Homework on Bitcoin Ecosystem - Questions

Blockchain and Bitcoin 101
#1386
  1. SPV retrieves detailed transactions history on demand rendering dependent on full nodes to operate, a full node has the complete history.
  2. when it is processed and added to the blockchain being part of it.
  3. usually they pick the transaction most valuable in fees.
1 Like
#1387
  1. SPV doesn’t have a copy of the blockchain
    2.it is set to all the nodes
    3.transaction with the highest fees as that is also a reward for the miner
1 Like
#1388
  1. The difference between a SPV and a full node is that an SPVis a part of the blockchain without all the feature of it. It needs to be connected to the network to get all the information from nodes. The nodes will accept it after verification.
  2. A transaction being broadcasted means it is propagated to all of the nodes or spread to all of the nodes on the blockchain
    .3. A miner picks transactions from a mempool and keeps the ones with the greater transaction fees.
1 Like
#1389

Transactions first get broadcasted to the network, so a miner can see it an put it in a block :slight_smile:

#1390

You mean the network? Since its not yet part of the blockchain :slight_smile:

1 Like
#1391
  1. A SPV not stores the whole version of the blockchain, it just make a query to the network (in this case to one or more full nodes) in order to verify a payment transaction. A node locally stores its version of the blockchain that keep updated with all the new broadcasted blocks . A node also verify transaction that are put into the mempool. Miner is a type of node that also create new block.
  2. Means that information about each new transactions, are shared along all network’s element. Each new transaction as unconfirmed transaction is firstly confirmed by the nodes and then verified by the blockchain itself (as a transaction inserted into a block belonging the longest chain).
  3. Usually firstly miners pick transaction up from the mempool with higher fees because a part from the block reward, incentives come from the sum of all transaction fees they put into a block.
1 Like
#1392

  1. The SPV is a small node that must quarry a full node in order to receive the entire blockchain. A full node have a local version of the blockchain.

  2. When a node verifies a transaction and puts the transaction into the mempool it is then a broadcasted transaction where it waits to be picked up by a miner.

  3. A miner will pick the transaction with the highest transaction fee try to solve the cryptographic puzzle. Once the nonce is found then the miner will add the block.

1 Like
#1393

  1. What is the difference between a SPV (simplified payment verification) and a full node?
    A full node has the a copy of the entire blockchain on the network. SPV’s do not have the blockchain. SPV’s have to call to the full nodes to get the data of the blockchain.

  2. What does it mean when a transaction is broadcasted?
    When transactions are broadcasted, this means that they are propagated to all of the nodes globally.

  3. How does a miner pick which transactions that gets added to the next block?
    A miner picks transactions that have the highest fees. These transactions come from the mempool.

1 Like
#1394

Thank you for that distinction. :slightly_smiling_face:

1 Like
#1395

What is the difference between a SPV (simplified payment verification) and a full node?
A full node have a complete version of blockchain running in it whereas SPV is the version of particular transaction . Mobile wallets uses SPV version and they need to get the data from full nodes when required .

What does it mean when a transaction is broadcasted
It means that the wallet has checked the blockchain for you to have UTXO’s for you to spend and send it to the nodes to prapogate.

How does a miner pick which transactions that gets added to the next block?
The miners usually pick the nearest node and the transactions with a higher transaction fee in it .

1 Like
#1396

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

A full node keep a complete copy of bitcoin blockchain with all the transactions. SPV does not have a copy of the blockchain, SPV is a piece of software that connects to full nodes to interact with the blockchain

What does it mean when a transaction is broadcasted?

Full node propagates transaction through the network.

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

The miner picks tx from the mempool and the miner choose the tx with higher fee.

1 Like
#1397

Thanks for the clarification @Alko89 :slight_smile:

1 Like
#1398
  1. An SPV doesn’t have a copy of the blockchain it needs a full node which has the complete blockchain.
  2. It means that it is distributed through to all the nodes in the network.
    3.The miner goes into the mempool and looks for the transactions that have the highest fee because miners love money.
1 Like
#1399

1. What is the difference between a SPV (simplified payment verification) and a full node?
the SPV only communicates with the chain and does not contain a copy of the chain. ie. SPV can be on a mobile phone.
2. What does it mean when a transaction is broadcasted?
when a transactions is published to the mempool as a valid transactions and shared with other nodes.
3. How does a miner pick which transactions that gets added to the next block?
he usually looks in the mempool and picks the transaction with the highest fees to earn.

1 Like
#1400
  1. What is the difference between a SPV (simplified payment verification) and a full node?

An SPV does not carry the full blockchain. An SPV therefore does not need to be as large and so can be used on a mobile device. The SPV will query the blockchain by asking multiple nodes.

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

The wallet has create a TX using UTXOs and has signed for the TX using the private key. TX is then passed to a node which will propogate the TX across the network of nodes.

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

The miner is incentivised by making money and so will chose TX with highest fees. The miner will consider how many sats can be made per bit and so will choose TXs that earn the most sats per size the TX takes up in its block.

1 Like
#1401
  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. A full-node always connects to the blockchain network and has the entire blockchan data in order to validate transactions. A SPV is a lightweight node that can verify transaction fast by querying a full node without having the entire blockchain data.
  2. A transaction is broadcasted, means that a transaction data is sent from a wallet to a node for verification before being added to the mempool.
  3. A miner picks the transactions with highest fee first.
1 Like
#1402

SPV has not access to the blockchain it has to trust on a full node on the network to verify its content

All nodes on the network get info. on the specific. transaction

He picks the one with the highest fee S/B

1 Like
#1403

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

  1. An SPV does not have a full copy of the blockchain. But it requests infromation from a node that does have a full copy of the blockchain.

    What does it mean when a transaction is broadcasted?
    It has been confirmed and appended to the network.

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

The miner is desperate to make money so it will choose the transactions with the highest fees first.

1 Like
#1404
  1. What is the difference between a SPV (simplified payment verification) and a full node?

An SPV is a type of node which does not have a full copy of the blockchain, but instead, queries the network for a full node to verify transactions.

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

Copy of valid transaction is sent (broadcasted) to the other nodes in the network.

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

Mining is a money-making opportunity, so miners will prioritize transactions with higher fees.

1 Like
#1405
  1. A full node contains the whole blockchain and the transactions in it, while the SPV contains just a portion of it. An SPV is designed to work on tablets and phones with low storage. SPVs download only the block headers and not the transactions in them.They use the merkle path to add a transaction to a block. to make sure a transaction goes through it is better to use a full node.
    2.it means it is accepted into the block.
    3.The miner goes for the transactions with the higher fees, because when it’s block it’s accepted into the chain, he will get the transaction fees and the inflation. so a miner picks the transactions with the higher fees to get more money at the end.
1 Like