Homework on Bitcoin Ecosystem - Questions

Blockchain and Bitcoin 101
#844
  1. A full node stores the whole bitcoin blockchain while SVPs only store a part of the data and need a full node to validate.
  2. It means, that a transaction is put into the mempool.
  3. The miner picks the transactions with the highest rewards (fees) first.
#845

  1. Full node has a full copy of the blockchain while a SPV does not. So a SPV needs a full node to check the blockchain.

  2. Is means that it is propagated among all nodes. Once a miner picks up the transaction which has been broadcaster it gets put into a block and will be confirmed if valid.

  3. A miner picks the transactions with the highest transaction fee.

#846
  1. SPV does not store all UTXO data and is usually utilized by something like a cell phone…an SPV will need to contact a full node to get all the data for verification
  2. picked up by surrounding nodes and entered into their list of transactions also
  3. firstly, the ones with the highest incentives/fees
#847
  1. What is the difference between a SPV (simplified payment verification) and a full node?
    Answer: A SVP (simplified payment verification) does not has not a full copy of the blockchain and has to query a full node to verify a transaction.
  2. What does it mean when a transaction is broadcasted?
    Answer: That the transaction is propagated to the network of nodes.
  3. How does a miner pick which transactions that gets added to the next block?
    Answer: A miner selects the transactions with highest fees per bit from the mempool
#848 
What is the difference between a SPV (simplified payment verification) and a full node?

A full node has a copy of the blockchain and can verify transactions. A SPV has to connect to a full node to verify its transactions from the blockchain.

What does it mean when a transaction is broadcasted?

It is propagated through the network so all nodes will have the same version of truth.

How does a miner pick which transactions that gets added to the next block?

Miners pick from what’s in the mempool. To reap the most profit a miner will select transactions with the highest fees.

#849
  1. SPV doesn’t have copy of the blockchain hence it interacts with other nodes to validate info until is happy
  2. it is replicated accross the different nodes and accepted
  3. based on the transaction fees (it takes the higher to maximize gains)
#850
  1. SPV does not store all UTXO data and is usually utilized by smaller hardware like a cell phone. An SPV will need to contact a full node to get all the data for verification
  2. picked up by surrounding nodes and entered into their list of transactions also
  3. the transactions with the highest incentives/fees
#851

1.SPV does not have the entire copy of the blockchain and verifies information through full node.
2.A transaction is sent and propagates through the network
3.Minners prefer transactions with higher fees so they are chosen first

#852

  1. A full node has a copy of the whole blockchain, and a SPV has to query the blockchain from a node. You only run a full node on a desktop, a SPV is run on other devices, like cellphones.

  2. It means that a copy of the blockchain, including new blocks, are sent from node to node, through the network.

  3. The miner will pick transactions from the mempool with the highest fee.

#853

1. What is the difference between a SPV (simplified payment verification) and a full node?
A full node has the full copy of the blockchain. It has bigger storage capacity (such as a computer) in order to be able to store the full blockchain.
The SPV is a node which doesn’t have the full blockchain. It only contains a portion of the blockchain due to space constraints (such as a cellphone). It can dial up and query different nodes until it is satisfied that it has the correct information. Different SPV’s can have different parts of the blockchain.

2. What does it mean when a transaction is broadcasted?
When a transaction is broadcasted, it means that a wallet has created and signed a transaction and distributed it to the network for verification.

3. How does a miner pick which transactions that gets added to the next block?
Miners will choose the transactions with the highest fees

#854
  1. A full node has a copy of the blockchain but an SPV is just a vehicle for the transaction…
  2. It is distributed to the other nodes.
  3. The miner checks the mempool and selects the one with the highest fees in order to make more profit.
#855

  1. What is the difference between a SPV (simplified payment verification) and a full node?
    A SPV does not have a copy of the block chain to pull tx from mempool. it must communicate the a full node in order to validate tx.

  2. What does it mean when a transaction is broadcasted?
    the node sends a copy of the tx to all the nodes on the network (propagation) which validated the tx.

  3. How does a miner pick which transactions that gets added to the next block?
    Miners choose from the tx in the mempool that have the highest fees.

#856

  1. An SPV reads from a full node to determine if you have the UTXOs to transact with.

  2. It means that the transaction is sent to the nodes on the network to wait for validation from a miner and to be added to the next upcoming block.

  3. Based on fees. The higher the fees the greater the chance the transaction will be picked by a miner.

#857

An SPV comes from a phone or app that does not have the full blockchain/ all theon it.

#858
  1. A SPV comes from a phone or app that does not have the full blockchain on it.
  2. When a transaction is broadcasted it means propagated to all the nodes see it and come into agreement and sync it across the network.
  3. A miner picks transactions from the mempool, and takes the ones with the highest transaction fees.
#859
  1. The difference between a SPV and a full node is that an SPV does not have a copy of the blockchain and needs to connect to the node to get the information. The node has the entire copy of the blockchain, verify it is correct and verify transactions.
  2. A transaction being broadcasted means it is propagated to all of the nodes or spread to all of the nodes like gossip.
  3. A miner picks transactions from a mempool and chooses the ones with the higher transaction fees.
#860

  1. A full node needs to keep a full copy of the current blockchain. An SPV is a smaller node that will query the blockchain of a full node, but will only verify that the user’s UTXOs are in a block and that the block is being added onto.

  2. Broadcasting is just spreading the word to other nodes in the network about a transaction occurring.

  3. Miners will typically choose transactions with the highest fee in satoshis per byte of space that the transaction will take up in the block.

#861
  1. SPV’s only store transactions and have to communicate with full nodes as they hold entire copy of blockchain.
  2. Transactions are shared amongst full nodes on the network.
  3. The ones with the highest fees.
#862
  1. SPV wallets don’t store all UTXO data and must get data from full node.
  2. Full node shares transaction with other full nodes
  3. Miner perfers transactions with more sats/byte
#863
  1. SPV stands for simple verification payment where someone does not access the full blockchain [eg using mobile phone] but a part, and therefore needs to refer to other nodes [tend to run on desktops] to complete verification
  2. It means it that the transaction has been propogated to other nodes for syncing across the blockchain as part of verification
  3. A miner will tend to prioritise the transactions with higher fees as he is competing with other miners