Double Spending
By CoinGecko | Updated on Aug 12, 2021
Double spending refers to the act of spending digital currencies twice. This is most commonly applied on crypto exchanges by unscrupulous actors.Typically, a double spending attack involves an attacker who first deposits a cryptocurrency into an exchange, then waits for it to confirm. Once it is confirmed, the perpetrator sells the deposited crypto for another currency, and then proceed to perform what is known as a 51% attack to try and reverse the blockchain (and his deposit).If successful, the perpetrator is then able to deposit his tokens again, likely in a different crypto exchange.
Related Terms
Bounty
Public tasks available for anyone for a reward
Stop-loss Order
Conditional market order to sell at the next available price, excuted if the price of an asset falls below set-upon limit
Block
In the context of blockchain, block refers to the collection of transactional data or information that are bundled together in a predetermined size.
Bitcoin Improvement Proposal (BIP)
Refers to improvement proposals for Bitcoin, used to introduce features or any updates on the Bitcoin network.
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