Bitcoin Terms – Short Guide, Part Three

Public Key

A publicly known alphanumeric string, which is hashed with another privately held string to sign a digital transaction. The public key is a Bitcoin address.

Reward

When a block is found, the discoverer is awarded by a number of bitcoins agreed upon by everyone in the network. In the present moment it is 25 bitcoins. The value will halve every 210000 blocks.

Satoshi

Smallest unit of Bitcoin currency (1/100000000 BTC or 0.00000001 BTC).

Satoshi Nakamoto

Anonymous creator ( or a group of creators ) of the Bitcoin cryptocurrency.

Signature

A cryptographic signature is a digital mechanism allowing proof of the ownership. A Bitcoin wallet and its private key(s) are linked mathematically.

Transaction

A specific part of data that is broadcast to the network and then collected into blocks.

Transaction Fee

Fees are processed and received by the Bitcoin miner. Transaction fees are voluntary but can help speed confirmation times.

BUY BITCOIN