Glossary

As an American in 1918 on a beach in Normandy (a beach in Normandy, one dream, but gets off ...), you land in the world of "crypto" and you do not understand, this is normal ..

Here are the essentials. If a term is lacking is not listed you, if a spelling pique your eye, please to tell usYou will be immediately considered.

  • Cryptos

Cryptos (Cryptocurrencies individually called Coins) are virtual currencies. This means that physically you have nothing. They are piles of codes and guidelines compiled in Blockchain. Basically, no big difference with your bank accounts, where they are just numbers in a file. Do not think that banks have so much money that they are supposed to have ...

The Cryptos are created in limited quantities, are handled only by owners who can for the majority remain anonymous. It goes without saying that this is what is their success because many use them for their "obscure" purchases and making transactions "under the radar", etc etc ...

We willo not discuss it here, but the main thing is that potentially, say goodbye to banks and hello to decentralization.

  • Blockchain

The Blockchain is just one huge line of code in which transactions + sender/receiver addresses are forged forever. Very very difficult to falsify anything (we're early 2018...), or reverse/cancel a payment. Once you send a transaction in the Blockchain (Broadcast), this is final. If you messed with the address, the money is lost. Reverse side, that's really very secure, although more than a credit card, a wire transfer or a check (but who still use checks, seriously...)

  • Bitcoins

The best known Cryptos again and again controversial. Bitcoin is not the fastest, most anonymous, or the cheapest, but it is potentially the Zero Point of other Cryptos.

  • Wallet

Equivalent word for "portfolio". It is somewhat the equivalent of a bank account mixed with a portfolio. A complicated address is assigned to you, that you will store and manage yourself. There are several types of Wallets: the Soft Wallet are software that you install on your devices, Hard Wallets are independent devices like USB keys, and finally Cloud Wallets that are hosted by remote sites. Each has its advantages/disadvantages.

  • ICO

English Abbreviation for Initial corner Offering, which means New Cryptocurrency Launch Offer. People have an idea of creating a new Crypto, or simply an innovative project, but unfortunately don't have neither means, nor of course, financing. So they appeal to us to raise funds. You send them the money (often in Cryptos), in return you are assigned "Tokens". These "Tokens" are provisional Coins, that, if the project results, will be transformed into official Coins of the project. There are very interesting, both on the innovative and financial plans, but don't risk too much there because there is really no control. And in the low probability where it is honest, where stakeholders are strong, there is still to carry out the project, which often will take 2 years. In the current period, 2 years is a huge delay.

  • Miner

Computer, or more often, a lot of computers, which is used to send/check/validate transactions on the Blockchain. When really many computers are combined under the same building, we talk about "Mining Rig" (farm of mining). In each transaction properly validated by a computer, thisone gets paid by a fraction of this transaction (a Block Reward ). Often located in cold countries where electricity is cheap, these farms consume a lot of energy, which began to raise concerns.

It seems that the future of Mining must also go through the solar or Aeolian like everything that consumes energy, but it will be the subject of another article ... It is just time to realize it.

  • Cloud Mining

Interesting variant of mining, where this time, you can rent or buy computers in a mining farm. With rates of purchase cheaper than if you bought computers as an individual, and installations in cold countries, their operating costs are low. Computers will mine for you, as if you had them at home, and you'll be paid, after of course, a reasonable commission deducted. But without the worries, the noise, the heat generated by these machines. ATTENTION, there are a lot of scams, be careful.

  • ःasrte

This term expresses the rate at which the calculations (Hashes) are performed in one second (Rate) by a computer. It's a bit average speed of production, the equivalent of the maximum cruise speed of a vehicle, the maximum number of calculations performed by a MensaOr the maximum number of silly things that your mother can come out ... Km / h cm / year € / year, here we speak of M / s or Hashes per second. by currency, these are Hashes, Sol, the MegaHashes ... In short it is the number of operations per second, whose name changes depending on the Crypto.

  • Pool

Pools are networks where minors gather to capture more transaction while miner out of a pool requires a lot of computing power to be considered in the blockchain.

  • POS/POW

Proof Of Stack / Proof Of Work. These are the protocols used to validate the transactions of the Blockchain. It seems that POS is the future, as more secure and requires less energy. For miners worried about the change in Ethereum, Casper (the project name to replace POW by POS) is likely to occur in 2018, but this should not change much Rewards .

  • FIAT

Terms that defined the currencies as we sold us. The euro, the Franc, the Peseta, the Écu... History: originally, everything trqded for gold, food, etc. People with too much gold to store at home would store it from Kings/emperors/moneylenders, then were going to "cash it" according to their needs. Came a moment where the gold values in deposit could no more be divided, and the guardins collapsing under withdrawal applications, these nerds decided to issue vouchers of the desired value. Since there were born FIAT currencies.

Then one day, there was circulating more value in vouchers than what was on deposit: creation of the banks.