A simple bitcoin Q/A. Learn new and interesting stuff about bitcoin.

[The Cryptovator]

This isn't directly related to bitcoin, but I just thought people should know more about this. There have been proposals for bitcoin ETFs to the SEC, and got rejected at least twice.

Question: Explain what is an ETF and how it works?
Apologies for not being around for this thread. Have lot a personal issues going around.

ETF = Exchange Traded Fund. I had explained my other post.

What is Exchange Traded Fund:
Exchange Traded Fund most like stock exchange. Those fund use to be traded on stock exchange that's called EFT. From ETF you can track all tradable assets and you can trade from there. That means you can track price buy and sale to other investor through stock exchange.
ETF become most popular  due their low cost facility. There is many broker for buy sale assets. I just share my basic idea about ETF. If you want to know more details please visit Wikipedia.

How will be benefited crypto or Bitcoin holder's from ETF:
If U.S. Securities and  Exchange Commission (SEC) approve EFT application than many big investor will start invest on Bitcoin/crypto-currency. Because Bitcoin or other crypto-currency will consider like an asset. So crypto currency will be open diverse set of investors. There will be no restrictions for crypto currency. For that reason crypto currency price will increase rapidly. Those will buy Bitcoin or other crypto-currency they can track real time price from ETF and can sale to other investors.

However, what I understand that if SEC approve EFT than crypto revolutions will be unbelievable.  Most of crypto currency will be up trend. We can see currently just discussing about EFT on SEC board & price of Bitcoin on bulls run. We expect SEC will consider EFT application on middle of August.

Question: Explain the avalanche effect.

In  cryptography,  the  avalanche  effect  refers  to  a
desirable  property  of  cryptographic  algorithms,
typically  block  ciphers  and  cryptographic  hash
functions. The avalanche effect is evident if, when an
input is changed slightly (for example, flipping a single
bit)  the  output  changes  significantly  (e.g.,  half  the
output  bits  flip).  In  the  case  of  high-quality  block
ciphers, such a small change  in either  the key  or the
plaintext  should  cause  a  drastic  change  in  the
ciphertext.
If a  block cipher or  cryptographic hash function does
not exhibit the avalanche effect to a significant degree,
then it has poor randomization, and thus a cryptanalyst
can make predictions about the input, being given only
the  output.  This  may  be  sufficient  to  partially  or
completely  break  the  algorithm. Thus,  the  avalanche
effect is a desirable condition from the point of view of
the designer of the cryptographic algorithm or device.

(PDF) Study of Avalanche Effect in AES. Available from: https://www.researchgate.net/publication/304141002_Study_of_Avalanche_Effect_in_AES [accessed Aug 23 2018].

Directly copy/paste from Wikipedia. By the way people are going to research due to merit reward . I just avoid him to report plagiarism as well he try to research.

[1713955911]

1713955911

[1713955911]

1713955911

[1713955911]

1713955911

[r1s2g3]

Question: Explain the avalanche effect.

(PDF) Study of Avalanche Effect in AES. Available from: https://www.researchgate.net/publication/304141002_Study_of_Avalanche_Effect_in_AES [accessed Aug 23 2018].

Directly copy/paste from Wikipedia. By the way people are going to research due to merit reward . I just avoid him to report plagiarism as well he try to research.

Sorry for posting on a row, just by mistake during collect quote. Unable to delete before 24 hour's, pugman please delete it. I have save on draft & I will update on my Above post.

Nopes, This guy copied from that paper (the PDF reference  in the post). Since I do not expect a research paper to be plagiarized, and both paper and wikipedia having same definition, I make assumption might be wikipedia is plagiarized.  
PS: Still make me wonder how somebody looking for a simple definition find a complex research paper in which definition is in the third page of the research paper not even in the first and did he/she really read that paper to that point?

[vphasitha01]

Question: Explain the avalanche effect.

<...snip...>

(PDF) Study of Avalanche Effect in AES. Available from: https://www.researchgate.net/publication/304141002_Study_of_Avalanche_Effect_in_AES [accessed Aug 23 2018].

Directly copy/paste from Wikipedia. By the way people are going to research due to merit reward . I just avoid him to report plagiarism as well he try to research.

Nopes, This guy copied from that paper (the PDF reference  in the post). Since I do not expect a research paper to be plagiarized, and both paper and wikipedia having same definition, I make assumption might be wikipedia is plagiarized.  
PS: Still make me wonder how somebody looking for a simple definition find a complex research paper in which definition is in the third page of the research paper not even in the first and did he/she really read that paper to that point?

I also agreed with @r1s2g3 and I don't think it can be taken as plagarised contents. He/she looking for research paper before giving the answer is actually better than just posting spam. If she/he read that research paper before posting means something to me and even worth a Merit(at least for me). Since the introduction of Merit system, people are going to read even research papers before posting. So isn't that good thing rather criticizing?

I don't know why people are thinking that details in the Wikipedia is always right and those are not plagarised from anywhere. Actually some of the details are incorrect in Wikipedia and academic communities normally not taken details published in the Wikipedia as trusted sources for cites, since those details can be manipulated.

[cryptogideon19]

Hello boss, Is this Q/A still available for the Answer? And If it's not Any way for make merit's or something to learned about your thread? Seeing your thread about bitcoin makes me amaze for someone who really devoted to bitcoin.

[pugman]

Sorry lads, don't yell at me,I am back. And I got a question.

Question: What is BIP 174? (Its gonna be out for bitcoin 0.17.0 version)

Hello boss, Is this Q/A still available for the Answer? And If it's not Any way for make merit's or something to learned about your thread? Seeing your thread about bitcoin makes me amaze for someone who really devoted to bitcoin.

Hello employee, did you do the reports I asked you to do? I didn't get any, and you're fired. Get your filthy ass outta here. </sarcasm>

Don't post for merit dude. Just post about what you like and what you know,with some common sense. That said, whatever you need to learn from this thread, is there in this thread.

[RivAngE]

Sorry lads, don't yell at me,I am back. And I got a question.

Question: What is BIP 174? (Its gonna be out for bitcoin 0.17.0 version)

Hello boss, Is this Q/A still available for the Answer? And If it's not Any way for make merit's or something to learned about your thread? Seeing your thread about bitcoin makes me amaze for someone who really devoted to bitcoin.

Hello employee, did you do the reports I asked you to do? I didn't get any, and you're fired. Get your filthy ass outta here. </sarcasm>

Don't post for merit dude. Just post about what you like and what you know,with some common sense. That said, whatever you need to learn from this thread, is there in this thread.

You forgot to open the command with <sarcasm>
To answer this, I'd first like to give a short explanation of what a BIP is. BIP stands for "Bitcoin Improvement Proposals" and as the name suggests, community members suggest an improvement for the Bitcoin protocol in an official and structured manner. Every BIP goes through the some phases while it's being decided if it'll be implemented or not, which usually (but not always) look as the following,


So, BIP 174 is going to allow users to perform offline transactions through a protocol that would allow them to sign transactions without having to upload them to the network immediately.
It's also called as "Partially Signed Bitcoin Transaction", PSBT for short.
From the information I've gathered I understand it works almost like a check (cheque) we use for fiat transactions, where we sign in a paper that we'll offer 1000€, give it to a person and then they go to a bank to cash out from our account. In Bitcoin's case we sign a transaction offline, give it to a person, they may even sign it and give it to another person, until finally someone goes online and cash out the BTC from the initial signer.

---
Serious explanation ends here, bellow is some extra info I've found for which I'm note 100%.
---

The bellow slides 10 and 11 show an example. If my knowledge in Japanese from years of otaku activities are to be trusted,
https://speakerdeck.com/azuchi/bip-174-partially-signed-bitcoin-transaction-format?slide=10
Alice initiates a PSBT transaction and sends it to Bob. He then signs it and sends it to Carol who signs it and sends it to Bob who finnaly recevies the money from Alice. Alice initial transaction was supposed to be for Bob, but since he signed from Carol and then Carol for Bob, Bob is the one who receives the Bitcoins.

[r1s2g3]

Sorry lads, don't yell at me,I am back. And I got a question.

Question: What is BIP 174? (Its gonna be out for bitcoin 0.17.0 version)

BIP is Bitcoin Improvement Proposals and Proposal 174 is titled " Partially Signed Bitcoin Transaction Format"  that proposes to have a binary transaction format that will have all the necessary information for a signer to produce signatures for the transaction and holds the signatures for an input while the input does not have a complete set of signatures. The signer can be offline as all necessary information will be provided in the transaction.

Signing transactions also requires users to have access to the UTXOs being spent. This transaction format will allow offline signers such as air-gapped wallets and hardware wallets to be able to sign transactions without needing direct access to the UTXO set and without risk of being defrauded.


Source : https://github.com/bitcoin/bips/blob/master/bip-0174.mediawiki


Look like it is currently tough for me to put these technical documentation in somewhat simple words.

[vlad230]

Sorry lads, don't yell at me,I am back. And I got a question.

Question: What is BIP 174? (Its gonna be out for bitcoin 0.17.0 version)

It's the first time I'm joining this thread and it seems an interesting way to learn new stuff
I'm not going to quote you any texts I find online but just say what I understood from it while reading about it, with my own words. So, here it goes:

BIP 174 is a proposal to use a binary transaction format that can allow users to pass a transaction around multiple people (using different wallet softwares) to sign and combine their signature to authorize it. This format will also allow offline signers like hardware wallets to sign transactions without needing direct access to unspent transaction output.

[DireWolfM14]

Question: What is BIP 174? (Its gonna be out for bitcoin 0.17.0 version)

The way I (layman) understands it, BIP 174 will allow us to transfer bitcoin from a cold wallet with a "partially signed transaction" without having to immediately upload that transaction to the bitcoin network.   Meaning we can use our (supported) cold wallet for purchases and transactions while maintaining it's security.  Transactions will be fully signed at a later time.

So, essentially it can make a cold wallet partially hot.

[DesertOasis3]

Sorry lads, don't yell at me,I am back. And I got a question.

Question: What is BIP 174? (Its gonna be out for bitcoin 0.17.0 version)

BIP 174 will make it possible to perform transactions offline by a standard protocol that will have the facility for signing the transactions and then connect later to upload them to the Bitcoin Network. These transactions are known as Partially Signed and whilst still in the development phase, the flexibility it will offer would be of great benefit to Bitcoin in the future.

[hisori]

Sorry lads, don't yell at me,I am back. And I got a question.

Question: What is BIP 174? (Its gonna be out for bitcoin 0.17.0 version)

BIP 174 has been created to only helps for signing and creating on a chain transactions. It also acts as a transaction that dont need to be broadcast yet on a bitcoin network.

[btctop1]

Question: What is BIP 174? (Its gonna be out for bitcoin 0.17.0 version)

BIP is the Bitcoin Improvement Proposal. BIP 174 is the part of bitcoin’s official repository & he is potentially allowing the blockchain to support the famous "Partially Signed Bitcoin Transactions" (PSBT) in the future.

[advisor_moon]

Interesting question!
BIP 174 is a transaction format for transactions that are not ready to be broadcast to the Bitcoin network yet. I believe it will help us to send transactions without the need of immediate Internet connection. It will help for creating and signing on chain transactions and thus boosting the business of Cold Wallet manufacturers too.

I have a question too - How is it different from Lightning network ? (I mean technically)

[slocker]

Sorry lads, don't yell at me,I am back. And I got a question.

Question: What is BIP 174? (Its gonna be out for bitcoin 0.17.0 version)

BIP 174 is upgrade for Bitcoin (BTC) has just been added to the official network repository (so it should in next version of bitcoin core).
Its use will take place in allowing the blockchain to support Partially Signed Bitcoin Transactions (PSBT) in the future.  If this is implemented soon (hopefully we will see it) then the implementation of this solution will enabled Bitcoin's blockchain to improve certain essential.

[purple.thoughts]

BIP 174 is the advancement or improvement for bitcoin technology where bitcoin can be transacted offline. This said improvement is still on development phase and not yet launched official nor can be functioned now.  A lot of people specially bitcoin enthusiast can wait to see its full functionality soon.

[DerukEaa]

Function of BIP 174 is helping to make and sign  block-to-block transaction. This is built for compatibilities client-to-client. And also make possible easier hardware wallet and offline wallet setting.

So BIP 174 is not protocol or layer 2 solution for off chain transaction but BIP 174 is a transaction format for  a transaction  that not ready to broadcast to the bitcoin network.

[BusWay18]

This isn't directly related to bitcoin, but I just thought people should know more about this. There have been proposals for bitcoin ETFs to the SEC, and got rejected at least twice.

Question: Explain what is an ETF and how it works?
Apologies for not being around for this thread. Have lot a personal issues going around.

ETF = Exchange Traded Fund. I had explained my other post.

What is Exchange Traded Fund:
Exchange Traded Fund most like stock exchange. Those fund use to be traded on stock exchange that's called EFT. From ETF you can track all tradable assets and you can trade from there. That means you can track price buy and sale to other investor through stock exchange.
ETF become most popular  due their low cost facility. There is many broker for buy sale assets. I just share my basic idea about ETF. If you want to know more details please visit Wikipedia.

How will be benefited crypto or Bitcoin holder's from ETF:
If U.S. Securities and  Exchange Commission (SEC) approve EFT application than many big investor will start invest on Bitcoin/crypto-currency. Because Bitcoin or other crypto-currency will consider like an asset. So crypto currency will be open diverse set of investors. There will be no restrictions for crypto currency. For that reason crypto currency price will increase rapidly. Those will buy Bitcoin or other crypto-currency they can track real time price from ETF and can sale to other investors.

However, what I understand that if SEC approve EFT than crypto revolutions will be unbelievable.  Most of crypto currency will be up trend. We can see currently just discussing about EFT on SEC board & price of Bitcoin on bulls run. We expect SEC will consider EFT application on middle of August.

Question: Explain the avalanche effect.

In  cryptography,  the  avalanche  effect  refers  to  a
desirable  property  of  cryptographic  algorithms,
typically  block  ciphers  and  cryptographic  hash
functions. The avalanche effect is evident if, when an
input is changed slightly (for example, flipping a single
bit)  the  output  changes  significantly  (e.g.,  half  the
output  bits  flip).  In  the  case  of  high-quality  block
ciphers, such a small change  in either  the key  or the
plaintext  should  cause  a  drastic  change  in  the
ciphertext.
If a  block cipher or  cryptographic hash function does
not exhibit the avalanche effect to a significant degree,
then it has poor randomization, and thus a cryptanalyst
can make predictions about the input, being given only
the  output.  This  may  be  sufficient  to  partially  or
completely  break  the  algorithm. Thus,  the  avalanche
effect is a desirable condition from the point of view of
the designer of the cryptographic algorithm or device.

(PDF) Study of Avalanche Effect in AES. Available from: https://www.researchgate.net/publication/304141002_Study_of_Avalanche_Effect_in_AES [accessed Aug 23 2018].

Directly copy/paste from Wikipedia. By the way people are going to research due to merit reward . I just avoid him to report plagiarism as well he try to research.

Before critism me with plagiat...look at up comment about avalanche...all same word and i do search in google that word same with Wikipedia...and i search again with Paper research...cause i believe with word or sentence that build from someone or grup that has research about avalanche...and i give link better than Wikipedia...people can studi thiier paper research with avalanche....

[RivAngE]

Question #1: What is bitcoin’s Mempool? What does it do, what is held there and where is it’s physical location on the network?

The bitcoin mempool is where unconfirmed Bitcoin transactions are stored.
It's a set of all all the transactions that have been broadcast but have not yet been added to a block by a miner.
Every node has its own transaction relay policy so there is no definite mempool, but different mempools for different nodes.

                            From February... really?

[Heisenberg_Hunter]

The bitcoin mempool is where unconfirmed Bitcoin transactions are stored.
It's a set of all all the transactions that have been broadcast but have not yet been added to a block by a miner.
Every node has its own transaction relay policy so there is no definite mempool, but different mempools for different nodes.

Please use text spinning tools next time while you are plagiarising some content. It is really easier to find out you have stolen these texts from websites and just posting here for merit. There is no way other than reporting you here : https://bitcointalk.org/index.php?topic=1926895.msg46786275#msg46786275
You will most probably be temp banned or permabanned sooner.

Sorry Sir, Plagiarism ruined your life 

[Bakul_cacing]

The bitcoin mempool is where unconfirmed Bitcoin transactions are stored.
It's a set of all all the transactions that have been broadcast but have not yet been added to a block by a miner.
Every node has its own transaction relay policy so there is no definite mempool, but different mempools for different nodes.

Please use text spinning tools next time while you are plagiarising some content. It is really easier to find out you have stolen these texts from websites and just posting here for merit. There is no way other than reporting you here : https://bitcointalk.org/index.php?topic=1926895.msg46786275#msg46786275
You will most probably be temp banned or permabanned sooner.

Sorry Sir, Plagiarism ruined your life 

sorry sir

Do I learn more about your question? because I want to increase my ranking in this forum without any problems.

once again, I am sorry