Digital Currency Flashcards
1
Q
Define digital currency (3)
A
form of payment
transfers money from accounts in transactions
exists in electric form only
2
Q
Examples of digital currency (2)
A
Paypal
Credit cards
3
Q
Define blockchain (2)
A
decentralised database
time-stamped series of permanent records
4
Q
What does a block contain (3)
A
Data
Hash value
Previous hash value
5
Q
What is the genesis block
A
first block
6
Q
How does blockchain work (3)
A
new block created when transaction occurs
new hash value created when new block created
hash value includes timestamp
7
Q
What is a hash value
A
unique value generated by an algorithm
8
Q
What happens when a block is changed (2)
A
changed data will cause hash value to change
next blocks invalid since chain is broken
