Blockchain
A blockchain is a digital ledger containing all transactions ever made in a specific crypto. These transactions are composed of ‘blocks’. When a block’s capacity is reached, a new block is created, and so on. Some blockchains are designed to have limited blocks, whereas others have an infinite market cap.
Because a blockchain, such as Bitcoin, is completely public, everyone can see every transaction. However, as Bitcoin becomes more popular, it will become easier to link a transaction to a specific person, particularly when it comes to centralized trading platforms that implement KYC measures.
However, a blockchain like Monero is completely private. A transaction cannot be linked to any address. This is one of its key features, and it attracts users who want to conduct completely anonymous transactions.
There is no centralized location where the ledger is stored on a blockchain. Rather, it is replicated on numerous computers and servers around the world. As a result, it is considered decentralized.
KYC
KYC is an acronym for Know Your Customer. If you take a more mainstream approach to purchasing cryptocurrency, it will almost certainly come up. KYC is required as part of the onboarding process for major platforms such as eToro and Coinbase. KYC stands for ‘knowing your customer’. To prevent money laundering and the funnelling of funds to terrorist organisations, regulators require identity background checks for new banking clients. Because cryptocurrency financial regulation is here to stay, expect to see that acronym more and more as governments scramble to link blockchain transactions to specific citizens.
Mining
Mining is the process of verifying new transactions on a blockchain. When someone donates computer power to a miner in order for that miner to complete an encryption challenge, the donor is rewarded with crypto.
NFT
Non-fungible tokens enable smart contract-based virtual transactions between collectibles such as art, music, and trading cards.
Private Key
This is the crucial string of numbers and letters that you should not reveal to anyone. If someone gains access to your private key, you could lose all of your funds in a matter of seconds. This key is required to validate transactions when selling or withdrawing your cryptocurrency.
Proof of Work
Proof of Work is an older method of compensating miners for their efforts. Miners must demonstrate their effort by tying a variable to the process of hashing a transaction. A hashed block validates work and rewards the miner. This process consumes a lot of energy.
Proof of Stake
Proof of Stake enables a person to validate or mine crypto based on the number of coins owned. The idea behind this model is that if a miner has a stake in the game, they will be less likely to attack it.
Public Key
A public key is a string of characters that is used to buy cryptocurrency. If a content creator, for example, wants to be paid in crypto rather than fiat, they can list their public key. Fans can easily send cryptocurrency using the public key of the content creator.
Box Digger
“Ser, give box please!“
Individuals or groups of individuals who are highly attracted to boxes they’re constantly dreaming and imagining; sometimes, they even dress like a box. The natural habitat of those individuals is on Binance Live, especially on EarlyMinter’s channel. Those who are faithful supporters sometimes get to read an article or two and for that, they are rewarded! Here’s a snack: WZGJ7K2G
Tokenomics
The economic model associated with a cryptocurrency token is known as tokenomics. It is commonly used to describe the interaction between the token’s supply and demand, as well as how the token can be used to incentivize specific behavior.
