Bitcoin Terms Beginning with E


An early adopter is one of the first individuals or companies to test an innovative product or service. Early adopters are also the first to purchase a new type of asset.

Elliptic Curve Digital Signature Algorithm or ECDSA is a cryptographic scheme for producing digital signatures using public and private keys.

An attack targets particular nodes in a network by surrounding them and obscuring their view of the entire network. The attacker is then able to feed the targeted node false or no information.

An expansion is one of the two parts of a business cycle. An expansion is characterized by an increasing gross domestic product (GDP).

Elasticity is an economic measure of how sensitive one factor or variable is to another. If one factor is relatively unchanged compared to another, it is inelastic. Inelastic factors have a coefficient of elasticity that is less than 1.

Eltoo is a proposed upgrade to Bitcoin whose main goal is to improve layer two solutions, most importantly, the Lightning Network. Eltoo would allow descendant transactions to be signed before their ancestors are published to the blockchain.

The Bitcoin Protocol uses several different encoding schemes to represent data to users. The encoding schemes are chosen based on the data type, in order to optimise for human readability and conserve disk space.

Encryption is the process of converting data into secret, incomprehensible code such that only intended parties are capable of understanding the information. Encryption is used by almost every digital device and service in order to protect data against unauthorized parties or malicious attackers.

End-to-End (E2E) Encryption is a feature of communication networks whose messages are only decipherable by the sender and receiver. End-to-End encryption allows users to communicate securely with others without trusting any third parties.

Equilibrium is the state in which two forces counteract one another in such a way that relative stability is achieved. In economics, equilibrium is the point at which supply and demand meet to determine the price of an asset.

Equity is ownership of anything with value, representing both the assets and liabilities of that ownership. The total shareholders’ equity in a company is the sum of all assets minus all liabilities.

Erlay is an upgrade to Bitcoin Core’s peer-to-peer networking functionality, which decreases the bandwidth used to relay transactions between nodes.

Assets held in escrow are temporarily managed by a trusted third party in order to facilitate a transaction between two other parties. The purpose of an escrow is to provide assurance that both parties will receive the assets they are owed.

The European Central Bank (ECB) administers monetary policy to control the price of goods and services, exchange rates, and reserve ratio across the Eurozone by managing the supply of the Euro available to national central banks.

An exchange is an institution which acts as a market-maker between parties who wish to buy and those who wish to sell. Exchanges simply facilitate trades between parties for a fee.

An exchange traded fund (ETF) is a type of security that tracks an index, sector, commodity, or other asset. An ETF can be bought and sold on a stock exchange. An ETF can be structured to track a single asset or multiple. Most ETFs are structured to track specific investment strategies.

Executive Order 6102 banned the private ownership of gold in denominations over $100 and forced American citizens to relinquish privately owned gold to a Federal Reserve bank.

The expected return of an investment is the anticipated profit or loss an investor can expect from an investment. The expected return of an investment is calculated by multiplying all of the potential outcomes by their probability of occurring and then summing the results.