Definitions

  • 2-Factor-Authentication (2FA)

    Two Factor Authentication (2FA) is an additional layer of security where the user provides two different authentication factors to verify themselves. This is often used to protect the user's credentials and any resources the user is trying to access (such as the Paxful platform). Only the user can access their specific 2FA alert, and these alerts are sent as an SMS to the user’s phone or Google Authenticator (GA).

  • Anti-money Laundering (AML)

    AML refers to a set of laws, regulations, and procedures intended to prevent people from disguising illegally obtained funds as legitimate income. Paxful takes AML protocol seriously, and we abide by all laws, regulations, and procedures.

  • Bitcoin

    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:

    1. P2PKH addresses start  with the number 1.
      Example: 1BvBMSEYstWetqTFn5Au4m4GFg7xJaNVN2.
    2. P2SH addresses start with the number 3.
      Example: 3J98t1WpEZ73CNmQviecrnyiWrnqRhWNLy.
    3. Bech32 addresses also known as "bc1 addresses" start with bc1.
      Example: bc1qar0srrr7xfkvy5l643lydnw9re59gtzzwf5mdq. 
    4. QR Codes can also be used as a wallet address.

    Paxful allows withdrawals to P2PKH, P2SH, and Bech32 addresses.

     

  • 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 a Bitcoin wallet address:
    3F1tAaz5x1HUXrCNLbtMDqcw6o12Nn4xqX
    A wallet address can also be presented as a QR code.

  • 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.

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