Get ideas about some basic bitcoin terms


Though bitcoin is the most popular topic of today’s economic discussion, it is considered to be a new subject as it has been introduced to the world in just 13 years. Not only is it new as per its age, but it has brought us so many new technologies and features. With it, we get to know some new terms or words. Some of them might be common but have a significant meaning in the context of bitcoin. The terminologies thus are overall new to the people and need some descriptive discussion to be understood.

  1. Blockchain:The term Blockchain typically means blocks that are connected with a chain. In the bitcoin network, the data are stored in blocks that are interconnected. So, the network and the technology are called Blockchain technology.
  1. P2P:It is the full form of peer-to-peer which means end-to-end. Bitcoin transactions happen from one person to another person directly without any thirdparty in between them. These types of direct transactions are called peer-to-peer transactions.
  1. Cryptocurrency:This type of money doesn’t have any physical appearance but runs through digital platforms. These run on a decentralized platform, ensuring transactions in a free network. 
  1. Satoshi Nakamoto:This is a most used name, but no one has a clear idea about it. The name could be of a person or a group of people. 
  1. Encryption:The word encryption in bitcoin is used mostly after the word cryptographic. Cryptographic encryption is a technology that can convert information into a secret language. By this, the true meaning of the information remains the same, but the scammers can’t read it easily,which increases bitcoin’s safety.
  1. Decentralization:This is an interesting term, and the term helps bitcoin a lot to be famous. Decentralization is used when a network doesn’t have any central control. Transactions don’t go through any central point, but they are direct to every user. 
  1. Open-sourced:Bitcoin network that is decentralized is open to all. That is why it is called an open-sourced network and is very convenient too because users can have total control of their bitcoin holdings and the transactions.
  1. Mining:Mining is generally used as land mining to bring new commodities like gold from the earth. Here the same term is used for pretty much the same purpose to create new bitcoins. Instead of mining land, here, the process is a computational process where you have to solve complex mathematical hash puzzles to bring new bitcoins into circulation.
  1. Miner:Just like the miners in land mining, here miners are referred to as the people who mine bitcoin by the bitcoin mining process.
  1. Bitcoin wallet:Bitcoin wallets are the storage spaces where the access tools of bitcoin holdings are kept. They have created a secure place for the bitcoin private key and the public key that are the only access to the bitcoin that you hold in the bitcoin network.
  1. Private key:It is a key you get when you register with a crypto trading exchange and open a trading account. This key is the only access to the bitcoin that you hold in the network. You need that key when you are going to send bitcoin to someone.
  1. Public key:Public key is another key that you get from the bitcoin trading exchange. This is like an account address. When you are about to receive some bitcoin from another person, he or she needs your private key to send the coins to you.
  1. Volatility:Volatility is the most used word by people, especially those who are concerned about bitcoin investment. The word fundamentally means unexpected fluctuation. Here in the case of bitcoin, the bitcoin price fluctuated so rapidly that the asset is called the most volatile asset among the investment assets.

Wrapping it up !!!

Bitcoin is a huge topic, and so it has a lot more numbers of terms that are too frequently used. The crypto stalwarts can now register and start trading on are other cryptoexchanges that let you join the platform easily and let you trade easily in a secure and safe ecosystem