Terminology
- Proof of Work (PoW) - a blockchain consensus that involves mining for a reward system and security.
- Proof of Stake (PoS) - a blockchain consensus that involves staking coins as a reward system and security
- Delegated Proof of Stake (DPoS) - a blockchain consensus that involves staking and delegation of rights to a designated number of nodes
- Egalitarian Proof of Work (EPoW) - a blockchain consensus that involves mining for an egalitarian reward system and security.
- Egalitarian Proof of Service (EPoSe) - a blockchain consensus with a combination of EPoW and Uptime Nodes for egalitarian reward system and security. Qwertycoin(QWC)'s original concept.
- Wallet - software that helps user to send/receive coins as well as keep transaction records + additional blockchain add-on features.
- Wallet Address - an address derived from public key. Users can use an wallet address to receive payments from others or send coins from exchanges.
- Public Key - a unique key used for generating a wallet address and transactions. A wallet address is derived from this key. Users can retrieve this information from wallet.
- Users can retrieve this information from wallet.
- Private Key - a unique key used in wallets. This key is unique per address and grants a full access to the respective wallet address.
- Keep it to yourself only and do not post or share it anyone.
- Users can retrieve this information from wallet.
- Users can import this key in wallet to get a full access including viewing and spending.
- View Key - a unique key used to view the details including transactions of a wallet address. It can be shared, but do not recommend it.
- Users can retrieve this information from wallet.
- Users can import this information in wallet to view details of its transactions and wallet address.
- Spend Key - It is a synonym of private key.
- Keep it to yourself only and do not post or share it anyone.
- Mnemonic Seed - a sequence of words derived from a private key.
- Keep it to yourself only and do not post or share it anyone.
- Churning - making a transaction from and to the same wallet address.
- Full-Node Wallet - a type of wallet that runs a node and a wallet within the same software; this type of wallet stores entire blockchain data with a wallet file and its transactions in local device. It does not require a remote connection to a public or private node since it uses its own node. Pros:
- This is the most secure type of wallet.
- Initial blockchain synchronization can take sometime since users can make transactions after block synchronization is finished. A snapshot of blockchain is available for download if users want to shorten this downtime.
- Node service fee is waived.
Cons:- Users sacrifice time for block synchronization and a lot of disk space is required for storing entire blockchain. This wallet is not recommended for non-daily users.
- This type of wallet is not practical for mobile and web platforms.
- Slow internet speed or outdated computers can be problems.
- A proper backup of private and/or mneumonic seeds is required for gaining a full access to a wallet address.
- SPV(Simplified Payment Verification) Wallet - a type of wallet that runs without a node; a remote connection to a public or private node is required to send/receive and record transactions. Only a wallet file and its transaction records are stored in local device.Pros:
- This wallet provide good security measure.
- No need for blockchain synchronization. Once connection to a remote node is established, users can send/receive payments.
- Can also be developed as mobile and web platforms.
- Even slow internet speed or outdated computers can work with this wallet.
Cons:- Node service fee has to be paid.
- A proper backup of private and/or mneumonic seeds is required for gaining a full access to a wallet address.
- API Endpoint Wallet - a type of wallet that runs without a node; only keys are stored in the local device and delegates all other works to the wallet service provider.Pros:
- No need for blockchain synchronization. Once connection to a remote node is established, users can send/receive payments.
- Can also be developed as mobile and web platforms.
Cons:- This wallet provide the least security measure.
- Wallet loading time takes forever. This is intrinsic to its structure.
- Node service fee has to be paid.
- Slow internet speed or insufficient server performance can be a problem.
- Clearing browser cache will erase locally stored keys. A proper backup of private and/or mneumonic seeds is required for gaining a full access to a wallet address.
- Offline Wallet - a type of wallet that runs without a node; only wallet address, key and/or mneumonic seeds information are provided.Pros:
- Some considers this the most secure wallet.
Cons:- The wallet address can be used for receiving funds. To make a transaction, the wallet file must be imported through a wallet before use.
- Snapshot - a blockchain file for download to speed up block synchronization process.
- Node - a software that verifies/holds transactions from wallet and stores block information. It is also called as a daemon.
- Checkpoint - irreversible point of blockchain
- Node Fee - amount of payment paid to node's registered wallet address when using remote node connection to make transactions from wallet
- Uptime - a measure of time that a node has been providing service above minimum performance level to blockchain. Used for selecting
- Memory Pool - a memory space used to temporarily store transactions until they are included in blocks.
- Mining - a process of finding a complex problem by using computer resources including CPU, GPU, FGPA or ASIC.
- Miner - a person or a a device that participates in mining activities.
- Mining Software - software used for solving problems proposed by blockchain with PoW consensus.
- CPU - an abbreviation of Core or Central Processing Unit of a computer (Intel or AMD processors)
- GPU - an abbreviation of Graphics Processing Unit of a computer (Nvidia or AMD)
- FPGA - an abbreviation of field-programmable gate array; an integrated circuit designed to be configured by a customer or a designer after manufacturing
- ASIC - an abbreviation of application-specific integrated circuit; an integrated circuit chip customized for a particular use, rather than intended for general-purpose use
Last modified 3yr ago