Bitcoin Terms Beginning with V

A variable cost is a business expense that changes in direct proportion with the quantity of goods produced. Changes in production output will impact variable costs.

A vByte is a unit of measure for the weight of blocks and transactions. A vByte is equivalent to 4 weight units, and thus, a block is limited to being 1 vMegabyte large, or 4 million weight units.

Legitimate currency must be easily and quickly verifiable to individuals and merchants. Verifiability is important to maintaining trust in the currency and avoiding risk of financial loss to individuals and businesses conducting transactions.

Virtual currency is a legal term for a digital representation of value that can function as a unit of account, medium of exchange, and store of value.

Volatility is a measure of an asset’s variation in price over time. A volatile asset's price fluctuates significantly over a short period of time. Volatility is often confused with risk.

Volume is a measure of how much an asset is being traded on financial markets. Larger volumes tend to indicate greater liquidity in a market.

VWAP is the measure of an asset’s volume-weighted average price. An asset’s volume-weighted average price (VWAP) is calculated by taking the average of every trade in a specified time period.

vSize is a measure of the size of a block, measured in weight units. The Bitcoin protocol limits blocks to 4 million weight units, equivalent to a maximum of 4 megabytes.