"Cryptographic Techniques" TAG

Multi-Signature Address
  • glossary
A multi-signature address is a Bitcoin address that is associated with more than one private key. A multi-signature transaction requires more than one private key to authorize the transaction. These are usually set up as m-of-n addresses, which means m keys out of a total of n keys are required to sign a transaction in...
One-Way Function
  • glossary
A one-way function is a computation that is very easy to perform but very difficult to reverse. Hashes are the most prominent example of one-way functions as they pertain to cryptocurrency. Depending upon the nature of the function involved, the process via which it is implemented, and the hardware involved, running a one-way function can...
Paper Wallet
  • glossary
A paper wallet refers to a storage of a cryptocurrency private key offline on a piece of paper (or sometimes other physical media, such as commemorative coins). Since paper wallets store keys offline, they are considered fairly secure if stored and printed correctly taking adequate security precautions. Bitcoin wallets like Armory provide secure functionality to...
Hash
  • glossary
The process of hashing, in the context of cryptocurrency, means taking a string of arbitrary data of any size and length, and running it through a function that produces an output or “hash” of data of a fixed size. In principle, this is done with a one-way function, that is to say, a computation that...
HD Wallet
  • glossary
An HD, or hierarchical deterministic, wallet is a system that allows an initial seed phrase to govern subsequent key and address ownership. Standard wallets generate both change addresses and new addresses randomly, which creates new private keys for every transaction. In a standard wallet, if a newly generated private key is lost, it cannot be...
Coin Mixing
  • glossary
Coin mixing is a cryptographic technique designed to thwart third party analysis of a token’s ownership and transaction history via mixing-based obfuscation. Using this method, a protocol generates and sends many transactions to many newly generated addresses, often in random amounts and at random intervals, such that, at the end of the mixing process, the...
Cold Storage
  • glossary
Cold storage is a method of storing cryptoassets in which private keys are kept entirely offline in order to minimize security risks to owners. Examples of cold storage include paper wallets, offline hardware wallets (such as a Ledger or Trezor), or physical Bitcoin.
Elliptic Curve Digital Signature Algorithm (ECDSA)
  • glossary
ECSDA is an abbreviation for Elliptic Curve Digital Signature Algorithm, a variant of digital signature algorithms integrating elliptic curve cryptography. ECSDA is used by Bitcoin among other protocols. A Bitcoin address is generated via a ECSDA hash of a public key. One of the primary reasons that ECSDA is used is that it provides a...