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CRYPTO CURRENCY DICTIONARY

TERMS COMMONLY USED IN THE WORLD OF BLOCKCHAIN AND CRYPTOCURRENCY

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

Soft Fork

A soft fork is a protocol upgrade to a blockchain that permits non-updated nodes to continue operating on the network. These backward-compatible updates maintain communication between non-updated and updated nodes. The blockchain will not divide as long as the majority of nodes update to the new protocol. If a non-updated node tries to perform actions that is no longer applicable under the revised protocol, updated nodes will refuse the action. This rejection procedure makes non-updated nodes less efficient than updated ones, hence boosting the adoption of the new fork.

Other Important Terms

Web 2.0

Web 2.0 is the current version of the internet, which contains more user-generated content and end-user usability than its previous form, Web 1.0. Web 2.0 refers to the twenty-first-century Internet applications that have changed the digital era.

XCAD

XCAD Network is a worldwide network that uses the power and value of Content Creator audiences through  Creator tokenization, allowing viewers to receive incentives and regulate Creator decisions using a YouTube plugin.

Dusting attack

An attacker uses a dusting attack to send small amounts of currency, known as "dust," to a significant number of crypto wallets. Attackers trace and analyze transaction data to determine individuals hidden behind wallet addresses. Some blockchains, such as Bitcoin, are pseudonymous, which means that once a user's identity is connected to a pseudonym, every blockchain activity conducted under that pseudonym may be traced back to them. A fraudster would frequently exploit the exposed transaction information in a malicious dusting attack to target an individual or organization via phishing, extortion, or intimidation. Government officials may also launch dusting operations to trace down questionable transactions from criminal organizations. Dust assaults can also be used by analytics and advertising firms. Following a dusting attack, hacked user information is exposed on the specific blockchain’s public ledger, and anyone can view it. 

Arbitrage

Arbitrage trading is the legal act of benefitting from differences in asset purchase and sell prices. Traders generally take advantage of market disparities by purchasing an asset on one exchange and selling it on another. Exchanges price assets in various ways and may have differing liquidity levels. This variation produces market inefficiencies, and the same currencies become accessible at various prices, allowing for arbitrage trading. In the crypto world, there are numerous sorts of arbitrage. These include buying and selling assets on multiple exchanges at the same time, employing cryptocurrency pairings for triangle arbitrage, and using decentralized exchanges.

Bitcoin Halving

Bitcoin halving is the halving of miner payouts on the Bitcoin network on a regular basis. Nodes are responsible for storing data and fulfilling the difficult computational demands required by the Proof of Work consensus mechanism on the Bitcoin network. There are only twenty-one million bitcoins that can be mined (approximately two million remain unmined). To curb inflation, the amount of Bitcoin given to miners is half every time around 200,000 more coins are created. Bitcoin halving occurrences are associated with considerable price volatility, with the price frequently remaining higher than it was. This price increase encourages miners to keep serving the network while earning fewer Bitcoins.

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