Definition of Difficulty

Difficulty

By CoinGecko | Updated on Mar 03, 2020

In the context of Bitcoin's proof-of-work system, the difficulty is a relative measure on how difficult it is to correctly guess a new block though the mathematical equation performed. In Bitcoin, the difficulty is adjusted periodically based on the amount of hashing power (computing power) on the network.

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Related Terms

Virtual AMM (vAMM)

The vAMM functions similarly like an AMM but does not contain an actual asset pool.

Burned Tokens

Tokens which have been sent to addresses whose private key are not known, effectively becoming unusable.

Stale Block

Double mined blocks that are not included in the blockchain.

Genesis Block

It is the first block of data that is processed and validated to form a new blockchain, typically called as 'block 0' or 'block 1'.

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