Key Bitcoin Concepts in Simple Words

  • Cryptocurrency: A type of digital or virtual money that uses cryptography for security, making it difficult to counterfeit.
  • Blockchain: A digital ledger that records all Bitcoin transactions, like a global spreadsheet that everyone can see but no one can tamper with.
  • Wallet: A digital pouch that safely stores your Bitcoin, similar to a virtual bank account.
  • Public and Private Keys: A pair of digital keys where the public key is your Bitcoin address (like an email address) and the private key is your secret password to access and send your Bitcoins.
  • Decentralization: The principle of distributing control across the entire network rather than relying on a central authority, like having a group decision instead of one boss calling the shots.
  • Mining: The process of using computer power to solve complex puzzles, securing the network and creating new Bitcoins as a reward.
  • Satoshi: The smallest unit of Bitcoin, named after its mysterious creator, worth one hundred millionth of a Bitcoin. 
  • BTC: BTC is the abbreviation for Bitcoin typically used when referring to the currency unit in transactions, price listings, and financial discussions.

(This message is quoted from Internet information and is not the opinion of this website.)

中文版:比特币关键概念简述