This blogpost will look at some of the terminology that we need to know as we embark on dealing with crypto-currency. These terminologies are important before one tries to acquire coins. Failure to get the basics may lead to loss of funds.
CRYPTO-CURRENCY
Digital money which is not controlled by any government or bank.
WALLET
A crypto-currency wallet is a secure digital wallet used to store, send and receive digital currency.
BLOCK CHAIN
A block chain is a public ledger for all crypto-currency transactions. It is comprised of "blocks" and is constantly growing as new records, datum, or block is added onto the chain for everyone to see. It is essentially a public database that everyone can access and read, but the data can only be updated by the data owners.
BLOCK
Blocks are essentially pages in a ledger or record keeping book. Blocks are the files where unalterable data related to the network is permanently stored.
MINING
Mining is the term used for discovering and solving blocks along the block chain.
PRIVATE/PUBLIC KEY
In cryptography, a public key is a cryptographic key that can be used by any party to encrypt a message. Another party can then receive the message and using a key that is only known to that individual or group, decode the message.
FIAT
Government issued currency such as Zambian Kwacha
EXCHANGE
Platforms, usually websites, where you can buy and sell crypto-currencies.
ALTCOIN
Generally any crypto-currency other than Bitcoin or Ethereum
ICO (Initial Coin Offer)
This is used by startups when they issue their own token in exchange for an existing coin.
ARBITRAGE
Taking advantage of the difference in price of the same currency on two different sites.
MARKET CAP
The total value held in crypto-currency. It is calculated by multiplying the total supply of coins by the current price of an individual unit.
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That is all for now. More terms will be added to the Glossary over time so be sure to check often for new ones.
Love, Peace and Harmony.
CRYPTO-CURRENCY
Digital money which is not controlled by any government or bank.
WALLET
A crypto-currency wallet is a secure digital wallet used to store, send and receive digital currency.
BLOCK CHAIN
A block chain is a public ledger for all crypto-currency transactions. It is comprised of "blocks" and is constantly growing as new records, datum, or block is added onto the chain for everyone to see. It is essentially a public database that everyone can access and read, but the data can only be updated by the data owners.
BLOCK
Blocks are essentially pages in a ledger or record keeping book. Blocks are the files where unalterable data related to the network is permanently stored.
MINING
Mining is the term used for discovering and solving blocks along the block chain.
PRIVATE/PUBLIC KEY
In cryptography, a public key is a cryptographic key that can be used by any party to encrypt a message. Another party can then receive the message and using a key that is only known to that individual or group, decode the message.
FIAT
Government issued currency such as Zambian Kwacha
EXCHANGE
Platforms, usually websites, where you can buy and sell crypto-currencies.
ALTCOIN
Generally any crypto-currency other than Bitcoin or Ethereum
ICO (Initial Coin Offer)
This is used by startups when they issue their own token in exchange for an existing coin.
ARBITRAGE
Taking advantage of the difference in price of the same currency on two different sites.
MARKET CAP
The total value held in crypto-currency. It is calculated by multiplying the total supply of coins by the current price of an individual unit.
* * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * *
That is all for now. More terms will be added to the Glossary over time so be sure to check often for new ones.
Love, Peace and Harmony.
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