This information was provided by the exchange platform Bitvavo.
How deep does your crypto knowledge go? There’s never been such a good time to brush up on your bitcoin terminology. As markets continue to hold fast amidst the coronavirus crisis, crypto is quickly proving that it’s here to stay. So in your stay at home downtime, you may want to take a minute to refresh or learn some important terminology.
Mining pools and forks are important working parts of how a system functions. The greater the compute ring power of anyone network- the faster transactions can be verified and logged. Forks help create necessary change in an existing protocol, allowing it to adapt to the current needs, or change completely into an entirely new token.
A bearish market can sometimes be seen following the halving that occurs roughly every four years. This is sometimes because miners must increase their computing power to solve ever more complex problems, yet expect fewer coins as a reward. However, bearish markets are often a good time to buy into bitcoin markets as a drop in price creates a financially viable window for crypto owners that aren’t fortunate enough to be considered whales.
Faucets are an incredible way to get bitcoin without having to buy or mine it. Because the network is decentralized, there are few rules or restrictions on how faucets can offer incentives to their clients. However, just make sure to only engage with reliable sources when it comes to the distribution of bitcoin incentives.