Glossary

Time to understand the language.

A B C D E F G H I J K L M N O P Q R S T U V W X Y Z

Actor

Address

Airdrop

Altcoin

Anti-Money Laundering (AML)

Application-Specific Integrated Circuit (ASIC)

Banking Secrecy Act (BSA)

Bitcoin (BTC)

Block

Block Depth

Block Explorer

Block Height

Block Reward

Block, Canonical

Block, Genesis

Blockchain

Blockchain Transaction Fees

Bug Bounty

Byzantine Fault Tolerance

Certificate Authority (CA)

Client

Closed Source

Closed Source

Coin

Coinbase

Cold Wallet

Command-Line Interface

Confirmation

Consensus

Consortium

Corda

Crypto Exchange

Cryptocurrency

Cryptography

Currency

Currency

Custodial

DAPP

Decentralization

Decentralized Autonomous Organization (DAO)

Decentralized Finance (DeFi)

Digital Identity

Digital Signature

Directed Acyclic Graph

Distributed Ledger

Double Spend Attack

EOS.IO

ERC20 Token Standard

Ethereum

Ethereum Enterprise Alliance

Ethereum Improvement Proposals (EIP)

Ethereum Virtual Machine

EWASM

Exchange

Exchange (Decentralized)

Fiat

Financial Crimes Enforcement Network (FinCEN)

Fintech

Fork

Fungibility

Gas

Gas Price

Genesis Block

Graphical User Interface (GUI)

Halving

Hardware Wallet

Hash

Hash Collision

Hash Function

Hashgraph

Hashrate

Hexadecimal Notation

Hot Wallet

Hybrid Consensus Model

Hyperledger

Immutability

Initial Coin Offering (ICO)

Java

Javascript

Know Your Customer (KYC)

Liquidity

Mainnet

Market Capitalization

Merkle Proof

Merkle Root

Merkle Tree

Metaverse

Miner

Miner, ASIC

Miner, CPU

Miner, GPU

Mining

Mining Pool

Multi Signature (MultiSig)

Network

Node

Node, Full

Node, Light

Non-Custodial

Non-Fungible

Non-Fungible Token (NFT)

Opcode

Open Source

OpenSea

Oracle

Oracle

Peer-to-Peer (P2P)

Private Blockchain

Private Key

Private Key Infrastructure (PKI)

Proof-of-Liquidity

Proof-of-Stake

Proof-of-Work

Protocol

Public Blockchain

Public Key

Ring Signature

Satoshi Nakamoto

Scalability

Serialization

Shard

Slashing Condition

Smart Contract

Solidity

Stablecoin

State Machine

Tangle

Testnet

Testnet

Token

Tokenization

Transaction Block

Transaction Fee

Transaction Pool

Trustless

Turing-Complete

Turing-Machine

Unspent Transaction Output

Validator

Virtual Machine

Vyper

Wallet

Web Assembly (WASM)

White Label

Zero-Knowledge Proof

Actor

In the blockchain industry, an actor refers to any entity with the capabilities for participating in a specific action or network.

Address

In blockchain terms, the address generally refers to the public address related to a private key. The addresses work as the identity of an actor or an account, and in most cases are available in hexadecimal notations.

Airdrop

Airdropping is a method of token distribution, which helps in sending tokens or cryptocurrency to wallet addresses. Airdrops are typically utilized for marketing purposes to increase app downloads, sign-ups, reshares, and referrals.

Altcoin

Altcoins are digital currency alternatives for Bitcoin. The majority of altcoins are forks of Bitcoin, with few changes. An example of this is Ethereum (ETH).

Anti-Money Laundering (AML)

Anti-money laundering refers to the collection of international laws implemented for reducing the possibilities of money laundering through cryptocurrencies.

Application-Specific Integrated Circuit (ASIC)

ASIC is a type of computer processing chip that performs a singular function. Due to its specialization, an ASIC is much more efficient and cost-effective than a generalized computer processor that can perform many functions. In the blockchain industry, ASIC boards have been used to perform the SHA256 hashing required for Proof-of-Work (PoW), greatly outstripping the hash rate of even the most powerful GPU miners.

Banking Secrecy Act (BSA)

Legislation passed in the United States in 1970 that requires financial institutions to assist government agencies in detecting and preventing money laundering. BSA requirements include mandatory reporting of certain activities, record keeping for all customers, and limitations on what kind of monetary instruments may be purchased or exchanged.

Bitcoin (BTC)

Bitcoin also referred to as BTC, is a decentralized blockchain tailored particularly for transaction of tokens between accounts. The most important highlight of Bitcoin is that it is the first blockchain-based cryptocurrency. Bitcoin features a Proof-of-Work or PoW consensus algorithm and leverages Unspent Transaction Outputs (UTXOs) for storing data.

Block

Block is the most fundamental component in the structure of a blockchain and serves as the single section comprising discrete data. The blocks generally include a list of actions or transactions that should be performed during data processing in the block.

Block Depth

Block depth refers to the position index of a block in the blockchain with respect to the most recently added block. For example, a block that is 2 blocks before the last added block will have a block depth of 2.

Block Explorer

Block explorer is the software or GUI graphical user interface, which helps users in reading and analyzing data on a blockchain.

Block Height

A block’s position index in the blockchain relative to the genesis (zeroeth) block. The 5th block added to a chain will have a block height of 5.

Block Reward

Blockchains with native cryptocurrency allow miners to allocate a specific number of tokens for generating spontaneously and sending to the desired address. The reward compensates for the miner’s support in building a block and the network alongside incentivizing other miners for joining the network.

Block, Canonical

A canonical block is one that has been incorporated in the primary blockchain. The canonical block is referenced either directly or indirectly by future blocks. Non-canonical blocks which might have validity could be rejected in favor of canonical blocks.

Block, Genesis

The first block in a blockchain structure is known as the genesis block. The block height for the genesis block is zero. Most important of all, all the other blocks in the blockchain are linked intrinsically to the genesis block. It is possible to configure genesis blocks for creating a fork of a chain of purposes, including specification of different block parameters or pre-loading accounts with tokens for test networks.

Blockchain

Blockchain is an innovative method for data storage in discrete sections in the form of blocks, which are linked to each other. It is basically a consensus digital ledger including digitally recorded data in different sections such as blocks. Every block is related to the next block through a cryptographic signature. Blockchains could provide criteria for the type of data eligible for storage on the block and invalid data, which should be rejected.

Blockchain Transaction Fees

Blockchain transaction fees refer to the fee users are charged when they perform transactions on a blockchain network. The fee is basically the payment for processing a transaction on the network and can help in speeding up blockchain transactions.

Bug Bounty

Bug Bounty basically refers to a reward paid for completing specific tasks such as identification of code vulnerabilities, design work, social impact, content creation, research, and more.

Byzantine Fault Tolerance

Byzantine Fault Tolerance basically refers to the ability of the network to reach consensus properly at any given time while also assuming that no more than one-third of the network actors are malicious.

Certificate Authority (CA)

Certificate Authority or CA refers to a centralized authority that helps in correlating identities with a public-private key pair in private key infrastructures.

Client

Client in the world of blockchain refers to software with the capabilities for accessing a blockchain through a local computer.  A client would generally feature a cryptocurrency software wallet and support in processing transactions.

Closed Source

The closed source software points out proprietary software featuring source code that is not accessible to the public. Users can access the compiled binaries in the form of an executable program. However, the binaries are not human-readable, and users other than the original software developer cannot access them for modifications.

Closed Source

Closed source software is proprietary software with source code that cannot be accessed by the public. The compiled binaries may be available in the form of an executable program (files that end in .exe, .dpkg, etc.) but are not human-readable or available for modification by anyone but the original software developer.

Coin

Coin in terms of blockchain is basically a representation of digital asset value generated through personal, independent blockchain.

Coinbase

Coinbase is a US-based cryptocurrency brokerage platform, which is the largest exchange in terms of transaction volume and customer base. In comparison to other exchanges, Coinbase features a small count of cryptocurrency offerings. It provides only a specific few dozen tradable cryptocurrencies out of all the available options in the ecosystem.

Cold Wallet

The cold wallet or cold storage in blockchain points out to an offline wallet that is not connected to the internet ever. The cold wallets are helpful in safeguarding cryptocurrencies from online hacking attacks.

Command-Line Interface

CLI or Command-Line Interface is a text-based user interface that can offer the core functionalities alongside access to system resources in a better way than GUIs. However, CLI generally lacks the benefits of usability. Therefore, CLI is more suitable for developers in comparison to the average users.

Confirmation

Confirmation in the world of blockchain refers to the process of determining the extent of the immutability of the information in a blockchain. In some cases, confirmations refer to the number of nodes accepted in a transaction, the number of transactions referencing the confirmation, or the number of blocks prior to it. A general transaction in Bitcoin features five confirmations upon producing five blocks after the block containing a specific transaction.

Consensus

Consensus is an important process in the blockchain industry that is essential for helping different sections of a network in determining a single source of truth. Blockchain networks depend on consensus algorithms for reaching an agreement in terms of the blogs eligible for addition to the chain and the validity of nodes.

Consortium

Consortium refers to the private blockchain network operated by a company or a group of agencies. Consortium chains generally management information that is not fit for public release albeit needs to be communicated immutably between two concerned parties.

Corda

Corda is basically an open-source blockchain project tailored for business functions. It helps in developing interoperable blockchain networks with formidable indications for conducting transactions in complete privacy. Corda features smart contract technology for enabling businesses to complete direct transactions with better value.

Crypto Exchange

Crypto exchange basically refers to the platform that can enable trading cryptocurrencies for other assets such as digital or fiat currency. They serve as intermediaries between the buyer and seller while operating on a commission-based model.

Cryptocurrency

Cryptocurrency refers to currencies that are digitally distributed and traded with establishing proof of ownership through cryptographic methods. For instance, it is not possible to transfer Ether from an account without any control over the private key related to the concerned account.

Cryptography

Cryptography is the technique of combining mathematical and logical problem-solving skills for encryption or decryption of encoded messages. Computer cryptography depends considerably on mathematical proofs alongside the difficulty of computation for certain mathematical problems.

Currency

In most specific terms, money in any form, when used in circulation as a medium of exchange is known as currency. Every country has its own currency, like the US dollar is the currency of the USA.

Currency

A system of abstract representations of the ability to reconcile debts that is generally accepted or in use. Money is a currency. In the United States of America, the U.S. Dollar is the national currency.

Custodial

Custodial in the context of blockchain refers to a variant of digital wallet which stores the private keys of customers. In addition, the custodial wallet also offers security and backup for the assets of users.

DAPP

Decentralized Apps (DAPP) or decentralized apps are similar in terms of operations with regular web applications. On the other hand, they can retrieve information about their state and data from specific or multiple blockchain networks. You wouldn’t need a central web server for the functioning of DApps. In addition, DApps communicate with each other through the messaging protocol used by blockchain networks connected to them.

Decentralization

Decentralized points out the shift of data, actions, and other associated interests from a single actor towards distribution throughout all actors.

Decentralized Autonomous Organization (DAO)

A decentralized Autonomous Organization or DAO points out a company or group of like-minded people operating on the basis of rules established in a smart contract. DAOs are generally helpful for transforming business logic to software logic documented on a blockchain.

Decentralized Finance (DeFi)

Decentralized finance or DeFi is a paradigm shift in the economy powered by decentralization, especially in blockchain networks. DeFi points out the radical transition from centralized and closed financial systems to universally accessible economies. DeFi relies on open protocols with the assurance of programmability, ease of composition, and interoperability.

Digital Identity

Digital identity is an identity on a network adopted by an organization, individual, or electronic device.

Digital Signature

A digital signature is a code created through public-key encryption followed by being attached to electronically transmitted documents for verifying the contents of the document.

Directed Acyclic Graph

Directed Acyclic Graph or DAG is a directed graph structure, such as a flow chart, without any recursive routes. DAGs are applicable in the blockchain industry primarily for creating links between blocks, data storage structures, and transactions.

Distributed Ledger

A distributed ledger is the database spread throughout different sites, institutions, and countries with sequential and continuous storage of records. The data in distributed ledger could be permissioned or unpermissioned, depending on the control privileges for viewership of the data.

Double Spend Attack

A malicious attempt to convince two separate parties that one of two conflicting transactions is valid. In such a situation, both transactions appear individually valid, but their combination is not. Thus, only one is included in the blockchain.

EOS.IO

EOS basically points out the Blockchain 3.0 chain, tailored specifically for emphasizing transaction throughput. It leverages the web assembly or WASM for smart contracts and the delegated proof-of-stake or DPoS consensus mechanism.

ERC20 Token Standard

ERC refers to Ethereum Request for Comment and is associated with an assignment number related to the standard. ERC20 is a technical standard for smart contracts implemented by the majority of Ethereum tokens. The ERC20 standard lists certain rules which specify requirements that a token should fulfill for maintaining compliance and functioning in the Ethereum network.

Ethereum

Ethereum is one of the prominent examples of the decentralized chain in Blockchain 2.0. As a matter of fact, it will be the first major smart contract platform that enjoys considerable support from Fortune 500 companies through the Ethereum Enterprise Alliance or EEA. Ethereum presently depends on a Proof-of-Work or PoW consensus algorithm. However, future modifications in the protocol can imply the need for updating to a Proof-of-Stake or PoS algorithm for better scalability.

Ethereum Enterprise Alliance

The Ethereum Enterprise Alliance or EEA refers to a group of medium to large businesses with a public commitment to support Ethereum development and creating applications tailored for the protocol.

Ethereum Improvement Proposals (EIP)

Ethereum Improvement Proposals or EIPs provide a description of standards for the Ethereum platform, such as contract standards, core protocol specifications, and client APIs.

Ethereum Virtual Machine

Ethereum Virtual Machine is a simulated state machine that depends on eWASM bytecode for processing transactions. In addition, it can also facilitate opportunities for performing state transitions for the Ethereum blockchain. The state of the EVM will be similar on all nodes in the network, with the impossibility of generating different states by using the same inputs.

EWASM

EWASM refers to the web assembly or WASM version implemented by the Ethereum Virtual Machine for ensuring improved functionalities in blockchains.

Exchange

A cryptocurrency exchange is commonly evident in the world of blockchain, especially as a service for trading cryptocurrency tokens for fiat or other tokens. Exchanges are subject to intensive regulations in the US, the European Union, and eastern Asia.

Exchange (Decentralized)

Decentralized exchange basically refers to a cryptocurrency exchange hosted completely through a decentralized app on a specific blockchain. Decentralized exchanges generally don’t allow the conversion of cryptocurrency to fiat. Furthermore, decentralized exchanges also present more difficulties in comparison to standard exchanges for regulations and sanctions.

Fiat

Fiat refers to a nationally adopted currency that has the backing of the government. For example, the US Dollar and Euro are examples of fiat currencies. Fiat currencies are generally favorable due to their traditional applications and legal status.

Financial Crimes Enforcement Network (FinCEN)

FINCEN is the U.S. federal agency that investigates and prosecutes finance-related crimes, like money laundering. The rules and regulations of FinCEN cover many points related to the use of cryptocurrency.

Fintech

Fintech word is a combination of two terms finance and technology. The combined term Fintech refers to a business that involves the use of technology for the automation or enhancement of financial services and processes.

Fork

Fork in the world of blockchain refers to the process of creating a unique network by using the same consensus mechanism or protocols as the previously existing network. Forks could contain the state of the original network or instantiate their own state. You can find two categories of forks such as hard fork and soft fork. The hard fork features permanent incompatibility with the existing network. The soft fork features compatibility with the data on the original chain.

Fungibility

Fungibility refers to the property of an item that could be easily exchanged with another identical item. A particular asset class becomes fungible when all units of the asset feature similar market value and validity.

Gas

Gas in the blockchain terminology refers to a measure of the computational difficulty needed for processing a smart contract function. Functions with additional complexity would require additional gas. Users could find gas as hardcoded values for each operational code, such as in the case of Ethereum. On the other hand, gas could also refer to subjective values that depend on the miner’s preferences.

Gas Price

Gas price refers to the number of tokens charged as fee for every unit of gas consumed by function of smart contract. Gas prices can help a network in responding dynamically to fluctuations in bandwidth demand on the grounds of market forces.

Genesis Block

The genesis block is the initial data block that was computed first in the history of the blockchain network.

Graphical User Interface (GUI)

The Graphical User Interface or GUI is basically an instrument for displaying information to users through the personalized design of on-screen elements such as taskbars and windows.

Halving

Cryptocurrencies such as Bitcoin run on a finite supply, thereby implying their characterization as a scarce digital commodity. The total amount of Bitcoin issued could never cross 21 million. So, the number of Bitcoins generated for every block is reduced by half every four years in a process known as halving.

Hardware Wallet

Hardware wallet refers to any physical device such as the popular Ledger Wallet, which can be connected to the web with a facility for interaction with online exchanges.

Hash

Hash is an important element in the description of blockchain infrastructures. It refers to the output of a cryptographic function for mapping inputs to particular outputs that seem arbitrary. Hashes are primarily useful for efficient data identification.

Hash Collision

Hash collision happens in the circumstances when two inputs are mapping to the same output hash. However, it is impossible to offer two sets of meaningful data with colliding hashes. Although users can construct hashes from data, they cannot reconstruct data from hashes.

Hash Function

Hash function refers to a cryptographic function that enables mapping of inputs to particular yet visibly random outputs.

Hashgraph

Hashgraph is a decentralized ledger that depends on a gossip protocol for communicating transactions alongside a tangle-style consensus approach.

Hashrate

Hashrate refers to the rate at which a specific machine is capable of addressing a particular hashing function. The Hashrate is generally similar to the common CPU speed. Hashrate is calculated on the basis of the number of times that a machine could perform specific functions per second. As a result, ASICs are capable of showcasing higher hashrate in comparison to processors with similar clock speeds.

Hexadecimal Notation

Hexadecimal notation is basically the representation of raw data in base of 16 rather than base of two or base of 10.

Hot Wallet

The hot wallet in blockchain points out to wallets that are connected directly to the internet at all times, such as the ones held on centralized exchanges.

Hybrid Consensus Model

The hybrid consensus model focuses on combining the best functionalities from Proof of Stake (PoS) and Proof of Work (PoW) consensus mechanisms. The hybrid consensus model enables validation of blocks by miners as well as voters, thereby leading to a balance in network governance.

Hyperledger

Hyperledger is one of the top enterprise favorites for leveraging the power of blockchain. Hyperledger features an assortment of tools offered by IBM and helps in creating enterprise-level consortium chains with hosting by The Linux Foundation.

Immutability

Immutability is the property of data for showcasing additional resistance to modifications. It is a key aspect of blockchain networks and ensures that data written on a blockchain ledger cannot be modified.

Initial Coin Offering (ICO)

ICO or Initial Coin Offering, also known as Initial Token Offering, is similar to the public offering of stocks in the financial markets. It offers a way for tokenized businesses to obtain investment from the public. ICOs come under the regulation of the Securities and Exchange Commission or SEC.

Java

Java is the most popular programming language tailored for server-side applications.

Javascript

JavaScript is the ideal programming language tailored for browsers and web pages on the grounds of its flexibility. It follows the ECMAScript and is also an interpreted language for developing back-end and front-end solutions.

Know Your Customer (KYC)

KYC is a procedure in which a business verifies the genuineness of the customers by verifying their background and identity.

Liquidity

Liquidity refers to the availability of liquid assets to a market or company. An asset is associated with higher liquidity for easier conversion to cash. Difficulties in converting an asset into cash make the asset illiquid. The liquidity of an asset influences its market price and risk potential.

Mainnet

Mainnet is the largest blockchain network run by a specific protocol or the most valuable chain of a community. They exist in places of deriving real value and representation of truest intents of the core developers.

Market Capitalization

Market Capitalization, also known as Market Cap, is the total value of a particular market, industry, company, or asset. For a company that is publicly traded, market capitalization is the total market value (in dollars) of the outstanding shares of a company.

Merkle Proof

Merkle Proof basically refers to the process of passing through a Merkle tree from leaf to root. Along the way, you have to hash every level with the previous level for producing a unique hash for the tree’s structure.

Merkle Root

Merkle Root refers to the cryptographic has of all other hashes in the Merkle Tree. In the case of a blockchain, the Merkle Root refers to a hash of all the transaction hashes in the chain.

Merkle Tree

Merkle Tree is a data tree with leaves at the end of every branch labeled with an identifier or a cryptographic hash. All branches on a Merkle Tree are labeled with all leaves and sub-branches. The redundancy on a Merkle Tree ensures that any individual with the tree could provide reliable proof of completeness of the data.

Metaverse

Metaverse refers to the concept of a shared virtual world made up of 3D objects and virtual spaces which offer an interactive, collaborative and immersive experience. The examples of metaverse are evident in massive online social games such as Fortnite or user-generated virtual worlds like Minecraft.

Miner

Miner in the world of blockchain points out to an actor with the ability to create and submit new blocks to the chain. CPU miners generally use central processors for block production and validation. GPU miners are known for using their graphics processors to address block validation and production. Miners using ASIC for block validation and production are known as ASIC miners.

Miner, ASIC

A miner that utilizes an application-specific integrated circuit (ASIC) to perform block validation and production.

Miner, CPU

A miner that utilizes its central processor to perform block validation and production. CPU miners are used for mining algorithms that require more generalized processing and cannot be done in parallel (i.e., each operation depends upon the result of the previous one).

Miner, GPU

A miner that utilizes its graphics processor to perform block validation and production. GPU miners excel at mining algorithms that can be performed in parallel and have a limited number of unique operations (such as Proof-of-Work).

Mining

The process of developing a new block and submitting it to the blockchain is known as mining

Mining Pool

The mining pool refers to a group of miners working together for generating the next block on a blockchain before the others in the network.

Multi Signature (MultiSig)

Multi Signature is a crypto-asset wallet for which there is a requirement of multiple keys to access it. More than one (specified) individuals have to sign a transaction for approval, only then they would be able to access the wallet.

Network

The set of actors interconnected collectively for achieving a single purpose is referred to as a network.

Node

Any participant in the blockchain network connected to peers with the capability of validation and propagation of new blocks is referred to as a node. A full node generally features the complete state of the blockchain. On the other hand, a light node features adequate block data for validation of the chain, albeit without the complete state data related to every block.

Node, Full

A node that has the complete state of the blockchain is available.

Node, Light

A node that has enough block data to validate the chain but lacks the complete state data for each block.

Non-Custodial

Non-custodial in the context of blockchain refers to a specific variant of a decentralized wallet where the customer has ownership of the wallet’s private keys. Users receive a file with private keys and a mnemonic phrase so they can retrieve their assets in non-custodial wallets.

Non-Fungible

Non-fungible refers to the property of an asset that has unique qualities and cannot be exchanged with another asset in a similar class. Basically, non-fungible tokens are unique and are not interchangeable.

Non-Fungible Token (NFT)

NFT is a token that doesn’t have any equal token i.e. considered to be a unique digital asset.

Opcode

Opcode is basically a machine-level instruction for processors, and they are generally very basic commands such as bit shifting, addition, and multiplication.

Open Source

Open source software is software for which the source code that is available to the public.

OpenSea

OpenSea is a decentralized P2P marketplace tailored for purchasing, selling, and trading in rare digital assets, including gaming items, artwork, and collectibles created over the non-fungible token (NFT) technology.

Oracle

The company Oracle creates enterprise-level software systems. On the other hand, as a service, oracles are services for connecting real-world data and blockchain applications.

Oracle

The company Oracle creates enterprise-level software systems. On the other hand, as a service, oracles are services for connecting real-world data and blockchain applications.

Peer-to-Peer (P2P)

Peer-to-Peer or P2P refers to a model of interaction between actors involved in a transaction without any external intermediary.

Private Blockchain

A private blockchain is a closed network where authorized participants are controlled by a single entity. It limits the individuals who can participate in the consensus of the blockchain network. There is a verification process for the new participants to authorize them for participation.

Private Key

A private key can be used to decrypt a message that is symmetrically encrypted using the corresponding public key. Private keys are kept secret from anyone that isn’t the owner. Once a private key is made public, it is useless as a point of authentication.

Private Key Infrastructure (PKI)

PKI or Private Key Infrastructure refers to a collection of rules and policies for managing identification through public-key encryption associated with a network.

Proof-of-Liquidity

Proof of Liquidity is a cryptographic assertion method by the third-party auditor for verifying that an actor holds a specific number of resources.

Proof-of-Stake

Proof-of-Stake (PoS) refers to a consensus mechanism that ensures that the ability to produce a block must be proportional to the amount of native cryptocurrency held by the actor.

Proof-of-Work

Proof-of-Work (PoW) refers to a consensus mechanism that encourages actors to solve computationally difficult problems for developing the ability to produce the next block in a blockchain.

Protocol

Protocol refers to a set of rules defined for the exchange and transmission of data. In blockchain, protocol refers to the rules that define how the actions should be performed across a network.

Public Blockchain

A public blockchain is a globally open network, such that, anyone can participate in the transactions, in the execution of consensus protocol, and in the maintenance of shared ledger.

Public Key

A specific type of cryptographic equation or collection of parameters corresponding to a related private key is known as a public key. A public key is helpful for decrypting a message encrypted symmetrically by leveraging the related private key.

Ring Signature

Ring signature is a private-key focused cryptographic signature with an option for decryption or verification through multiple valid keys.

Satoshi Nakamoto

It’s the name that was used by the assumed individual/ individuals who developed bitcoin. Nakamoto published the white paper in 2008, describing about the project. He also invented the first blockchain database.

Scalability

Scalability refers to the ability of a blockchain project to handle the network traffic, capacity of application, and future growth.

Serialization

Serialization is the process of converting a data structure into an encoding format that consists of the series/sequence of bytes.

Shard

A small portion of the entire network is known as Shard, whereas Sharding is the process of splitting the complete network into many small portions, shards. Each shard has an independent state i.e. unique smart contract and account balance.

Slashing Condition

A condition that results in the smashing of the validator’s deposit on the trigger.

Smart Contract

Smart contract in blockchain refers to the code that you can execute in the environment of a virtual machine.

Solidity

Solidity is a popular smart contract programming language specifically tailored for the Ethereum Virtual Machine.

Stablecoin

Stablecoin is a cryptocurrency that minimizes the volatility of the stablecoin price, with respect to an asset or assets. Stablecoin is measured with respect to a known amount of an asset, so it remains stable.

State Machine

State machine basically points out to a model of computation, and at any specific instance, a state machine could feature one out of a finite set of states.

 

Tangle

A consensus mechanism in which transactions must confirm the validity of at least two preceding transactions.

Testnet

A fork of a blockchain network that has relaxed access requirements in order to allow rapid development of applications without the overhead of the main network.

Testnet

An alternative to blockchain developer who tests the applications in a somewhat real (near-live) environment.

Token

A token is the digital representation of an asset built over an existing blockchain. They are designed for uniqueness, instant transferability, liquidity, digital scarcity, and security.

Tokenization

Tokenization is a process that allows the translation of business goods, strategies, or services into discrete units that are tradable and can be recorded on a blockchain.

Transaction Block

Transaction block refers to a collection of transactions on the blockchain that can be hashed and submitted to the blockchain.

Transaction Fee

The minimal fee imposed on certain transactions delivered through a blockchain network is known as the transaction fee.

Transaction Pool

Transaction pool is a pool or list of transactions, propagating through a common network, but haven’t added in a block.

Trustless

The quality of not requiring trust. In trustless systems, bad actors are unable to negatively impact the system without the coordination of the rest of the network. Trustless systems use verifiable information or actions to operate and validate the quality of other actors.

Turing-Complete

Turing completeness refers to the ability of a programming language to simulate a Turing Machine.

Turing-Machine

A machine that’s capable of performing any algorithm or task that can be accomplished by a computer.

Unspent Transaction Output

UTXOs enabled blockchains to have each transaction referencing the output of previous transactions and consuming all the tokens of the output. UTXO is important for reinforcing the immutability of the blockchain.

Validator

The validator in a blockchain ecosystem basically refers to a participant in Proof-of-Stake consensus. Validators have to submit security deposits for inclusion in the validator set.

Virtual Machine

Virtual Machine refers to an operating system that runs on another operating system. Virtual Machines are important for allocating the processing strength of large servers to simpler & smaller applications.

Vyper

Vyper is a programming language, that is used for building smart contracts.

Wallet

Wallet is a software, containing private keys, that interact with the PKI (Private Key Infrastructure).

Web Assembly (WASM)

Web Assembly WASM) is a binary instruction format that is generated for a virtual machine, created to be implemented by all web browsers. Web Assembly enables developers to add all the functionalities that can not be added by the JavaScript or HTML code.

White Label

White label in the world of blockchain refers to a white-label crypto exchange, which is basically a protocol that helps crypto software development companies in developing their custom exchange platforms.

Zero-Knowledge Proof

Zero-Knowledge Proof is a cryptographic mechanism meant for helping users in representing assertions where output value can be determined easily without any input information.