Cryptocurrency Dictionary Part 3
Choyna is a misspelling, an imitation of Donald Trump saying “China”. Many people in China have invested in bitcoin and other cryptocurrencies making them very influential on the market.
A cipher is a group of steps that will make the data not readable so it can remain secret and get used again. Ciphers, including those used in cryptocurrencies, also use a secret password which consists of letters and numbers that could be used to unlock the cipher.
Ciphertext is text made unreadable so the information it contains may remain secret.
Circulating Supply is the number of coins at hand in the market right now. Coins that are locked, reserved or not able to be sold and traded not included in the circulating supply.
A code is a method of making data unreadable so it can be kept secret and can be used to make it readable again. By replacing the meaning of the data with something meaningless, the message becomes unreadable. Codes use a secret key made up of letters and numbers that must be used to unlock the code.
A coin is a unit of digital or virtual value. In the cryptocurrency, they are built using the bitcoin technology and have no other value, unlike tokens, which have the potential of software made with them.
Coinbase is a cryptocurrency exchange that allows people to trade regular currency for bitcoin, litecoin, ethereum. It also has software that lets businesses accept cryptocurrencies as payment.
Cold storage is a type of digital data storage that takes longer to access and quite often is not connected to the Internet — also known as a “cold wallet”.
It does not need a connection to any computer, network, or the Internet to work. Cold storage is known for having longer access times as an advantage. Longer access times means greater administration and security.
The most used techniques to set up cold storage are:
• Obtaining and using a secure USB known as a “hardware wallet”.
• Storing the access codes on a paper known as a “paper wallet”.
• Putting the data in an unplugged computer.
Confirmation is a type of proof that a transaction was recorded and verified on the blockchain. The higher the number of confirmations, the more trusted that operation is.
A blockchain is similar to a digital book that can record anything. A page in that book is commonly known as a block. It is kept by a network of computers who must all coincide on the info.
The first confirmation is when a block records your info. Every block recorded is counted as a valid confirmation.
Anyone who wants to manipulate the blockchain system would need to have more than half of the computing power of the complete network to be able to make changes. For example: in a big blockchain like bitcoin, that’s too expensive and difficult.
After sending data, you have to wait for one of the computers keeping the maintenance of the network to record and check your data into a block.