Bitcoin Glossary

The world's first decentralized digital currency, created by Satoshi Nakamoto in 2009. Bitcoin operates on a peer-to-peer network without central authority.

A distributed ledger technology that maintains a continuously growing list of records (blocks) linked and secured using cryptography.

The smallest unit of Bitcoin, equal to 0.00000001 BTC. Named after Bitcoin's creator, Satoshi Nakamoto.

The process of validating Bitcoin transactions and adding them to the blockchain in exchange for Bitcoin rewards.

A digital tool that stores private keys and allows users to send, receive, and manage their Bitcoin.

A secret cryptographic key that proves ownership of Bitcoin and allows spending from a specific address.

A cryptographic key derived from a private key that can be shared publicly to receive Bitcoin.

The total computational power used to mine and process transactions on the Bitcoin network.

A strategy of holding Bitcoin for the long term regardless of price fluctuations. Originally a typo of 'hold'.

An event that occurs approximately every four years where the Bitcoin mining reward is cut in half.

A computer that participates in the Bitcoin network by maintaining a copy of the blockchain.

Storing Bitcoin private keys offline, typically on hardware wallets or paper wallets for enhanced security.

A Bitcoin wallet connected to the internet, offering convenience but potentially less security than cold storage.

A list of 12-24 words that can be used to recover a Bitcoin wallet and all associated private keys.

A second-layer payment protocol that enables fast, low-cost Bitcoin transactions.

The consensus mechanism used by Bitcoin where miners compete to solve cryptographic puzzles.

The total value of all Bitcoin in circulation, calculated by multiplying the current price by the total supply.

The degree of price fluctuation in Bitcoin over a specific period of time.

Fear of Missing Out - the anxiety that an exciting opportunity may be missed, often leading to impulsive buying.

Fear, Uncertainty, and Doubt - negative information spread to create fear and uncertainty about Bitcoin.

Dollar-Cost Averaging - an investment strategy of buying fixed amounts of Bitcoin at regular intervals.

Multi-signature - a security feature requiring multiple signatures to authorize a Bitcoin transaction.

A Bitcoin upgrade that improves privacy, efficiency, and smart contract capabilities.

The pool of unconfirmed Bitcoin transactions waiting to be included in the next block.