Permissionless Blockchain

Blockchain

A distributed, immutable digital ledger that records transactions across a network of computers without a central authority.

Distributed Ledger Technology

A digital system for recording, sharing, and synchronising data across multiple sites without a central administrator.

Consensus Mechanism

The method by which a distributed network agrees on the current state of the ledger and validates transactions.

Proof of Work

A consensus mechanism requiring computational effort to validate transactions and create new blocks, used by Bitcoin.

Proof of Stake

A consensus mechanism where validators are selected based on the amount of cryptocurrency they hold and stake.

Delegated Proof of Stake

A consensus mechanism where token holders vote for delegates who validate transactions on their behalf.

Byzantine Fault Tolerance

The ability of a distributed system to reach consensus despite some nodes acting maliciously or failing.

Merkle Tree

A hash-based data structure that efficiently verifies the integrity and consistency of large sets of data.

Hash Function

A mathematical function that converts input data of any size into a fixed-size output, used extensively in blockchain security.

Cryptographic Hash

A one-way function producing a fixed-length output that is computationally infeasible to reverse or find collisions for.

Public Key Cryptography

An encryption system using mathematically linked key pairs — a public key for encryption and a private key for decryption.

Digital Signature

A cryptographic mechanism that verifies the authenticity and integrity of digital messages or documents.

A blockchain architecture that separates execution, consensus, settlement, and data availability into independent layers, enabling specialisation and improved scalability.

A decentralised decision-making process where protocol changes are proposed, debated, and voted on through blockchain-based mechanisms by token holders or validators.

A radical change to a blockchain's protocol that makes previously invalid blocks or transactions valid, requiring all nodes to upgrade.

A computer connected to a blockchain network that maintains a copy of the ledger and participates in consensus.

The transaction fee paid to blockchain network validators for processing and confirming transactions.

The ability of different blockchain networks to communicate, share data, and transfer assets seamlessly, enabling cross-chain applications and unified digital asset ecosystems.

The ability of different blockchain networks to communicate, share data, and transfer value between each other.

A cryptocurrency designed to maintain a stable value by pegging it to a reserve asset like a fiat currency.