an investment, although several regulatory agencies have issued investor alerts about bitcoin.
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CRYPTOGRAPHY
TERMINOLOGIES AND
DEFINITION
Sell Wall - The term sell wall refers to a very
large limit sell order or a cumulation of sell
orders at one price level on an order book. It is
the opposite of a buy wall, which refers to a
large buy order or a cumulation of buy orders
at one price level.
SHA-256 - SHA-256 stands for Secure Hash
Algorithm 256-bit and it's used for
cryptographic security. Cryptographic hash
algorithms produce irreversible and unique
hashes.
Sharding - Sharding is the process of splitting
a large database into smaller more-easily
manageable components (shards). The goal is
to lower the load on the database by
separating it into many parts and hosting each
part on a separate server, thus speeding up
query times. Sharding is known as a horizontal
type of partitioning, meaning it splits a
database by rows, not by columns (vertical).
Shit Coin - The Urban Dictionary defines a
shitcoin as “a great way to lose money” and “a
cryptocurrency with no utility or unique
features.” In other words, a shitcoin is a
cryptocurrency that will someday be totally
worthless.
Short - Short selling (often referred to just as
‘short’) is an investment method to make
money over an asset’s price drop. Shorting
Bitcoin is trading against a long-term uptrend;
the longer you the trend remains, the riskier
this becomes.
Smart Contarcts - A smart contract is a selfexecuting
contract with the terms of the
agreement between buyer and seller being
directly written into lines of code. The code
and the agreements contained therein exist
across a distributed, decentralized blockchain
network.
Soft Fork - In terms of blockchain technology,
a soft fork (or sometimes softfork) is a change
to the software protocol where only
previously valid blocks/transactions are
made invalid.
Software Wallet - A Bitcoin wallet is a
software program in which Bitcoins are
stored. Technically, Bitcoins are not stored
anywhere. For every individual who has a
balance in a Bitcoin wallet, there is a private
key (secret number) corresponding to the
Bitcoin address of that wallet.
Solidity - Solidity is a statically-typed
programming language designed for
developing smart contracts that run on the
EVM. Solidity is compiled to bytecode that is
executable on the EVM.
TA - Technical analysis is a trading discipline
employed to evaluate investments and
identify trading opportunities by analyzing
statistical trends gathered from trading
activity, such as price movement and volume.
Technical Analysis - Technical analysis is a
trading discipline employed to evaluate
investments and identify trading opportunities
by analyzing statistical trends gathered from
trading activity, such as price movement and
volume.
Test Net - The testnet is an alternative Bitcoin
block chain, to be used for testing. Testnet
coins are separate and distinct from actual
bitcoins, and are never supposed to have any
value. This allows application developers or
bitcoin testers to experiment, without having
to use real bitcoins or worrying about
breaking the main bitcoin chain.
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