Two Factor Authentication is an extra layer of security that requires not only a password and username but also something which only the user can access such as an SMS to their phone or Google Authenticator. It is a security process in which the user provides two different authentication factors to verify themselves to better protect both the user's credentials and the resources the user can access. In case of unauthorized access to an email account and it was used to reset your Paxful password, with 2-Factor Authentication (2FA), it becomes easier to add another layer of security. If you have 2FA enabled only you will be able to have access to your funds and release trades, that is if you set 2FA for Login, Withdraw and Release.
"Altcoin" is a combination of two words: "alt" and "coin"; alt signifying 'alternative' and coin signifying (in essence) 'cryptocurrency.' Thus together they imply a category of cryptocurrency that is alternative to the digital currency Bitcoin. Many of the altcoins are built upon the basic framework provided by Bitcoin.
An application programming interface, or API, is a "go-between" that enables a software program to interact with other software. In the context of trading, an API often refers to the interface that enables your software to connect with a broker to obtain real-time pricing data or place trades.
An API is for developers or businesses that want to create applications to connect with Paxful.
Application programming interfaces (APIs) are a way to connect with Paxful even more. For more information, click here.
Authy delivers a robust API and app that helps you secure users and future proof your business. Two-Factor Authentication is a very secure way to protect your online accounts. It works by requiring you to identify yourself using two different things when you log-in to a site.
BCC, BCH or Bcash
BCC, BCH or Bitcoin Cash is a peer-to-peer cryptocurrency. It is fully decentralized, with no central bank and requires no trusted third parties to operate. It was created in August 2017, arising from a fork of Bitcoin Classic. Bitcoin Cash increases the size of blocks, allowing more transactions to be processed.
Paxful does not support Bitcoin Cash blockchain at the moment. Paxful do not support forks and do not process any reversals.
A technical design document providing information to the bitcoin community, or describing a new feature for bitcoin or its processes or environment which affect the Bitcoin protocol.
A type of digital currency in which encryption techniques are used to regulate the generation of units of currency and verify the transfer of funds, operating independently of a central bank.
Bitcoin address types
There are three bitcoin address formats currently in use:
- P2PKH addresses which begin with the number 1.
- P2SH addresses starting with the number 3.
- Bech32 addresses also known as "bc1 addresses" starting with bc1.
Example: bc1qar0srrr7xfkvy5l643lydnw9re59gtzzwf5mdq. Bech32 is supported by the majority of software and hardware wallets, but only a few exchange platforms. Bech32 is more efficient with block space.
Paxful Wallet allows withdrawals to P2PKH, P2SH, and Bech32 addresses.
- P2PKH addresses which begin with the number 1.
Bitcoin price equations
Bitcoin price equation is an opportunity to update the price in your offer with the price fluctuations of Bitcoin on a specific exchange platform. This is an option to choose a rate from any other Bitcoin exchanges and use it for your sell or buy offer. To customize the price equation you select your market data source and modify it using price points.
Bitcoin wallet address
A set of letters and numbers which bitcoin can be sent to and from. A bitcoin address can be shared publicly, and like sending a message to an email address, a bitcoin address can be provided to others that wish to send you bitcoin.
Here is an example of how it looks like 3F1tAaz5x1HUXrCNLbtMDqcw6o12Nn4xqX
A wallet address can be also presented as a QR code.
BitGo is a Bitcoin security platform and a pioneer of multi-sig technology. The company offers a multisignature bitcoin wallet service, where keys are divided among a number of owners to manage risk.
A collection of Bitcoin transactions that have occurred during a period of time (typically about 10 minutes). If the blockchain is thought of as a ledger book, a block can be considered as one page in the book.
Block chain, blockchain
The Bitcoin block chain is a public record of all Bitcoin transactions. You might also hear the term used as a “public ledger.” The block chain shows every single record of bitcoin transactions in order, dating back to the very first one. The entire block chain can be downloaded and openly reviewed by anyone, or you can use a block explorer to review the block chain online.
A block explorer is a program or website accessible through a compatible browser that allows a user to search and navigate the blocks of a blockchain, their contents, and their relevant details.
When a block is successfully mined on the bitcoin network, there is a block reward that helps incentivize miners to secure the network. The block reward is part of a transaction which may also include transaction fees. The block rewards halve roughly every four years; see also “halving.”
The Bitcoin block mining reward halves every 210,000 blocks, next time the coin reward will decrease from 12.5 to 6.25 coins.
There is an internal agreement within Paxful, that the buyer is a party that BUYS bitcoins in a trade. Technically, it is up to the buyer to follow the offer terms and instructions provided by the vendor very carefully (or it could be used against them if the trade will be disputed). As a buyer, your job is done as soon as you provide all that the vendor needs. You just need to wait for the bitcoins to be released from the escrow into your Paxful wallet.
A receipt or bill that you get in a store, which shows that your product has been purchased by cash. Some bitcoin sellers may require it to avoid credit card fraud.
A charge card is (can be debit or credit) a card that provides a payment method enabling the cardholder to make purchases which are paid for by the card issuer, to whom the cardholder becomes indebted. The cardholder is obligated to repay the debt to the card issuer in full by the due date, usually on a monthly basis, or be subject to late fees and restrictions on further card use. Payments made with such card called charges.
The reversal of bank payment, credit card charge or money transfer after it was authorized and processed. More here
Coin Locking or a coinlock. Holding seller's bitcoin in a trade escrow without an intention to make payment and complete the trade. A common case of bitcoin fraud.
A bitcoin wallet that is in cold storage - a hardware not connected to the internet.
A bitcoin transaction is considered unconfirmed until it has been included in a block on the blockchain, at which point it has one confirmation. Each additional block is another confirmation. BitGo requires 3 confirmations to consider a bitcoin transaction final. A confirmation means that the bitcoin transaction has been verified by the network, through the process known as mining. Once a transaction is confirmed, it cannot be reversed or double spent. Transactions are included in blocks.
Cryptocurrency or Digital currency.
A type of currency that uses cryptography instead of a central bank to provide security and verify transactions. Bitcoin is the first developed cryptocurrency.
In the context of Bitcoin, cryptography is the use of mathematics to secure information. Cryptography is used in multiple places to provide security for the Bitcoin network. Cryptography, which is essentially mathematical and computer science algorithms used to encrypt and decrypt information, is used in bitcoin addresses, hash functions, and the block chain. Cryptography is used to create and secure wallets, sign transactions, and verify the blockchain.
Your dashboard is the hub for all your bitcoin trading needs. It is your personalized tool for accessing all the information you need. There are 4 different types of dashboards on Paxful website: Classic, Vendor, Merchant, and Affiliate Dashboard.
Classic Dashboard - This is the general/default dashboard where you’ll see your active trades, shortcuts for buying and selling bitcoins, two-factor authentication, and help pages. On this dashboard, you can also create and edit your offers, see your past trades, see the overview of your affiliates, and account activity.
Vendor Dashboard - On this dashboard, you’ll be able to see your active trades, an overview of your affiliates, your sales charts, offer stats, feature requests, cancelled trade surveys results, and you’ll even be able to create and edit offers here. You can also verify your account further on this dashboard.
Merchant Dashboard - This dashboard exclusively applies for users who are using the “Pay with Paxful” feature. The Merchant Dashboard is where merchants can see their sales for today, yesterday, the last 7 days, and the last 28 days. This dashboard also shows all the transactions made when using the merchant link.
Affiliate Dashboard - This is the dashboard to track your affiliates and your affiliate commissions. You can find your affiliate link on this dashboard to share it with your friends and network. On the affiliate dashboard, you can create unique trackable links in the ‘track ID’ section. The Paxful Affiliate Program is an exciting opportunity for users to be rewarded for sharing their Paxful affiliate link with their friends and followers.
Without a central authority or controlling party. Bitcoin is a decentralized network since no company, government, or individual is in control of it. Having a decentralized Bitcoin network is a critical aspect. The network is “decentralized,” meaning that it’s void of a centralized company or entity that governs the network. Bitcoin is a peer-to-peer protocol, where all users within the network work and communicate directly with each other, instead of having their funds handled by a middleman, such as a bank or credit card company.
Difficulty is directly related to bitcoin mining (see mining), and how hard it is to verify blocks in the Bitcoin network. Bitcoin adjusts the mining difficulty of verifying blocks every 2016 blocks. Difficulty is automatically adjusted to keep block verification times at ten minutes.
A dispute is an argument or disagreement between people or groups. Disputes on Paxful are useful when a trade does not go as planned. When arises misunderstanding, miscommunication, disagreement or any other controversion between parties. When a dispute is started, a moderator will intervene to help settle the trade.
A distributed network is designed so that there is no central server or entity that others must connect to. Instead, network participants connect directly to each other. Bitcoin is a distributed network.
If someone tries to send a bitcoin transaction to two different recipients at the same time, this is double spending. Once a bitcoin transaction is confirmed, it makes it nearly impossible to double spend it. The more confirmations that a transaction has, the harder it is to double spend the bitcoins.