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What Is A Ethereum Block?

Blockchain - What Is A Block Hash? - Ethereum Stack Exchange

Blockchain - What Is A Block Hash? - Ethereum Stack Exchange

When we look at this block - what does the first number Hash: 0xfe88c94d860f01a17f961bf4bdfb6e0c6cd10d3fda5cc861e805ca1240c58553 "Nonce" is the value that is changed during mining, but what is hash? A function can be inversed, so surely a hash is not a function? user4880 Oct 27 '16 at 9:16 f(x) = 0 is a function and cannot be inversed.. this is not a valid statement. pfrank Dec 13 '17 at 2:32 The block header is the hash returned from generating a Merkle tree that is below the current difficulty target for the blocks data. In order to understand what the block header is you need to understand what a hashing function is. A hashing function is a one way(non invertible function) that maps a set of inputs to a set of outputs hash(s) -> p, where for our purposes s and p are both strings. For any string s we can find the hash by applying our hashing function, which will return a new string. This is a deterministic procedure in that given an s, the same hash() will produce the same p. There is no inverse of the hash operation, so you cannot go from output to input hash^-1(p) -> s. A hash function will ideally map the domain uniformly over the range such that any input that is in the domain will have a pretty even probability of being anywhere in the range vs more likely to be in a certain section. You use hashing operations for many different applications from data storage and lookup to logging into any password protected environments. It is also used to verify the integrity of data. Lets say you have a large file F. You can take the hash of the file by converting it to a string and then taking the hash of it, hash(F) -> G. G will be a string representation of (in this case) a 5 digit hexadecimal number(hashes like sha give you 40 digit hex numbers), lets say 0x5a3b1. Now som Continue reading >>

What Is Ether?

What Is Ether?

Ether is a necessary element a fuel for operating the distributed application platform Ethereum. It is a form of payment made by the clients of the platform to the machines executing the requested operations. To put it another way, ether is the incentive ensuring that developers write quality applications (wasteful code costs more), and that the network remains healthy (people are compensated for their contributed resources). If you just want to test the technology, you probably don't need real ether. Download the latest Wallet app and switch to the Test Network Check your ether presale balance safely here: The total supply of ether and its rate of issuance was decided by the donations gathered on the 2014 presale. The results were roughly: 60 million ether created to contributors of the presale 12 Million (20% of the above) were created to the development fund, most of it going to early contributors and developers and the remaining to the Ethereum Foundation 5 ethers are created every block (roughly 15 seconds) to the miner of the block 2-3 ethers are sometimes sent to another miner if they were also able to find a solution but his block wasn't included (called uncle/aunt reward) Note that after the Byzantium update is implemented, the mining and uncle reward is reduced to 3 ethers and 0.625-2.625 ethers, respectively. No. According to the terms agreed by all parties on the 2014 presale, issuance of ether is capped at 18 million ether per year (this number equals 25% of the initial supply). This means that while the absolute issuance is fixed, the relative inflation is decreased every year. In theory if this issuance was kept indefinitely then at some point the rate of new tokens created every year would reach the average amount lost yearly (by misuse, accidental key Continue reading >>

Ethereum Vs. Bitcoin: Whats The Difference?

Ethereum Vs. Bitcoin: Whats The Difference?

Ethereum vs. Bitcoin: Whats the Difference? In 1999,economics Nobel Prize winner Milton Friedman said, I think the internet is going to be one of the major forces for reducing the role of government. The one thing thats missing, but that will soon be developed, is a reliable e-cash. Ten years later, the digital currency Bitcoin was born. And for some time, this cryptocurrency dominated the market as Bitcoin rose to become the largest blockchain network. But recently, a new player entered the scene: Ethereum. The founder of this blockchain technology, Vitalik Buterin , envisioned a different path one that would include cryptocurrency but wouldnt be limited to it. But first, lets back up. What are Bitcoin and Ethereum and, more importantly, what are the differences between the two? At first glance, they might look pretty similar, but if you dig a little deeper, there are some major differences between the two technologies. Bitcoin was created by Satoshi Nakamoto, which is thought to be a group of people rather than a single person. The group first published a white paper titled Bitcoin: A Peer-to-Peer Electronic Cash System , which described exactly what Bitcoin is and how it works. Then, during 2009, the cryptocurrency Bitcoin was launched as an open-source software. At its launch, the exchange rate for Bitcoin was $1 for every 1,309.02 Bitcoins. The rate was created by figuring out the cost of electricity for running the computers that were generating Bitcoins. The first Bitcoin transaction that is known in the crypto community was for two Papa Johns pizzas. A man in Florida named Laszlo Hanyecz completed the transaction for 10,000 bitcoin (about $30 at the time) in exchange for those savory slices. 10,000 bitcoin is now worth about $10 million, to put that into perspe Continue reading >>

What Is The Ethereum Ice Age?

What Is The Ethereum Ice Age?

Ethereum is currently a Proof of Work cryptocurrency, meaning that computational power is needed, not only to produce new coinsbut to process transactions and to keep the entire ecosystem moving. In order to ensure the system is scalable and decentralized, Ethereum plans to move to a Proof of Stake protocol where a lot lesscomputational power is required and miners can earn rewards according to their balance. The Ethereum Foundation is still working on the Proof of Stake protocol, Casper. Since Casper is not finished and it's not contained in the release version of Ethereum a hard-fork might be required to implement this change. An hard-fork creates an incompatibility between the previous version and the latest, there is always the possibility to create a "split" that result in two blockchains, like Ethereum Classic , did on the 1920000th block, after the hard-fork to refund The DAO token holders took place . In order to ensure such event doesn't take place (although it did already) and to give themselves a time-frame to finish Casper (making the community aware of the introduction of a hard fork within that time-frame), a Difficulty Time Bomb, is also known as Ice Age was implemented in Ethereum. The Ethereum Ice Age is a difficulty adjustment scheme that was put in place to ensure that everyone has an incentive to move to the new blockchain once the hard-fork is implemented. It was introduced on the 7th of September (2015-09-07), about 11 months ago and it's programmed to raise difficulty exponentially. It's impossible for miners to keep up with the increase of difficulty which would raise block time and it would make the blockchain freeze, hencethe name Ice Age. The key part is the calculation for the increase in difficulty is Math.pow(2,Math.floor(block.number / 10 Continue reading >>

Accounts, Transactions, Gas, And Block Gas Limits In Ethereum

Accounts, Transactions, Gas, And Block Gas Limits In Ethereum

Accounts, Transactions, Gas, and Block Gas Limits in Ethereum This article is meant to help people understand some of the basic mechanics behind accounts, transactions, gas, and the role miners play in setting the block size in Ethereum. Corrections are welcome :) There are two types of accounts in Ethereum can send transactions (ether transfer or trigger contract code), code execution is triggered by transactions or messages (calls) received from other contracts. when executed - perform operations of arbitrary complexity (Turing completeness) - manipulate its own persistent storage, i.e. can have its own permanent state - can call other contracts All action on the Ethereum block chain is set in motion by transactions fired from accounts. Every time a contract account receives a transaction, its code is executed as instructed by the input parameters sent as part of the transaction. The contract code is executed by the Ethereum Virtual Machine on each node participating in the network as part of their verification of new blocks. The term transaction is used in Ethereum to refer to the signed data package that stores a message to be sent from an externally owned account to another account on the blockchain. a signature identifying the sender and proving their intention to send the message via the blockchain to the recipient, VALUE field - The amount of wei to transfer from the sender to the recipient, an optional data field, which can contain the message sent to a contract, a GASLIMIT value, representing the maximum number of computational steps the transaction execution is allowed to take, a GASPRICE value, representing the fee the sender is willing to pay for gas. One unit of gas corresponds to the execution of one atomic instruction, i.e. a computational step. Contrac Continue reading >>

Blockchain - Ethereum Block Architecture - Ethereum Stack Exchange

Blockchain - Ethereum Block Architecture - Ethereum Stack Exchange

Where can I find a description (preferably a diagram like below) showing the block structure in an Ethereum blockchain? Lets first start with my adaptation adaptation of this figure illustrating the Bitcoin block structure: Enter Ethereum and things get a wee bit more complex. After reading through this and this , and as per @ eth 's recommendation this , my best interpretation is the figure below: The header field definitions are available in section 4.3 of the yellow paper . Uncles is a hash (of a list of uncles), Yellow Paper has: "The Keccak 256-bit hash of the ommers list portion of this block". Codehash is just a hash since contracts are immutable. The pointers point to "hash of whole block header" (the Keccak-256 hash of all the bytes in the block header). To have a full diagram, should really consult the Yellow Paper... eth Jan 29 '16 at 22:53 Updated response after consulting the YP. Starting to get clearer now. Thanks! zanzu Feb 1 '16 at 12:34 Why are the transactions from block N linked to those of block N+1? Sebi Jun 10 '16 at 8:31 These links correspond to contract state that has not changed in between blocks. Referencing the state from the previous blocks instead of replicating is more efficient from a block size perspective. zanzu Jun 10 '16 at 9:49 Continue reading >>

Ethereum: What Is Ethereum Mining? - The Economic Times

Ethereum: What Is Ethereum Mining? - The Economic Times

The maximum number of bitcoins are capped at 21 million while the total ether supply has no such cap Ethereum mining is fundamentally similar to bitcoin mining. Both use proof of work (PoW). PoW is a competitive activity that miners undertake to write transactions to a new block that will be added to the blockchain . A miner successfully mines a new block while competing with fellow miners by running a hashing script. Karan Bharadwaj, CTO of XinFin said, The specific scripts used in mining for bitcoin and ethereum are SHA-256(based script) and Ethash. Each block mined on ethereum also gives a payout of 5 ether to the miner. The bitcoin payout per block mined is 12.5 BTC that is set to halve to 6.25 in 2020. The maximum number of bitcoins are capped at 21 million while the total ether supply has no such cap. The developers behind the ethereum blockchain are working on shifting the mining algorithm from Proof of Work to Proof of Stake (PoS). PoS allows for the creation of new blocks with the expensive process of PoW mining. In PoS, each node participates in the consensus mechanism in a proportional manner to the stake (of the Ethereum blockchain) held by it, said Bharadwaj. With this shift to PoS, the block reward goes away and the miners are paid only in the form of transaction fees. This shift to PoS is going to remove the wasteful energy intensive process of mining while introducing additional security benefits to an already robust protocol. However, it is important to note that this is a very challenging implementation and not without complications. Rachit Chawla, CEO, Finway Capital said, Somewhat similar to bitcoin, Ethereum is also a popular cryptocurrency and ethereum mining is the process of mining ether; platform-specific cryptographic token, or simply, a uniqu Continue reading >>

What Is Ethereums Block Size? : Ethereum

What Is Ethereums Block Size? : Ethereum

Welcome to r/Ethereum , the front page of the Web 3. No inappropriate behavior. This includes, but is not limited to: personal attacks, threats of violence, gossip, slurs of any kind, posting people's private information. Keep price discussion and market talk, memes & exchanges to subreddits such as /r/ethtrader Keep plain ICO advertisements to subreddits such as r/ethinvestor . Keep mining discussion to subreddits such as /r/EtherMining . No creating multiple accounts to get around Reddit rules. English language only. Please provide accurate translations where appropriate. Posts and comments must be made from an account at least 10 days old with a minimum of 20 comment karma. Exceptions may be made on a discretionary basis. Continue reading >>

Params In Ethereum Genesis Block Explained

Params In Ethereum Genesis Block Explained

Params in Ethereum Genesis Block Explained Ark / Blockchain / Params in Ethereum Genesis Block Explained Developers all over the world are experimenting with Ethereum blockchain and many of them find Ethereum testnet hard to use. Because of that, you may want to set up your private blockchain network. You would have full control over that network, and would not have any blockchain apps that you dont need. So if you want to have a clear blockchain setup only for yourself, there are a couple of things you have to define. One of them is genesis.json, a file in which you determine all specifications about genesis block of your blockchain. So, what exactly is genesis block? Genesis block is the first block of a blockchain. Since its the first block, it does not reference a previous block and has to be hardcoded into the configurations. Its not so hard to setup everything, but its a little bit harder to understand what you are doing. Been there, done that. In this article we will try to explain params that you have to define for you genesis block. That way we can help the community to use a blockchain with more understanding, which will result in better apps and development community. Here is an example of genesis block which you can find in Ethereum documentation. We will explain all those params, one by one. Lets start with an exciting part. config Its not a required param and we can remove it from genesis.json, but we added it in this example to let you know that it exists. If you are creating your private blockchain, you dont need the last three params so just set them to 0. The first param chainId is a unique identificator of the chain so you can set it to any number, or just leave it as 0. nonce Its a 64-bit string hash, this string is used in combination with mixhash. Continue reading >>

How Ethereum Mining Works

How Ethereum Mining Works

Today, miners play an important role in making sure ethereum works. This role isn't immediately obvious, though. Many new users think that the sole purpose of mining is to generate ethers in a way that doesn't require a central issuer (seeour guide" What is Ether? "). This is true. Ethereum's tokens are created through the process of mining at a rate of 5 ether per mined block. But mining also has another at least asimportant role. Usually, banks are in charge of keeping accurate records of transactions. They ensure that money isn't created out of thin air, and that users don't cheat and spend their money more than once. Blockchains, though, introduce an entirely new way of record-keeping, one where the entire network, rather than an intermediary, verifies transactions and adds them to the public ledger. Although a 'trustless' or 'trust-minimizing' monetary system is the goal, someone still needs to securethe financial records, ensuring that no one cheats. Mining is one innovation that makes decentralized record-keeping possible. Miners come to consensus about the transaction history while preventing fraud (notably the double spending of ethers) an interesting problem that hadnt been solved in decentralized currencies before proof-of-work blockchains. Although ethereum is looking into other methods of coming to consensus about the validity of transactions, mining currently holds the platform together. Today, ethereum's mining process is almost the same as bitcoins . For each block of transactions, miners use computers to repeatedly and very quickly guess answers to a puzzle until one of them wins. More specifically, the miners will run the blocks unique header metadata (including timestamp and software version) through a hash function (which will return a fixed-length, Continue reading >>

Glossary Ethereum/wiki Wiki Github

Glossary Ethereum/wiki Wiki Github

See also: Computational infeasibility: a process is computationally infeasible if it would take an impracticably long time (eg. billions of years) to do it for anyone who might conceivably have an interest in carrying it out. Generally, 280 computational steps is considered the lower bound for computational infeasibility. Hash: a hash function (or hash algorithm) is a process by which a piece of data of arbitrary size (could be anything; a piece of text, a picture, or even a list of other hashes) is processed into a small piece of data (usually 32 bytes) which looks completely random, and from which no meaningful data can be recovered about the document, but which has the important property that the result of hashing one particular document is always the same. Additionally, it is crucially important that it is computationally infeasible to find two documents that have the same hash. Generally, changing even one letter in a document will completely randomize the hash; for example, the SHA3 hash of "Saturday" is c38bbc8e93c09f6ed3fe39b5135da91ad1a99d397ef16948606cdcbd14929f9d, whereas the SHA3 hash of Caturday is b4013c0eed56d5a0b448b02ec1d10dd18c1b3832068fbbdc65b98fa9b14b6dbf. Hashes are usually used as a way of creating a globally agreed-upon identifier for a particular document that cannot be forged. Encryption: encryption is a process by which a document (plaintext) is combined with a shorter string of data, called a key (eg. c85ef7d79691fe79573b1a7064c19c1a9819ebdbd1faaab1a8ec92344438aaf4), to produce an output (ciphertext) which can be "decrypted" back into the original plaintext by someone else who has the key, but which is incomprehensible and computationally infeasible to decrypt for anyone who does not have the key. Public key encryption: a special kind of encr Continue reading >>

How Ethereum Works - Coindesk

How Ethereum Works - Coindesk

CoinDesk Launches 2017 Year in Review Opinion and Analysis Series Now that we've covered what ethereum is, let's dive deeper into how the platform functions under the hood. Consider the online notebook application described in " What is Ethereum? " Using ethereum, the appdoesn't require one entityto store and control its data. To accomplish this, ethereum borrows heavily from bitcoin's protocol and its blockchain design, but tweaks it to support applications beyond money. Ethereum aims to abstract away bitcoin's design, however, so that developers can create applications or agreements that have additional steps, new rules of ownership, alternative transaction formats or different ways to transfer state. The goal of ethereum's 'Turing-complete' programming language is to allow developers to write more programs in which blockchain transactions could govern and automate specific outcomes. This flexibility is perhaps ethereum's primary innovation, as explained in the guide " How Ethereum Smart Contracts Work ". The structure of the ethereum blockchain is very similar to bitcoin's, in that it is a shared record of the entire transaction history. Every node on the network stores a copy of this history. The big difference withethereum is that its nodes store the most recent state of each smart contract, in addition to all of the ether transactions. (This is much more complicated than described, but the text below should help you get your feet wet.) For each ethereum application, the network needs to keep track of the 'state', or the current information of all of these applications, including each user's balance, all the smart contract code and where it's all stored. Bitcoin uses unspent transaction outputs to track who has how muchbitcoin. While it sounds more complex, the id Continue reading >>

What Is Ethereum? A Step-by-step Beginners Guide

What Is Ethereum? A Step-by-step Beginners Guide

If you want to know what is Ethereum and how it works and what it can be used for, without going deep into the technical abyss, this guide is perfect for you. Important Note: This guide assumes a basic understanding of blockchain technology. If youre unfamiliar with blockchain, check out this step by step introduction for beginners . Beyond Bitcoin & first generation decentralized applications Although commonly associated with Bitcoin , blockchain technology has many other applications that go way beyond digital currencies. In fact, Bitcoin is only one of several hundred applications that use blockchain technology today. [Blockchain] is to Bitcoin, what the internet is to email. A big electronic system, on top of which you can build applications. Currency is just one. Sally Davies, FT Technology Reporter Until relatively recently, building blockchain applications has required a complex background in coding, cryptography, mathematics as well as significant resources. But times have changed. Previously unimagined applications, from electronic voting & digitally recorded property assets to regulatory compliance & trading are now actively being developed and deployed faster than ever before. By providing developers with the tools to build decentralized applications, Ethereum is making all of this possible. At its simplest, Ethereum is an open software platform based on blockchain technology that enables developers to build and deploy decentralized applications. Is Ethereum similar to Bitcoin? Well, sort of, but not really. Like Bitcoin , Ethereum is a distributed public blockchain network. Although there are some significant technical differences between the two, the most important distinction to note is that Bitcoin and Ethereum differ substantially in purpose and capabil Continue reading >>

Orphan, Uncle & Genesis Blocks Explained

Orphan, Uncle & Genesis Blocks Explained

There are many different types of blocks in the cryptocurrency and blockchain technology space, but few people actually understand what they mean. This article is going to highlight and explain the different types of blocks in the cryptocurrency space that you definitely NEED to know. Orphan blocks are commonly associated with Bitcoin . They are valid blocks that meet all the necessary requirements needed to be added to the blockchain , but are however still rejected. Orphan blocks occur when two miners produce a block at similar times. This happens because the acceptance of a block into the blockchain by the nodes on a network does not happen instantaneously, therefore, another miner can in practise, solve for the same exact block. This causes a temporary split in the network as the nodes attempt to decide which block to continue building on. The block with the greater proof-of-work will be the one that the blockchain is continued to be built on-top of. The block with the smaller proof-of-work, is not chosen, and is referred to as the orphan block. An orphan block can also be produced if an attacker attempts to reverse a transaction . Stale blocks are often used interchangeably with orphan blocks because stale blocks are successfully mined blocks that were not included main chain. Therefore, if you see the word orphan block or stale block, be aware they mean very much the same thing. Uncle blocks are commonly associated with the Ethereum blockchain and are the equivalent of orphan blocks, but with a slight difference. Uncle blocks are still valid blocks that were mined, but then rejected. However, unlike with an orphan block where miners are not rewarded for mining them, miners are in fact rewarded for mining an uncle block. The rationale for this is twofold: Promote Continue reading >>

Life Cycle Of An Ethereum Transaction

Life Cycle Of An Ethereum Transaction

Learn How an Ethereum Transaction is Created and Propagated to theNetwork Transactions are at the heart of the Ethereum blockchain (or any blockchain for that matter). When you interact with the Ethereum blockchain, you are executing transactions and updating its state. Have you ever wondered what exactly happens when you execute a transaction in Ethereum? Lets try to understand it by looking at an example transaction. In this post, we will cover the following. An end to end traversal of an Ethereum transaction starting from your browser/console to the Ethereum network and back to your browser/console Understand how transactions work when you use a plugin such as Metamask or Myetherwallet instead of running your own node What to do if you are too paranoid and dont trust any plugins to execute your transaction? This post assumes that you have a basic understanding of Ethereum and its components such as accounts, gas and contracts. Here is a good explanation of these concepts. If you are a developer new to Ethereum, you might find this helpful. You can also learn to build a simple dapp here . This post will make more sense if you have executed few transactions yourself. An example of a transaction is you sending some ether to another person or a contract. Another example is if you have interacted with a dapp. For example, if you go here and buy some tokens, that would be a transaction. If you vote for a candidate, that would be another transaction. 1. End to end overview of an Ethereum transaction Lets take the following contract call as an example and traverse through the entire flow of how this function call/transaction gets executed and gets permanently stored on the blockchain. You can find the entire contract here . At a high level, its a voting contract where you i Continue reading >>

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