Block
A collection of transactions bundled together and added to the blockchain. Each block contains a reference to the previous block, forming a chain.
Why It Matters
A block is a collection of transactions processed and recorded on the blockchain. Understanding blocks helps investors comprehend how cryptocurrency transactions are secured and verified.
Example
For example, when you send Bitcoin to someone, that transaction is grouped with others into a block. Once verified, this block is added to the blockchain, making the transaction permanent.
Beginner Context
As a newcomer, grasping the concept of blocks is fundamental to understanding how cryptocurrencies function. Blocks are the backbone of the blockchain—the technology that enables secure digital transactions.
Mike Starr
Founder, CryptoWizardTools · M.S. Organizational Management
Last reviewed: August 2026
Related Terms
Jeet
Crypto slang for a trader who sells quickly at a loss or dumps tokens at the first sign of weakness, often blamed for preventing a memecoin from sustaining its price. The term is informal and used pejoratively in community discussions.
Layer 1
The base blockchain protocol (e.g., Bitcoin, Ethereum, Solana). Layer 1 solutions focus on improving the underlying blockchain itself.
Multi-Sig
Multi-Signature. A wallet security feature requiring multiple private keys to authorize a transaction, reducing the risk of unauthorized access.
Airdrop
A distribution of free tokens or coins to wallet holders, often used as a marketing strategy or to reward early adopters of a protocol.
Block Reward
The amount of cryptocurrency awarded to a miner or validator for successfully adding a new block to the blockchain. In Bitcoin, the block reward is halved approximately every four years in an event called the halving.