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Blockchain Fundamentals

Core concepts that form the foundation of blockchain technology and distributed systems.

18 terms
Beginner
4
Intermediate
11
Advanced
3
Intermediate

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Chain Reorganization

An event where a blockchain replaces a sequence of recent blocks with a different chain, altering transaction history and potentially reversing recent transactions.

Consensus Layer

The protocol and mechanism by which blockchain network participants agree on the current state and validity of transactions, the foundation of blockchain security.

Consensus Mechanism

The protocol by which nodes in a decentralized network agree on the current state of the blockchain, ensuring all participants maintain the same transaction history without a central authority.

Finality

The point at which a blockchain transaction is considered permanently settled and cannot be reversed or modified, varying by consensus mechanism and protocol design.

Mining

The process of validating transactions and creating new blocks on Proof of Work blockchains by solving complex computational puzzles, earning block rewards and transaction fees.

Proof of Burn

A consensus or verification mechanism where participants destroy cryptocurrency to prove their commitment and earn rewards or rights, eliminating the need for computational work.

Soft Fork

A backward-compatible protocol upgrade that tightens rules, where new nodes enforce stricter standards while old nodes can still participate in the network.

Subnet

A custom blockchain running on top of a validator network, sharing security with the base network while enabling specialized applications and custom configurations.

Transaction Finality

The point at which a blockchain transaction becomes irreversible and cannot be altered or removed, ensuring transaction certainty and settlement.

Validator Queue

A waiting period where new validators must stake and wait before joining the active validator set, preventing sudden attacks and managing validator churn.

Validator Slashing

A penalty mechanism in Proof-of-Stake systems where validators lose staked tokens for dishonest behavior, creating economic disincentives against attacks and misbehavior.