Homework on Bitcoin Ecosystem - Questions

Blockchain and Bitcoin 101
#162

  1. The SPV does not have a full version of the blockchain, connection to the network is necessary to the get data from a full node.

  2. a full node distributes th data transactions with other full nodes.

  3. miners prefer transactions with the largest fees.

#163
  1. What is the difference between a SPV (simplified payment verification) and a full node?
    a noge has a copy of the full blochain, the spv need to use a node to get the chain if needed
  2. What does it mean when a transaction is broadcasted?
    its out on the blochcain and is a valid transaction
  3. How does a miner pick which transactions that gets added to the next block?
    picks the transaction from mempool and takes the one with hight fees
#164

  1. The difference between an SPV and a full node is that and SPV must rely on or trust a full node in order to view a copy of the blockchain. This means that an SPV does not locally store an updated version of the blockchain.

  2. When a transaction is broadcasted, it is being passed along from node to node as an approved transaction before it is upended into the blockchain.

  3. A miner most often picks the transactions with the highest transaction fees to enter into the next block so that their profit can be maximized once they guess the right nonce.

#165
  1. What is the difference between an SPV (simplified payment verification) and a full node?

A simplified payment verification is in effect a small node, such as a mobile phone, that is not directly connected to the network but is linked to a full node (such as a computer). An SPV wouldn’t be able to verify transactions on the blockchain itself but instead needs to pass through the full node in order to do so. This is due to the SPV not holding a full version of the blockchain.

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

A wallet would broadcast a transaction when it wants to place the transaction on the blockchain for verification. This would be passed to all the nodes in the network until such verification.

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

For each block a miner would pick the transactions with the highest transaction fees first as these would go directly to the miner.

#166

1. What is the difference between a SPV (simplified payment verification) and a full node?
An SPV is a small node which does not have the entire copy of the blockchain so needs to communicate with a full node for transactions. A full node is a computer on the network with a full copy of the blockchain.
2. What does it mean when a transaction is broadcasted?
This is the sending of the information of a new block being added to the blockchain to nodes so that nodes update their copies of the blockchain.
3. How does a miner pick which transactions that gets added to the next block?
A miner can pick based on transaction fee.

#167 
What is the difference between a SPV (simplified payment verification) and a full node?

SPV does not need the full download of the blockchain to verify a payment. A full node have a full copy of the blockchain.

What does it mean when a transaction is broadcasted?

It means that it is sent to the red of the nodes.

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

The miners usually pick the txs with higher fees.

#168

  1. An SPV is a smaller node that trusts a full node for information.

  2. It means that it gets brodcast to other nodes that then spred the word to other nodes still.

  3. The miner asks a node for information.

#169

1- SPV only contains part of a full node, it’s only have information related to the address
2- when the transaction is propagated to all the nodes.
3- The miner will usually choose the transactions from the mempools especially the ones with the highest fees. Note that the miners can also have they own mempools where they will choose their transactions from.

#170
  1. An SPV does not have copy of the blockchain, it will have to connect to the full node to get the information. A full node has the entire copy of the blockchain.
  2. A transaction being broadcasted means it is propogated to all the nodes, after miner solves the puzzle.
  3. A miner picks transactions with highest transaction fees from the mempool
#171

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

So if my notes are correct an SPV is actually a smaller version of a full node. Full nodes are actually the miners or people who have the wallets on desktop running the full node. SPV’s are actually only wallets that keep only part of the blockchain node and keep up with the actual transactions they need to be updated to saw. Full nodes and SPV’s must be able to communicate.

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

When a transaction is broadcasted it means only that somebody has compiled a transaction on his wallet and has send it to the network to get confirmed but until it is confirmed and valid it stays broadcasted on the mempool

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

They miners mostly try to find the transactions with the highest fees so his actuall bonus for solving the block is as high as possible. Miners calculate satoshis/ Bytes. So if a transaction takes less space than another transaction and both have set the same fee, the smaller in space transaction goes first because it has actually better fee payment.

1 Like
#172

ivanLeader

Jun '19

Homework on Bitcoin Ecosystem - Questions

1. What is the difference between a SPV (simplified payment verification) and a full node?
- An SPV does not have the entire blockchain and therefore the smaller node trust the larger node data who has the full blockchain.
2. What does it mean when a transaction is broadcasted?
- A signed tx is broadcasted or proagated to the bitcoin blockchain network for validation and confirmation.
3. How does a miner pick which transactions that gets added to the next block?
- Miners usually pick tx’s that have the highest rewards/fees which have a binary representation, rather than based on Satoshi’s, or Satoshi’s per byte.

#173

1. What is the difference between a SPV (simplified payment verification) and a full node?
SPV store relevant data to the address managed for him, requires a full node to interact with the blockchain.
Full node store locally the blockchain, interact directly with it.

SPV just create a transaction form and ask a full node to propagate it for him.

2. What does it mean when a transaction is broadcasted?
Transaction is propagate it through the network and send it to the mempool.

3. How does a miner pick which transactions that gets added to the next block?
The higher fee always win. So the block on the mempool with the most higher fee, will always be the 1st to mine.

#174

[quote=“ivan, post:1, topic:8444”]
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 complete blockchain ledger. SPV constructs the transactions and broadcasts it to the network and will be put in the mempool of the nodes.
  2. What does it mean when a transaction is broadcasted?
    propagated through the network and put in the mempools
  3. How does a miner pick which transactions that gets added to the next block?
    The miners pick the transactions with the highest fees. Then they solve the puzzle and added to the blockchain. So can propagated (copied) on all the nodes in the bitcoin network.
#175
  1. What is the difference between a SPV (simplified payment verification) and a full node?
    A full node has copy of the full blockchain, whereas a SPV doesn’t. It is a mobile wallet
    app that must broadcast its transaction to a node.
  2. What does it mean when a transaction is broadcasted?
    The transaction has been output from a wallet and is waiting to be verified by a node and put into a mempool.
  3. How does a miner pick which transactions that gets added to the next block?
    They would prioritize by taking ones that come with the highest fees.
#176
  1. spv doesnt have a full version of the blockchain it simply checks a full node.
    2.it means the tx is sent to the mempool to be picked up by miners depending on the fee.
    3.by the fees they choose, the highest fees first because ppl like money
#177

SPVs don’t carry ledger, they check with nodes
broadcast means nodes sending transactions or blocks over network
miners pick by fee

#178
  1. What is the difference between a SPV (simplified payment verification) and a full node?
    A method for verifying if particular transactions are included in a block without downloading the entire block.
  2. What does it mean when a transaction is broadcasted?
    All the nodes on the network gets the transaction.
  3. How does a miner pick which transactions that gets added to the next block?
    The transaction is picked from the mempool. The transaction with the highest fee gets into the next block.
#179

  1. the difference is that a spv does not have a complete copy of the blockchain and there will ask a full node for reassurances that the transaction is valid and not a double spend.

  2. A broadcasted transaction is a signed transaction created by a users wallet. it is then propagated to the nearest nodes. these nodes will verify that the transaction is valid and add it to a list of non confirmed transactions (called a mempool). once a miner receives the transaction either by quarrying a node or by its own mempool list it is then added to a block and confirmed.

  3. Generally a miner will pick the transactions from a mempool with the highest transaction fees in order to make max profit.

#180 
**1. What is the difference between a SPV (simplified payment verification) and a full node?**

The difference between a SPV and a full node is that a full node has a version of the whole blockchain stored but a SPV doesnt have the version of the blockchain stored because of the low capabilities of the device of the SPV and so when a transaction happens the SPV must communicate with different full nodes so it can validate and confirm your transaction.

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

That means the transaction got validated from the Full Nodes and it has been send to the Mempool. Then depending on the transaction fee, it will be selected from a miner to be included in his Tx list.

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

Mostly miners pick transactions to insert in the next block with the higher transaction fee. Thats one of the rewards he gets when his block got accepted from the network.

#181
  1. An SPV doesn’t have the all blockchain copy but for transactions he communicates with nodes.
  2. A broadcasted transaction means that she is sent to the nodes in the network and waits in the mempool to be appended to the next block.
  3. A miner choose first the transactions who pay the highest fee.