Can anybody explain these term to me in crypto?

legendary

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Scalability is the problem bitcoin faces, on-chain and off-chain are type of bitcoin transaction while other terms you asked for description are the possible solutions to the scalability problem. For more detail information read the below links.

Read for scalability:

Quote from: https://en.m.wikipedia.org/wiki/Bitcoin_scalability_problem

The bitcoin scalability problem refers to the discussion concerning the limits on the amount of transactions the bitcoin network can process. It is related to the fact that records (known as blocks) in the bitcoin blockchain are limited in size and frequency

Read for block size:

Quote from: https://www.mycryptopedia.com/block-size-explained/

The block size is simply the maximum limit a block can be filled up with transactions. For example, the Bitcoin block size currently stands at 1 MB

Read for On-chain and off-chain transaction:

Quote from: https://blockbasis.com/help/blockchain/difference-chain-off-chain-transactions/

On-chain transactions reflected on the public ledger, visible to all participants on the blockchain network while Off-chain transactions, transfer agreements between two or more parties

Read for Lighting network:

Quote from: https://www.bitcoinforbeginners.io/cryptocurrency-guide/bitcoin-lightning-network-explained/

The Lightning Network is a second layer off-chain solution for Bitcoin’s scaling problem. The goal is to technologically support Bitcoin mass adoption while keeping the coin useful, affordable, decentralized, and censorship-resistant. It does this by opening payment channels between 2 users/peers that (normally would) have established relationships and don’t require trust

Read to understand first and second layer protocol and how they can be used to solve the scalability problem:

Quote from: https://medium.com/@timevalueofbtc/the-bitcoin-second-layer-d503949d0a06

Bitcoin’s first layer, or base layer, is a protocol proposed in 2008 that has reached a global state of consensus as it approaches its tenth birthday.

Follow link to for more detail information, (Skip the gold introduction paragraph, scroll down)

khaled0111

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Bitcoin network has a scalability problem which consists in the limited number of transactions it can handle.

Many solutions were proposed to fix the scalability problem. One of those solutions is increasing the block size. By increasing the block size, miners will be able to add more transactions to blocks.

Another solution was the lightning network which is a second layer protocol. However, it is depends on the first layer (bitcoin) to open/close channels.

Actually, each term requires a dedicated thread.

You can read more about scalability, block size, layer 2 here:
https://en.m.wikipedia.org/wiki/Bitcoin_scalability_problem
You can read more about on chain and off chain transactions here:
https://www.investopedia.com/terms/o/offchain-transactions-cryptocurrency.asp

BQ

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It's much easier to googlethis than post here Embarrassed

OgNasty

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You are asking for a lot of explanation. I’d suggest using the search feature and doing some learning on your own.

Cryptogamee

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I'm pretty knowledgeable in Cryptocurrency trading, price action and stuff in Binance. Most of the time alt coin trading, but there is just some terms or things that stumbled upon my mind.

Scalability, On-chain, First layer, second layer, off-chain, block size, lightning network. Please explain to me with example's thank you.

Topic: Can anybody explain these term to me in crypto? (Read 169 times)