Halving: Defined in CryptoCurrency

Halving: Defined in CryptoCurrency

 

Halving comes from an Old English word meaning “half”. In cryptocurrencies, mining is a computer process of recording and verifying information on the digital record known as the blockchain. 

In bitcoin and other currencies, mining also requires computers compete with each other to solve a complicated math problem. 

Once solved, a new block is discovered that can be added to the chain of blocks and a reward of brand new bitcoin is given to the computer that solved the math problem first. Halving is the reduction of the bitcoin mining reward issued by half.

Hard Cap: Defined in CryptoCurrency

Hard Cap: Defined in CryptoCurrency

 

Hard cap is defined as the maximum amount of money a cryptocurrency can receive from investors in its Initial Coin Offering (ICO). 

An ICO is the limited-time process by which new cryptocurrencies make their coins publicly known and begin selling them directly to people. 

 People invest their money in these coins in the hopes that they will later be worth many times more that what was paid. A hard cap is the major financial goal and is always larger than the small cap.

Hard Fork: Defined in CryptoCurrency

Hard Fork: Defined in CryptoCurrency

Hard fork is defined as a decision to make a permanent change to the technology used by a cryptocurrency. 

This change makes all new recordings (blocks) very different from the original blocks. 

They are changed so much that new blocks are seen as invalid to anyone who didn’t upgrade their technology. Which means, any computer that is not updated with the new technology, will find these new blocks appear invalid.

This process can cause a lot of trouble which is why, for a hard fork to go smoothly, it is important everyone agrees to the change. Any new fork in the blockchain can fail and if it does, all users will return to the original recording.

Hardware Wallet: Defined in CryptoCurrency

Hardware Wallet: Defined in CryptoCurrency

A hardware wallet is a specially designed device to lock away access to your cryptocurrency. 

The device is extra secure because it is disconnected from the Internet and other computers and is virtually virus-proof. 

A cryptocurency wallet is software that interacts with the network of recordings (blockchain) and lets users receive, store, and send their digital money.

Hash Function: Defined in CryptoCurrency

Hash Function: Defined in CryptoCurrency

A hash function is defined as a computer program that takes information and turns it into letters and numbers of a certain length.

For example, “I like bitcoin” can be hashed and will equal: ad3e58f21b94f32dcadca6b71df4c31a18179f38011551a17a80d0ff065d22c5

 

If I were to capitalize the “b” in bitcoin, so it says, “I like Bitcoin” the hash will be completely different: d988ca30eaa88c0410ad6e48a5297c0d505dcee572f9884f1a6fa2cbc8dedc86

Hashing is used to make storing and finding information quicker because hashes are usually shorter and easier to find. Hashes also make information unreadable and so the original data becomes a secret.

Hash Rate: Defined in CryptoCurrency

Hash Rate: Defined in CryptoCurrency

Hash rate is defined as the speed that a computer can take any set of information and turn it into letters and numbers of a certain length. Hash rate is also the combined hash speed of every computer in the network. Hash rate is calculated at hashes per second (h/s).

Hash rate is important for computers that mine. Mining is the process of recording and verifying information on the digital record known as the blockchain. The blockchain is made up of a sequence of single recordings known as a block.

To keep the blockchain network running smoothly, only one block can be created at a time. To control when blocks are created, users are required to make their computers solve a math problem involving hashing. The first computer to solve this problem can create a new block and record information on the blockchain.

Miners often purchase very expensive specially designed computers that have higher hash rates to increase their chances of solving the math problem first. These mining computers use tons of electricity to power their computers. This expensive process earns miners a reward in brand crypto plus fees paid by each user for their transactions.

Similar to memory size, hash rate is counted like this:

• 1 kilo hash per second is one thousand (1,000) hashes per second
• 1 mega hash per second is one million (1,000,000) hashes per second.
• 1 giga hash per second is one billion (1,000,000,000) hashes per second.
• 1 tera hash per second is one trillion (1,000,000,000,000) hashes per second.
• 1 peta hash per second is one quadrillion (1,000,000,000,000,000) hashes per second.
• 1 exa hash per second is one quintillion (1,000,000,000,000,000,000) hashes per second.

Hidden Cap: Defined in CryptoCurrency

Hidden Cap: Defined in CryptoCurrency

 

Hidden cap is an unknown limit to the amount of money a cryptocurrency can receive from investors in its Initial Coin Offering (ICO). 

An ICO is the limited-time process by which new cryptocurrencies make their coins publicly known and begin selling them directly to people. People invest their money in these coins in the hopes that they will later be worth many times more that what was paid. 

The circumstances and limits of a hidden cap are created and known only by the development team. 

The purpose of a hidden cap is to allow smaller investors a chance to put their money into a new cryptocurrency by discouraging very wealthy investors from putting in large amounts of money. 

Because large investors want to know the total supply of an asset before investing, a hidden cap prevents this awareness and can limit how much they are willing to spend.