Topic: Bitcoin terminologies and their challenges for newbies. - page 2. (Read 375 times)

Thanks for your understanding, the journey to mastering bitcoin terminologies and techniques is not easy. If not for the fact that I've made up my mind and determined that I will do bitcoin business, I would have given up. I've come to understand that bitcoin discussions and trading requires a high level of intelligence, and new persons must study very well about it if they plans to succeed in it. Every encouragement and criticism makes me stronger and more determined to master bitcoin better.

OP i never undermined your efforts to making a good contribution to the forum but i don't think these words are considered enough terminologies newbie aren't familiar with already, when you're talking about terminologies, i expects words not common that newbies aren't familiar with them like:

Markle Tree
Cypherpunk
Mempool
Soft fork
Reorganization
BIPs
Halving
Malicious scam
Physhing attack
Censorship
Layer 2 protocols
Off-chain transaction

These and many other grammatical terminologies i expect to see you talk more about unlike the words we are so used to and are common, but just as I've said, you can always put in more effort the next time in bringing fresh ideas that could be more impactful in the areas of bitcoin learning and informations.

Even though you need to learn more about Bitcoin knowledge, I quite appreciate it because it's always interesting to see new people learning about Bitcoin and trying to discuss it with people on forums to increase their understanding. And moreover, you can position yourself as someone who wants to learn, and that's very good about you. Hopefully your Bitcoin journey will be good and I hope that you can get profit as soon as possible.

When starting to invest or trade in the crypto market, especially bitcoin. Understanding these terms is indeed very important, especially if you have entered and joined this BTT forum. If you don't understand these terms, you will definitely feel confused when one of the forum members writes these terms in a thread or in a post. So I think these terms will indeed be very useful when participating in discussions on this forum and will certainly make it easier when trading on bitcoins. But if in my view, if you trade or invest in bitcoin, if you outline it, it's actually about buying at low prices and selling at high prices. Staying up to date with market trends, volatility, and sentimental or fundamental analysis is also necessary in trading on bitcoins.
This is the main point in trading or investing in bitcoin.
But having more knowledge about bitcoin would be very good. So continuing to learn about bitcoin and all its systems is very good and will be very useful for your bitcoin trading.

That's a bit harsh, coming from you to someone who should be getting more encouragement from a more experienced member like you. We should show these new users kindness and direction especially when they're showing signs and efforts they're making to increase their crypto knowledge. For me, your comment there didn't sound supportive. Again, you may have mastered how to search stuff here but OP is just a noob who may not even know there's a search engine here. It took me over two years being here before I realized I could search stuff on this forum. Please, let's find a way of encouraging these new ones who are showing genuine interest to learn.

A signature is proof of ownership of a private key, but the purpose of a digital signature really depends on the context, much like the hand-written signature on a contract or on a letter. For example, the purpose of me signing a message saying "I own the account odolvlobo" with the private key of a previously posted address would be to prove that I own the account, and not that I own the private key.

A private key in Bitcoin is a 256-bit number. It allows you to send bitcoins at the address associated with it. It can be encoded in the WIF format as a set of letters and numbers, but that is not what it is as that is just one way to write it.

A seed phrase (also called a recovery phrase) is not a password. It is the value used to generate all of the addresses and private keys used by a wallet. It should be kept secret like a private key, but it is not "like a private key" because it is not used like a private key.

When someone writes "wallet address", it make me wonder. Perhaps they mean an address in a wallet, but is there such thing as a non-wallet address? A wallet is not an address nor does it have an address. A wallet contains addresses (and their private keys). A wallet can contain one address or it can contain thousands of addresses. So, I would suggest avoiding the term "wallet address" and just using "wallet" or "address", depending on what it is.

Starting with trading (buying & selling) in Bitcoin is not good and very risky actually.

A newbie should start with investment in Bitcoin. It does not require too many knowledge, experience, skills like trading. You only need to understand basics of Bitcoin, have a belief in Bitcoin, buy and hold your bitcoins.

With trading, you must learn too many technical indicators, trading strategies, terms of trading on exchanges, and practice a lot of time, spend a lot of months in this market to master it and gain profit. Not many traders can gain profit on all market, not only on Bitcoin market. So don't believe that you can get profit with trading.

Anyway if you like trading, Awesome Crypto Trading

• Private keys are used to sign transactions and not provided to claim bitcoins. Nodes verify that the bitcoins being spent are valid with that private key before validating the transaction.

• Seedphrases are not passwords.

One thing is you can never hold on to this terminologies all at once as a starter, it will simply be more of memorizing them. But sticking around bitcoin and getting involved will make them stick because experience sometimes makes it easier to remember them since you would have be accustomed with them.

Although this are terminologies that could make your journey easier but if you’re venturing into trading then I will advise you take up reading of lesson on fundamentals and technical analysis.

This subject is so enlightening for a newbie that you said, there is no business or investment you are in that you will know 100 percent of what it entails. so the person who introduced you cannot teach you all like it is been said you learn on the job.

Are we supposed to grade this?? You already have the resources of the forum and the endless possibilities of the internet at your disposal, what more do you need? Everything you listed and tried to explain are well explained in the link you provided, I really don’t see the need to repeat them. If you use the forum engine, you will find this thread has been extensively discussed.

Terminlogy
Crypto acronyms and their meanings for beginners (CHECK OUT)
Important terms that are frequently confused.
Cryptocurrency lingo/slang

Other sources include;
Coinmarketcap Cryptocurrency Glossary: https://coinmarketcap.com/alexandria/glossary
Coingecko Cryptocurrency Glossary: https://www.coingecko.com/en/glossary

Before venturing into the learning of bitcoin, I used to think that it was just all about buying and selling bitcoin when the market is favorable. With my experience in buying and selling of physical goods, I thought that there was nothing that difficult to learn about bitcoin, that all I needed to do was just buy it and sell to make profit. Basically that is what it is, but joining bitcointalk has opened my eyes to see that there is more to trading bitcoin than just buying and selling.

The term "Newbie' in this forum has really humbled me to know that I have to do research, learn technicalities and terminologies of bitcoin first before I can start trading it. Otherwise the reality of failing and loosing my hard earned money is imminent.

I feel like I'm in an online course now studying about bitcoin. I see myself getting forced to learn the terminologies and complex nature of bitcoin if I have to succeed and I'm prepared to do so. Without understanding the terminologies of bitcoin, it will be very difficult for a newbie to contribute meaningfully in threads that discuss about bitcoin trading, because the newbie might continue to make a fool of himself in trying to contribute.

My first contact with Bitcoin here, terms like blockchain, cryptography, Coinbase, Dex, Cex, Fiat, Halving, Wallet, Private keys, Dust, Satoshi, etc used to confuse me. The person who introduced me to bitcoin told me something about the founder of bitcoin and gave a strange name that I almost immediately forgot until I came here and remembered what he mentioned was Satoshi Nakamoto. It is here that I started reading about Bitcoin anniversary and how someone bought pizzas with so much bitcoin that made my head swell.

I have been reading and learning online from  https://bitcoinmagazine.com/bitcoin-glossary and that is where most of my bitcoin knowledge come from in addition to this forum. I'm putting more time to staying online which is not my usual habit. Some of those confusing terms I can put now in my understanding of what they mean. I'm still learning.

1: Blockchain - This is a list of all blocks that have ever been listed. I see this as a bank statement of account.

2: Coinbase - The first transaction in each bitcoin block. I learnt also of Genesis block which is the ever first block by Satoshi.

3: Cryptography - Secured techniques based on mathematical concepts. This is still not too clear to me completely.

4: DEX (decentralized exchange) - A cryptocurrency exchange where people can trade cryptocurrency without a central company or middleman. The term middleman is popular in my type of business.

5: CEX (Centralized exchange) - A cryptocurrency exchange where people  trade cryptocurrency with middlemen involved. It is the opposite of Dex and those who trade there are exposed to loosing their coins if the Cex shuts down because they don't own keys to their bitcoin on the exchange.

6: Digital signature - This is something that can be attached to a message to show that the sender is the owner of the private key.

7: Private Key - This is a set of alphabets and numbers associated with wallets to show you are the right owner if you can produce them to claim the bitcoin in it.

8: Seedphrase - This is a set of words like a password to a wallet. I see it is also like a private key.

9: Wallet address - This is a set of letters associated to a wallet that we give out to people to send Bitcoin to.

10: Satoshi - Units of Bitcoin, just the way we have units of our local currencies in denominations.

11: Dust - Bitcoin transaction output with little value, like tiny Satoshis.

12: Fiat - This is the one that shocked me most. Until now I never knew the traditional currency I used in buying and selling is also called a fiat. This humbled me.

13: Bitcoin Halving - A preprogrammed of the bitcoin block subsidy, which occurs every 210,000 blocks. Some say it happens every four years also. A lot of people are talking about it here with excitement that it will happen in 2024.

There are many more of these confusing terms and I'm ready to acquire more of them with belief that they will become easier the more I read about bitcoin.