A few questions for experienced users

[Novice14]

Hello all,

I'm a complete newbie in BTC/cryptocurrency world and have a few questions. I have googled and found some answers but would appreciate if you could please clarify/simplify a few points for me. TIA.

I understand how bitcoin works, the network, the addresses, it is decentralized,... what I don't get is more technical aspects. Words like:

Node.
Scrypt
PoS
PoW
X11,X13,...

What are all these? Why are they important in alt-coins?

I'd appreciate a response or a link. I couldn't find much by searching.

Thank you.

[1715199051]

1715199051

[1715199051]

1715199051

[1715199051]

1715199051

[karlb187]

Node = Connections to the coins network.

Scrypt
PoS
PoW
X11,X13  =  Algorithms for all kinds of coins. Bitcoin is a POW (Proof of Work) 

There is a ton more info but that's the basics. 

[Altcoin Agent]

Node = Connections to the coins network.

Scrypt
PoS
PoW
X11,X13  =  Algorithms for all kinds of coins. Bitcoin is a POW (Proof of Work) 

There is a ton more info but that's the basics. 

PoS and PoW are not hashing algorithms, they are different ways to prove that coins exist, and where in the blockchain. PoW stands for Proof of Work, and it's what Bitcoin uses. People mine Bitcoins by letting computers "guess" the right hash many many millions of times per second. When they guess correct, a block is found and gets added to the blockcchain.
Many people consider this an unsustainable way to secure the network due to power costs.

PoS tries to solve this.It stands for Proof of Stake. There is no mining ; instead, people who have coins already get "stake" which is like interest in a bank account.
I suck at explaining it well so here is a link https://en.bitcoin.it/wiki/Proof_of_Stake

Oh one good parting piece of advise : don't buy altcoins unlike you enjoy gambling and dont mind going broke

[Globb0]

Here is a very helpful video that shows how things work overall.

https://www.youtube.com/watch?v=YIVAluSL9SU

Most of your individual questions are answered. Let us know if you have any more.

Globb0

[WhatTheGox]

Hello all,

I'm a complete newbie in BTC/cryptocurrency world and have a few questions. I have googled and found some answers but would appreciate if you could please clarify/simplify a few points for me. TIA.

I understand how bitcoin works, the network, the addresses, it is decentralized,... what I don't get is more technical aspects. Words like:

Node.
Scrypt
PoS
PoW
X11,X13,...

What are all these? Why are they important in alt-coins?

I'd appreciate a response or a link. I couldn't find much by searching.

Thank you.

Scrypt = a different way the coin is set up so it is mined differently.  Litecoin = scrypt, Bitcoin = sha-256

read here https://bitcointalk.org/index.php?topic=159705.0

[Novice14]

Thank you all for your time and explanations. I'd go through the links and video and will let you know how it goes.

Thanks again.

[Novice14]

New questions:

Airdrop
Cards (I know what card means, but what it is in cryptocurrency?). I also know it is related to the mining.

Node = Connections to the coins network.

Scrypt
PoS
PoW
X11,X13  =  Algorithms for all kinds of coins. Bitcoin is a POW (Proof of Work) 

There is a ton more info but that's the basics. 

PoS and PoW are not hashing algorithms, they are different ways to prove that coins exist, and where in the blockchain. PoW stands for Proof of Work, and it's what Bitcoin uses. People mine Bitcoins by letting computers "guess" the right hash many many millions of times per second. When they guess correct, a block is found and gets added to the blockcchain.
Many people consider this an unsustainable way to secure the network due to power costs.

PoS tries to solve this.It stands for Proof of Stake. There is no mining ; instead, people who have coins already get "stake" which is like interest in a bank account.
I suck at explaining it well so here is a link https://en.bitcoin.it/wiki/Proof_of_Stake

Oh one good parting piece of advise : don't buy altcoins unlike you enjoy gambling and dont mind going broke

Great explanation, thanks. But why do you advise not to buy altcoins? I was under the impression that a few of the alts could be good investments for future. I know most of them are run by scammers (as I was reading through the altcoin forums here), but you mean we can't find a good one?

What are the specifications for a good altcoins in your opinion?

Thanks.

[Globb0]

Airdrop is a distribution method. So how they get the coins out there, perhaps from a premined bunch of promotional coins.

Its like they used to drop flyers out of planes and helicopters. You probably have to be in an area or fall into a category and then claim the coins somehow as described by the coin.


Globb0

[karlb187]

You learn something new everyday. 

[Novice14]

You learn something new everyday. 

Indeed.

I'm still trying to understand some of these concepts.

Thanks for this forum and great posters, I'm half way there just to start investing in BTC.