Bitcoin Terminology (A to Z): All Bitcoin Terms and Glossary

Find all the terms and glossary in this Bitcoin tutorial, along with their meanings:

• Bit

A smaller unit used to define the Bitcoin value. 

• Bitcoin

Protocol of the first blockchain-based digital currency.

• Blockchain

The globally distributed ledger accounting for ownership of every digital coin that users have. 

• Mining

The act of processing the Bitcoin transaction as well as adding new blocks to the blockchain.

• Wallet

A software tool used to send and receive transactions.

• Block Reward

New coins are received by nodes for the successful mining of a block. 

• Node

Computer enforcing the rules of protocol and can contribute blocks and share data on blockchain networks.

• Block Size Cap

The highest number of transactions that can fit in one block

• Digital Currency

Digitized money is used for making or receiving payments on the blockchain.

• Digital Currency Exchange

A marketplace to buy or sell digital currencies or assets. 

• Enterprise Blockchain

Also known as a private blockchain, this network utilizes blockchain technology but the distribution of coins occurs in the way an entity wants. 

• Fork

Split in the blockchain caused by the nodes that disagree on the rules of a blockchain. 

• Hash Rate

Amount of computing power used by miners blockchain validation.

• Miner

Person, company, or a group processing the transactions and building blocks.

• Network Confirmation

Verification is needed before a transaction is considered finalized which is done after the network agrees on settlement of the respective block.

• Private Key

Cryptographically generated series of numbers and letters allowing the creation of wallet addresses and broadcasting transactions.

• Public Key

Cryptographically generated series of numbers and letters allowing the users to receive transactions.

• Protocol

Rules of the network that cannot be changed.

• Satoshi Nakamoto

A pseudonym used for Bitcoin’s inventor.

• Smart Contract

A program that executes transactions on the basis of the “if-this-then-that” rule.

• Ticker Symbol

A symbol that signifies each digital currency. 

• Token

A digital currency type that resides on blockchain and represents assets or utility but does not have its own unique blockchain.