FAQ

Questions on sources and limits

What is a public address?

A public address is an identifier derived from a public key that others use to send assets to a wallet. Unlike the private key, it is shared openly.

What is mining or validation?

Mining, used in proof-of-work networks, and validation, used in proof-of-stake networks, are two ways that networks agree which transactions are added. Proof-of-work uses computing effort, while proof-of-stake uses crypto locked up as a stake.

What is a seed phrase?

A seed phrase is a list of words that can recreate a wallet's keys. Anyone who sees it can usually take control of the wallet.

What must stablecoin issuers do?

According to the Bank of Canada, stablecoins must be fully backed by high-quality liquid assets and redeemable at par value. Issuers must also operate in ways that protect users and the financial system.

What is a crypto wallet?

A wallet is software or hardware that holds the private keys needed to sign transactions. The coins themselves are recorded on the blockchain, and the keys prove ownership, so a wallet works differently from a bank account.

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