Bitcoin Terms Beginning with E

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).

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.

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 a proposed upgrade to Bitcoin Core’s peer-to-peer networking functionality, which would decrease 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.

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.