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Do you have familiar terms such as "participation test", "litecoin" and "mining"? Otherwise, keep reading.
7 min read
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With all the noise that has recently been made about technology Blockchain standing up can be complicated. Given the speed with which this industry has grown, new terms are appearing every day, and if you want to know more about cryptocurrencies blockchain and what means "HODL", here is a list of vocabulary
Blockchain [19659007] If you are talking about blockchain, you must first know what it means. The Blockgeeks website explains that blockchain is a distributed digital accounting book. Created by an unknown individual named Satoshi Nakamoto (who is probably his pseudonym), the original use of blockchain was Bitcoin digital currency. One of the most significant benefits of the blockchain is the transparency and incorruptibility of its technology, since its network exists through a decentralized consensus. It is useful to consider blockchain technology as a giant spreadsheet on which we can all contribute.
Cryptocurrency
The Cointelegraph site defines the blockchain as a digital or virtual currency intended to be a means of exchange. Use a cryptogram to secure and verify transactions and create new cryptocurrency units. Because they are built on their own blockchain, cryptocurrencies vary in the way they process transactions, the number of coins available, and their structure in general.
Bitcoin
The creator of Bitcoin, "Satoshi Nakamoto" remains an unknown person to this day, but his Bitcoin is the first currency for digital transactions from person to person.
Litecoin
Litecoin was created to be the direct competition of Bitcoin. According to PCMag magazine, Litecoin was designed to make transactions faster than Bitcoin. A chain of blocks takes a long time to process a transaction, while Visa or MasterCard can process hundreds of exchanges in one second
Ethereum
Like Litecoin, Ethereum is considered a relevant cryptocurrency. The Bankrate site describes Ethereum as a "global computer" because it is a blockchain-based system that other blockchain developers can use to build new cryptocurrencies. The process of using an existing blockchain technology and its development is related to the way mobile developers create applications on the App Store platform.
In the blockchain world, these technologies are based on blockchain-based systems. they are known as dApps.
dApp
dApps, or decentralized applications, are applications built on an existing blockchain. Just like apps in the App Store, they apply to a wide variety of uses, from health systems to badet management. Many entrepreneurs have found different uses for blockchain and crypto, so using dApps to develop blockchain projects has become very popular.
Altcoin
Altcoins are cryptocurrences built independently on their own blockchain or on a network of existing blockchains like Ethereum. According to Just Crypto News in December 2017, there were about 1,368 altcoins
ICO
An ICO, initial offering of money ( initial offering by its acronym English), is a public sale that aims to finance a new cryptocurrency through a blockchain or dApp company. It sounds a bit like a Kickstarter campaign, but ICOs often offer utility chips that can be used on their own platforms instead of offering stock in a company. However, the ICOs (which in Spanish, the nearest financial term would be a public offer of sale) have become extremely popular for obtaining financing; According to Coinschedule, there have already been about 538 ICO in 2018.
Mining
The term "mining" or " mining " refers to the means of gaining cryptocurrency. Many cryptocurrencies can be obtained by solving algorithms and complex mathematical problems, and "minors" receive tokens to solve them. However, we do not know for how long this practice can be maintained for two reasons: first, the profits of Bitcoin miners have dropped by 50 percent a year, and the second is that Bitcoin mining requires the solution of complex mathematical problems, something that causes a mbadive power consumption of the computer.
Gas
"Gas" is the price paid to operate in a network and the price is determined by the miners. For example, according to the ETH service station, making a transaction on your network costs about $ 0.30 today. Now, we must be careful in converting these costs because rates can increase rapidly, especially if you make several small transactions
Proof of Labor
Proof of Work ( Proof of Labor in English ) is a mining algorithm and the very basis of Bitcoin. It is considered a rather laborious algorithm, and is much less popular than other more recent algorithms such as the "test of participation" (19459013) proof-of-stake )
Participation test
The proof-of-stake is a consensus algorithm that is used to validate complete blocks in the blockchain. Instead of drawing a consensus that the block correctly completes an equation using the "show your work" model ( show your work) the "participation test" deals with whole blocks confirming the consensus among the shareholders of the chips. Many blockchain enthusiasts switch to this "participation test" model because it has a much higher transition speed
Nodes
Nodes are endpoints that confirm a block . These operate around the world, dealing with every transaction. According to Bitnodes, there are 9,867 nodes for Bitcoin at the moment; Obviously, Bitcoin is one of the largest networks, but almost all blockchain networks use nodes to confirm their transactions.
White Paper
Hubspot says that a white paper (white paper, in some cases). sites in Spanish) is a "deep, persuasive and authoritative report on a specific topic that presents a problem and provides a solution." For blockchain, your white paper is your thesis project and should help users understand why they should invest in your token or currency.
What other word do you have difficulty understanding? If it's HODL, which I've alluded to at the beginning of this article, it's slang for "hanging on to your cryptocurrency instead of selling it" ( standing at crytpocurrency rather than selling it ))
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