Homework on Bitcoin Ecosystem - Questions

[Margaret]

1. An SPV does not store a full version of the blockchain, it accesses other nodes to verify the transactions until it is satisfied that a transaction has occurred
2. It is sent to the other nodes in the network so that they can add it to their mempool
3. Miners scan th e mempoll and pick the transactions with the largest fess to boost their payout should their block be appended to the blockchain

[serge]

1. SPVs do not store a complete version of the blockchain locally but can query other nodes for information and propagate transactions.
2. Transaction is propagated through the blockchain network by the nodes or SPVs.
3. The transaction are picked by a miner from the mempool stored on the nodes with the priority given to the transactions with higher fees.

[Gunnar.Lovett]

1. An SPV can be any kind of device, like a phone, that only stores a part of the blockchain, and when it needs to know the latest version of the blockchain, it just queries a full node, which has the full blockchain at all times.

2. A transaction is broadcasted when it is propagated to other surrounding nodes, once it is broadcasted, it resides in the mempool.

3. The miner chooses transactions from the mempool that have the highest transaction fee attached to them. It is solely based on profit. Money money money baby.

[Sarah]

1. SPV - nodes that do not have the entire blockchain. Its a small node that Trusts the full node to read the blockchain. A node is a computer on the network that checks the validity of transactions and receive new block from miner.
2. Transaction is broadcasted when its sent to nodes but not in blockchain yet.
3. A miner chooses a transaction with the highest fees.

[Cryptojuice]

1. While a full node stores the blockchain in its entirety, an SPV has to query a full node to get relevant information.
2. It means its valid, therefore it gets propagated to the network, more specifically the Mempool to be mined in a block and ultimately added to the chain.
3. Typically by picking the ones with higher tx fees

[Lukas_J]

What is the difference between a SPV (simplified payment verification) and a full node?

A SPV does not store the hole blockchain, instead it queries a nearby node to access the full blockchain record when needed to interact with the chain

What does it mean when a transaction is broadcasted?

It means that a tx has been sent to the network and is now in the mempool for the nodes to see.

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

Miners pick transactions with the highest tx fee.

[filip4900]

1. SPV does not have a copy of the entire blockchain, so connects to a node that does have the full copy to get information/verify transactions
2. Broadcasted = transaction shared among all nodes
3. MIners pick transactions from mempool with highest incentives/fees

[LuMpY7]

@ivan

Homework on Bitcoin Ecosystem - Questions

1. What is the difference between a SPV (simplified payment verification) and a full node?
2. What does it mean when a transaction is broadcasted?
3. How does a miner pick which transactions that gets added to the next block?

1.) SPV is the shorthand that wallets use Full node is the has the entire blockchain info and the wallet must connect to the full node to utilize it.

2.) Transactions broadcast their transaction cypher to the mempool to be picked up in by a miner and added to the block.

3.) Miners choose transactions based on fee to include in their block. There block is selected if it has the lowest Nonce.

[wafflemakr]

@Yir

The miners confirmed and included it in the block chain.

Hi there!! This is when a transaction is confirmed, but broadcast only means that the transaction is sent from the wallet to other nodes, and then propagated through all the network.

[wafflemakr]

@Cryptojuice

It means its valid, therefore it gets propagated to the network, more specifically the Mempool to be mined in a block and ultimately added to the chain.

Well, it does not have to be valid, really. It can be broadcasted, but still get rejected by other nodes later.

[BearsToBulls]

1. What is the difference between a SPV (simplified payment verification) and a full node?
   A: Full payment verification wallets, also called thick or heavyweight wallets, require a complete copy of the blockchain. SPV wallets, also called thin or lightweight wallets, cannot check whether transactions are valid; rather, they can check whether full nodes, specifically miners, have validated them. The goal of a thin wallet is to check that a transaction has been verified by miners and included in some block in the blockchain.
2. What does it mean when a transaction is broadcasted?
   A: An transaction is a transfer of Bitcoin value that is broadcast to the network and collected into blocks. A transaction typically references previous transaction outputs as new transaction inputs and dedicates all input Bitcoin values to new outputs. Transactions are not encrypted, so it is possible to browse and view every transaction ever collected into a block. Once transactions are buried under enough confirmations they can be considered irreversible.
3. How does a miner pick which transactions that gets added to the next block?
   A: Minors will select a transaction with the most bytes or Sat to bytes.

[Samore]

1. SPV’s, such as a Wallet, do not retain a copy of the Blockchain.
2. It is sent to the MemPool awaiting adoption into a Block.
3. The transaction with the highest fee and fewest Bits of data.

[Creator3168]

Homework on Bitcoin Ecosystem - Questions

1. What is the difference between a SPV (simplified payment verification) and a full node?
   A full node contains the entire copy of the blockchain on the device (ie. computer) whereas an SPV contains a portion of the blockchain data locally (ie cell phone) and must query other nodes for the necessary information in order to process the transaction.
2. What does it mean when a transaction is broadcasted?
   A transaction is broadcasted when it is propagated to other nodes on the blockchain network.
3. How does a miner pick which transactions that gets added to the next block?
   A miner generally picks the transactions with the highest fees to be added to the next block.

[cryptopowers]

1. What is the difference between a SPV (simplified payment verification) and a full node?

An SPV lets you validate your transaction without having the full blockchain while a full node has the entire blockchain

2. What does it mean when a transaction is broadcasted?

It means that the transaction has been sent out to the network

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

Miners are free to choose what transaction to mine however will generally select the most profitable transaction.

[patryan]

@ivan

• What is the difference between a SPV (simplified payment verification) and a full node?
• What does it mean when a transaction is broadcasted?
• How does a miner pick which transactions that gets added to the next block?

An SPV is when the wallet only has part of the blockchain information like a smartphone. So it must update its blockchain from nearby nodes.

Once you do a transaction using your wallet then all then this information is passed around to all the nodes who add it to their mempool.

A miner generally chooses the transactions to be added to the next block based on the transaction fee. Whichever one is higher.

[cdurri]

• A full node has an entire copy of the blockchain on it
• An SPV does not have an entire copy of the blockchain and needs to query a full node

• The broadcasting of a transaction is when a wallet begins the propagation of a transaction around the network of nodes

• The miner will query the Mempools of the nodes in the network
• The miner is also a node so they can query their own Mempool
• The miner will choose the transactions that have the highest fees attached to them to fill their block

[vezuchiy]

1. SPV doesn’t store the full information like a node does. SPV can query information from a full node to get updated.
   2.The transaction is valid. The node put this transaction into mempool then miner is picking it up.
2. The transactions with the highest transaction fees.

[Hakim_Craddock]

@ivan

• What is the difference between a SPV (simplified payment verification) and a full node?
  an SPV does not have a complete copy of the blackchain an SPV will talk to nodes to verify blockchain data
• What does it mean when a transaction is broadcasted?
  a UTXO is sent to the mempool from a wallet where it waits to be picked up by a miner, where a miner will solve for the nonce with difficulty based on the level of the target
• How does a miner pick which transactions that gets added to the next block?
  Reward. A miner will pick the transactions that have the highest reward vs size in bytes to include in the next block

…

[Galeman]

@ivan

• What is the difference between a SPV (simplified payment verification) and a full node?
  an SPV does not have a complete copy of the blackchain an SPV will talk to nodes to verify blockchain data
• What does it mean when a transaction is broadcasted?
  a UTXO is sent to the mempool from a wallet where it waits to be picked up by a miner, where a miner will solve for the nonce with difficulty based on the level of the target
• How does a miner pick which transactions that gets added to the next block?
  Reward. A miner will pick the transactions that have the highest reward vs size in bytes to include in the next block

Nothing to add, great explanation by Hakim_Craddock

[lucas]

1. What is the difference between a SPV (simplified payment verification) and a full node?
The aim of a SPV is to verify only the transactions that belongs to a specific private key (user). It is faster and it doesn’t need the full block chain. It needs to query other nodes to retrieve the information (transactions). It is often used in light wallets, usually the ones that are apps in a self phone that haven’t all the resource (disk space and bandwidth) for a full blockchain. SPV apps are in a way less secure that a full node because they need to relay on others to verify the transactions and doesn’t help to make the network more secure (less full nodes = less decentralization).

2. What does it mean when a transaction is broadcasted?
A transaction is broadcasted (propagated) through the bitcoin network (nodes) so it can be processed (mined and added to a block)

3. How does a miner pick which transactions that gets added to the next block?
Usually it process the ones with higher fees from the mempool.