Glossary of Terms

Proof of Capacity is a consensus algorithm in which miners use free space on storage drives instead of energy-intensive computations, which makes mining coins cheaper and more environmentally friendly.

Proof of Importance is a consensus algorithm that takes into account not only the size of the balance but also a participant's activity in the network when distributing the right to create blocks.

Proof-of-Storage is a mechanism in which participants provide disk space for shared data, and the network confirms that the files are indeed reliably stored.

Proof of Service is a mechanism in which nodes perform useful functions for the network and receive a reward for this, provided they hold a fixed collateral of coins.

A road map is a public development plan of a crypto project that describes, stage by stage, the goals, key milestones, and approximate timelines for achieving them. It helps to assess a project's direction and maturity.

Delegated Proof of Stake is a consensus algorithm in which coin holders vote to choose a limited number of trusted nodes that create blocks on behalf of the entire network.

ECDSA is a digital signature algorithm based on elliptic curves that allows the owner of a private key to confirm the right to dispose of coins. It is precisely what protects transactions in Bitcoin and many other networks.

An orphan block is a correctly or incorrectly formed block that the network ultimately rejected and did not include in the main chain. It does not make it into the blockchain's overall transaction history.

KYC/AML is a set of rules under which exchanges and exchange services are obliged to identify customers and counter money laundering. Usually the procedure includes verifying identity by documents.

The Bitcoin Price Index (BPI) is an averaged indicator of the value of bitcoin, calculated from the data of several major exchanges. It helps to assess the market price without being tied to a single venue.