What are the related terms of cryptocurrency (virtual currency) mining?

1, Lightning Net Lightning Net is a decoupling technology, which uses the second layer to eliminate the transaction processing ability of Bitcoin.

Examples of terminology usage

Bitfinex, a cryptocurrency exchange, plans to implement Lightning Network (USDT) based on Tether.

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If the lightning network is introduced, it is possible to conduct transactions outside the crowded blockchain, thus speeding up the transaction and reducing the cost. If we can speed up the transaction and reduce the cost, we can make small payments, which is expected to create new products and services.

2. Nodes are computer devices participating in the blockchain network.

Examples of terminology usage

HTC, a leading manufacturer of electronic products in Taiwan Province Province, has released a smart phone that can be used as a bitcoin node.

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It includes not only personal computers, but also smart phones and other devices. Broadly speaking, in addition to blockchain and virtual currency, it is also used in other fields, meaning "equipment on the information network". There are several types of nodes on the blockchain, such as mining-based nodes and wallet-based nodes, which approve transactions. Blockchain can run safely because there is no central administrator on these nodes.

3.ASIC is an integrated circuit of high-performance mining equipment.

Examples of terminology usage

With regard to the future market share predicted by BitMEX Research, Bitcontinent and MicroBT are expected to occupy the main market, which indicates that ASIC equipment manufacturers are in an oligopoly position.

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Broadly speaking, it is a kind of electronic components, which refers to an integrated circuit used in a specific application. The abbreviation of "application specific integrated circuit". The equipment using ASIC has high processing speed and high specification, which is the mainstream of mining industry at present.

4. Difficulty is the "mining difficulty" caused by blocks during mining.

Examples of terminology usage

The next planned bitcoin difficulty adjustment is expected to be -2% to -3%.

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It is expressed as "excavation difficulty". For example, the design of Bitcoin is to generate a block within 10 minutes. If the formation rate of blockchain early valley becomes smaller due to intensified competition, adjust the difficulty to improve bitcoin. The higher the difficulty level, the lower the difficulty value.

5. Hash rate Hash rate refers to the mining speed of mining.

Examples of terminology usage

Even after the half-life, the market price of Bitcoin is still depressed, and the hash rate has been fluctuating due to the reduced competition for the survival of minors.

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Expressed as "mining speed". The unit is "hash/second". "s" means "seconds = seconds", which means "how many times can be calculated per second". As an index, it shows the processing capacity of mining equipment and the speed of implementing virtual currency.

6. Mine Pool The mine pool is an organized server, which was created to collect the hash value of each miner and cooperate in mining.

Examples of terminology usage

The rewards obtained by the virtual currency exchange currency security in the mine pool can be directly traded by currency security.

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In the mining business with critical scale, a mechanism for multiple miners to cooperate in mining. Reward according to the contribution of mining.

7. Half-life Half-life refers to the time when the mining reward (= new circulation) of virtual currency such as Bitcoin is reduced by half.

Examples of terminology usage

The cryptocurrency bitcoin (BTC) reached its third half-life in May 2020, which was 12, and the mining reward was reduced from 12.5 BTC to 6.25 BTC.

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Many virtual currencies have "issuance limits" to prevent inflation, and the newly issued circulation will be reduced by half every half-life. This is also a noteworthy event unique to virtual currency, because with the decrease of supply and the increase of price, the scarce value has increased significantly.