Homework on Bitcoin Ecosystem - Questions

  1. A SPV is a lesser node because it has only a private key but not a blockchain. The full node has bothe a private key and blockchain. A SPV can create a transaction because it has a private key but cannot broadcast it to the network and must seek assistance of a full node which also has a blockchain.

  2. A transaction is propagated to all nodes in the network ready for miners to pick it up and add to their mempool.

  3. A miner is out to make more money and therefore it is inclined to pick the transaction with the highest fee. The miner is rewarded through block rewards which is the same for everyone (6.5 bitcoins) and TX fees which varies.

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  1. What is the difference between a SPV (simplified payment verification) and a full node?
  • SPV node will quarry data from full nodes and just store a small portion of the blockchain.
  1. What does it mean when a transaction is broadcasted?
  • Transaction is sent to nodes and propagated trough the network where it’ll be stored in the mem-pool
  1. How does a miner pick which transactions that gets added to the next block?
  • Miners would usually pick transactions with the highest transaction-feed
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1- spv are small version of nodes or query (containing some utxo’s) of a full node containing partial blockchain. It collaborates with multiple queries to form a larger node to read a transaction
2- transaction is bradcasted means a POW is distributed to other nodes which in turns keeps an updated ledger among the node network
3- miners pick transactions that have higher transaction fees per byte and possibly from mempool as well and higher hash rate

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

SPV runs a partial version of the blockchain, usually for mobile devices, a full node, has the entire blockchain which is usually for computers and laptops. SPV can also get data updates on the latest blockchain

  • What does it mean when a transaction is broadcasted?

That the transaction has been added and distributed throughout the network.

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

A miner usually picks the transaction with the highest transaction fees. Protein.

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  1. A full node have the complete version of the blockchain where as SVPs only have a portion information of the blockchain. But a SPV can query information from a full node to get updated.

  2. When a new TX being broadcasted it is propagated throughout the blockchain network.

  3. The miner picks transactions from a mempool and chooses the ones with the higher transaction fees.

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1)an spv doesn’t hold a copy of the entire blockchain and is just reading this copy from the nodes
2)(not sure) a transaction that was propagated through the network
3)the ones with the highest fee

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Ans.1)
The difference between a simplified payment verification and a full node is that the SPV doesn’t have a record of the blockchain. It must reference the node which holds the full blockchain record in order to verify transactions.
Ans.2)
This means that the transactions that are majority validated and verified are then disseminated or broadcasted to the rest of the network. All records are updated with the new block data additions.
Ans.3)
Primarily the miner will choose the highest paying fees first. They do this because it increases there return for their energy spent noncing the block.

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  1. What is the difference between a SPV (simplified payment verification) and a full node?
    A SPV doesn’t have a the full version of the blockchain by itself, the node has the full version of the blockhain. The SPV queries the latest updates of the blockchain from the node.

  2. What does it mean when a transaction is broadcasted?
    When a transaction is broadcasted it gets in the mempoold and may be put in a block by the miners.

  3. How does a miner pick which transactions that gets added to the next block?
    Usually the miners pick the transactions that pay a higher fee to andd into the blocks that they want to mine.

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1/ SPV is not a full version of the blockchain and used by mobile phones, whereas the full node has a full copy of the blockchain.
2/ A transaction broadcast means all nodes on the network are propagated with the most up-to-date block(s).
3/ Miners select transactions from the mempool, typically those with the highest transaction fees (i.e. those paying the most satoshi/byte.

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  1. Full nodes have a copy of the entire blockchain locally whereas SPV’s have only a portion of the blockchain.
  2. Transactions have been broadcasted when they are received by a node into the mempool, put into a block by a miner, and is visible throughout the blockchain.
  3. Miners are financially incentivized to pick transactions to add to the next block based on higher fees (sats per bit).
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You are mixing tx propagation and block propagation. When a transaction is propagated it is broadcasted to other nodes in the network so they can put in in their mempool. :slight_smile:

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1- A SPV doesn’t have a copy on the blokchain it has to enquire a full node.
2- it mean it has been sent to the nodes.
3- The miner will pick first the the transactions with the highest fees.

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1.A SPV needs to communicate with a full node in order to have the full version of the blockchain, when a full node has all the version of the blockchain in itself.

  1. It means that it is spreads from node to node on the complete network.

3.He picks the transactions from the information from the network, but he is incentivised to take primarely the transactions with the highest fees.

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  1. SPV can`t contained full blockchain and it will request data from several nodes to verify transactions
  2. it means a wallet submitted data to nodes for inspection and future mining
  3. random, but prefer transactions with highest fees first
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  1. What is the difference between a SPV (simplified payment verification) and a full node?
    A full node contains the entire blockchain. An SPV node only downloads block headers which contain much less data than full blocks. An SPV node is able to verify if a transaction is included in the blockchain by communicating with a full node.

  2. What does it mean when a transaction is broadcasted?
    By broadcasting a transaction it means that the transaction is distributed to every node in the network.

  3. How does a miner pick which transactions that gets added to the next block?
    A miner will try to pick transactions which have the highest fees associated with them. If the miner is the first to perform POW on the completed block, the the miner will earn those fees.

[quote=“ivan, post:1, topic:8444, full:true”]
Homework on Bitcoin Ecosystem - Questions

  1. What is the difference between a SPV (simplified payment verification) and a full node?
    A full node keeps a complete copy of the block chain with all the transactions and can verify transactions and put on the blockchain.
    A SPV node operates without the full blockchain and rely on peers to provide parts of the blockchain

  2. What does it mean when a transaction is broadcasted?
    the transaction is accepted by a node and he propagates it through the network

  3. How does a miner pick which transactions that gets added to the next block?
    He picks the transaction with the highest fees first

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  1. What is the difference between a SPV (simplified payment verification) and a full node?
    An Spv doesn’t have a full register of the blockchain and need to be connected with a node that have a full register
  2. What does it mean when a transaction is broadcasted?
    Will mean than this transaction was verified by all the network
  3. How does a miner pick which transactions that gets added to the next block?
    Miners choose high fee transaction
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  1. What is the difference between a SPV (simplified payment verification) and a full node?
    A. A SPV is a node that does not have a full version or copy of the blockchain. (smartphone)
    A Full Node has a full copy of the blockchain. (desktop)

  2. What does it mean when a transaction is broadcasted?
    A. Transactions are sent from node to node throughout the network

  3. How does a miner pick which transactions that gets added to the next block?
    A. Based upon the highest fee’s in relation to least amount of bytes of data.

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  • What is the difference between a SPV (simplified payment verification) and a full node?
    An SPV doesn’t hold the entire blockchain but rather only some of the most recent blocks. The SPV depends on a full node to fully verify the validity of the blockchain. Mobile wallets tend to us SPVs
  • What does it mean when a transaction is broadcasted?
    When a transaction is brodcasted it is transmited to the SPV or node linked to the wallet so that it can be verified and added to the mempool
  • How does a miner pick which transactions that gets added to the next block?
    minners usually look for the transactions with a higher fee, for them its better to have smallet transactions in bit size and higher fees
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  1. SPV is a trust of a full node. Has your private key, but not a full copy of blockchain.
  2. It has been confirmed and added to all nodes.
  3. Miners pick the higher fee transactions first.
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