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<rfc ipr="trust200902" docName="draft-nakajima-crypto-asset-terminology-00" category="info">

  <front>
    <title abbrev="Crypto Asset Terminology">Terminology for Crypto Asset</title>

    <author initials="H." surname="Nakajima" fullname="Hirotaka Nakajima">
      <organization abbrev="Mercari R4D">Mercari, Inc. R4D</organization>
      <address>
        <postal>
          <street>Roppongi Hills Mori Tower 18F</street> <street>6-10-1 Roppongi</street>
          <city>Minato, Tokyo</city>
          <code>106-6118</code>
          <country>JAPAN</country>
        </postal>
        <email>nunnun@mercari.com</email>
      </address>
    </author>
    <author initials="M." surname="Kusunoki" fullname="Masanori Kusunoki">
      <organization abbrev="JDD">Japan Digital Design, Inc.</organization>
      <address>
        <email>masanori.kusunoki@japan-d2.com</email>
      </address>
    </author>
    <author initials="K." surname="Hida" fullname="Keiichi Hida">
      <organization abbrev="JBA">Japan Blockchain Association</organization>
      <address>
        <email>hida@jba-web.jp</email>
      </address>
    </author>
    <author initials="Y." surname="Suga" fullname="Yuji Suga">
      <organization abbrev="Advanced Security Div, IIJ">Advanced Security Division, Internet Initiative Japan Inc.</organization>
      <address>
        <postal>
          <street>Iidabashi Grand Bloom,</street> <street>2-10-2 Fujimi</street>
          <city>Chiyoda, Tokyo</city>
          <code>102-0071</code>
          <country>JAPAN</country>
        </postal>
        <email>suga@iij.ad.jp</email>
      </address>
    </author>
    <author initials="T." surname="Hayashi" fullname="Tatsuya HAYASHI">
      <organization abbrev="Lepidum">Lepidum Co. Ltd.</organization>
      <address>
        <email>hayashi@lepidum.co.jp</email>
      </address>
    </author>

    <date year="2018" month="July" day="02"/>

    <area>General</area>
    
    <keyword>Internet-Draft</keyword>

    <abstract>


<t>This document provides terminology used in crypto asset.</t>



    </abstract>


  </front>

  <middle>


<section anchor="introduction" title="Introduction">

<t>Our goal with this document is to improve our understanding on a set of terms which frequently used in documents which related to crypto asset.
Mutual understanding about terminology may help to reach a consensus on issues we’re trying to solve.</t>

</section>
<section anchor="conventions-and-definitions" title="Conventions and Definitions">

<t>The key words “MUST”, “MUST NOT”, “REQUIRED”, “SHALL”, “SHALL NOT”, “SHOULD”,
“SHOULD NOT”, “RECOMMENDED”, “NOT RECOMMENDED”, “MAY”, and “OPTIONAL” in this
document are to be interpreted as described in BCP 14 <xref target="RFC2119"/> <xref target="RFC8174"/>
when, and only when, they appear in all capitals, as shown here.</t>

</section>
<section anchor="terms-and-definitions" title="Terms and Definitions">

<t><list style="hanging">
  <t hangText='address:'>
  An identifier to represent a public key in a blockchain network.</t>
  <t hangText='asymmetric cryptography:'>
  Defined in <xref target="RFC4949"/> as “A modern branch of cryptography (popularly known as
“public-key cryptography”) in which the algorithms use a pair of keys (a
  public key and a private key) and use a different component of the pair
  for each of two counterpart cryptographic operations
  (e.g., encryption and decryption, or signature creation and signature verification). “</t>
  <t hangText='block:'>
  A basic unit of the blockchain. A set of transactions on a blockchain which contains a cryptographic hash value of previous block.</t>
  <t hangText='blockchain:'>
  A digital ledger about transactions for crypto assets.
<!-- : One of a method of distributed ledgers which confirms  --></t>
  <t hangText='confirmation:'>
  (For transactions,) checking correctness of a transaction in the mainchain.</t>
  <t hangText='consensus:'>
  Coincidence the way of thinking.</t>
  <t hangText='crypto assets:'>
  Cryptographically guaranteed value.</t>
  <t hangText='deterministic wallet:'>
  See: wallet</t>
  <t hangText='digital signature:'>
  Defined in <xref target="RFC4949"/> as “A value computed with a cryptographic algorithm and
associated with a data object in such a way that any recipient of
the data can use the signature to verify the data’s origin and
integrity.”</t>
  <t hangText='distributed ledger:'>
  A distributed database about crypto assets with agreed processed.</t>
  <t hangText='double spending:'>
  Defined in <xref target="MasteringBitcoinOnline"/> as “result of successfully spending some money more than once.”</t>
  <t hangText='fiat money:'>
  Currency which has been established by government or other authorities.</t>
  <t hangText='fork:'>
  Defined in <xref target="MasteringBitcoinOnline"/> as “Fork, also known as accidental fork, occurs when two or more blocks have the same block height, forking the block chain. Typically occurs when two or more miners find blocks at nearly the same time.”
<!-- NEED MODIFICATIONS for explanation of hard fork --></t>
  <t hangText='genesis block:'>
  An initial block on a blockchain. Genesis block may differ to distinguish chains.</t>
  <t hangText='hard fork:'>
  See: fork</t>
  <t hangText='hash value:'>
  Defined in <xref target="RFC4949"/> as “The output of a hash function.”</t>
  <t hangText='hash rate:'>
  Amount of a hash value which node is able to generate per unit of time (generally per second)</t>
  <t hangText='hierarchy deterministic wallet:'>
  See: wallet</t>
</list></t>

<!-- main-chain:
: In contract with "subchain", ***TBD -->

<t><list style="hanging">
  <t hangText='mining:'>
  A process to append a received transaction to a block by validating a transaction with agreed consensus rules such as proof-of-work and proof-of-stake. Miner is a network node which contributes its resources to mining.</t>
  <t hangText='miner:'>
  See: mining</t>
  <t hangText='multisignature:'>
  Defined in <xref target="MasteringBitcoinOnline"/> as “requiring more than one key to authorize a bitcoin transaction”. In this scope, transaction is not limited to bitcoin transaction.</t>
  <t hangText='node:'>
  A device that connects to blockchain network.</t>
  <t hangText='off-chain transaction:'>
  The movement of value outside of the blockchain</t>
  <t hangText='on-chain transaction:'>
  The movement of value on the blockchain</t>
  <t hangText='orphan block:'>
  Defined in <xref target="MasteringBitcoinOnline"/> as “Blocks whose parent block has not been processed by the local node, so they can’t be fully validated yet.”</t>
  <t hangText='permissioned-chain:'>
  A public blockchain that only specified members can join the blockchain network.</t>
  <t hangText='permissionless-chain:'>
  See: permissioned-chain</t>
  <t hangText='public-chain:'>
  An open blockchain that anyone can retrieve all of blocks and transactions without special privileges.</t>
  <t hangText='public key:'>
  Defined in <xref target="RFC4949"/> as “The publicly disclosable component of a pair of
    cryptographic keys used for asymmetric cryptography.”</t>
  <t hangText='private-chain:'>
  In contrast with “public-chain”, A closed blockchain that only permissioned users can access blocks and make transactions.</t>
  <t hangText='private key:'>
  Defined in <xref target="RFC4949"/> as “The secret component of a pair of cryptographic keys used
    for asymmetric cryptography.”</t>
</list></t>

<!-- proof-of-importance:
: A blockchain consensus mechanism that ***
https://nem.io/wp-content/themes/nem/files/NEM_techRef.pdf -->

<t><list style="hanging">
  <t hangText='proof-of-stake:'>
  Defined in <xref target="MasteringBitcoinOnline"/> as “method by which a cryptocurrency blockchain network aims to achieve distributed consensus.”</t>
  <t hangText='proof-of-work:'>
  Defined in <xref target="MasteringBitcoinOnline"/> as “A piece of data that requires significant computation to find.”</t>
  <t hangText='reorganization:'>
  Invalidation process of branched blockchains.</t>
  <t hangText='reward:'>
  Value by the blockchain network which assigned to a miner who successfully validates a transaction. Rules may differ among blockchains and consensus rules.</t>
  <t hangText='side-chain:'>
  See off-chain</t>
  <t hangText='smart contract:'>
  A guaranteed digital procedure that automatically enforced on a blockchain network.</t>
  <t hangText='soft fork:'>
  See: fork</t>
</list></t>

<!-- sub-chain:
: TBD
difference? of "sidechain" -->

<t><list style="hanging">
  <t hangText='token:'>
  An unforgeable data object.</t>
  <t hangText='transaction:'>
  Defined in <xref target="MasteringBitcoinOnline"/> as “More precisely, a transaction is a signed data structure expressing a transfer of value.”</t>
  <t hangText='validation:'>
  Checking correctness and consistency of given data.
<!-- NEED MORE EXPLANATIONS for validated/validator --></t>
  <t hangText='validated:'>
  See: validation</t>
  <t hangText='validator:'>
  See: validation</t>
  <t hangText='wallet:'>
  A set of key pair composed of public key and private key.</t>
</list></t>

</section>
<section anchor="security-considerations" title="Security Considerations">

<t>This document defines terminology for crypto asset. Therefore, there is no security considerations.</t>

</section>
<section anchor="iana-considerations" title="IANA Considerations">

<t>None.</t>

</section>


  </middle>

  <back>

    <references title='Normative References'>





<reference  anchor="RFC2119" target='https://www.rfc-editor.org/info/rfc2119'>
<front>
<title>Key words for use in RFCs to Indicate Requirement Levels</title>
<author initials='S.' surname='Bradner' fullname='S. Bradner'><organization /></author>
<date year='1997' month='March' />
<abstract><t>In many standards track documents several words are used to signify the requirements in the specification.  These words are often capitalized. This document defines these words as they should be interpreted in IETF documents.  This document specifies an Internet Best Current Practices for the Internet Community, and requests discussion and suggestions for improvements.</t></abstract>
</front>
<seriesInfo name='BCP' value='14'/>
<seriesInfo name='RFC' value='2119'/>
<seriesInfo name='DOI' value='10.17487/RFC2119'/>
</reference>



<reference  anchor="RFC8174" target='https://www.rfc-editor.org/info/rfc8174'>
<front>
<title>Ambiguity of Uppercase vs Lowercase in RFC 2119 Key Words</title>
<author initials='B.' surname='Leiba' fullname='B. Leiba'><organization /></author>
<date year='2017' month='May' />
<abstract><t>RFC 2119 specifies common key words that may be used in protocol  specifications.  This document aims to reduce the ambiguity by clarifying that only UPPERCASE usage of the key words have the  defined special meanings.</t></abstract>
</front>
<seriesInfo name='BCP' value='14'/>
<seriesInfo name='RFC' value='8174'/>
<seriesInfo name='DOI' value='10.17487/RFC8174'/>
</reference>




    </references>

    <references title='Informative References'>





<reference  anchor="RFC4949" target='https://www.rfc-editor.org/info/rfc4949'>
<front>
<title>Internet Security Glossary, Version 2</title>
<author initials='R.' surname='Shirey' fullname='R. Shirey'><organization /></author>
<date year='2007' month='August' />
<abstract><t>This Glossary provides definitions, abbreviations, and explanations of terminology for information system security. The 334 pages of entries offer recommendations to improve the comprehensibility of written material that is generated in the Internet Standards Process (RFC 2026). The recommendations follow the principles that such writing should (a) use the same term or definition whenever the same concept is mentioned; (b) use terms in their plainest, dictionary sense; (c) use terms that are already well-established in open publications; and (d) avoid terms that either favor a particular vendor or favor a particular technology or mechanism over other, competing techniques that already exist or could be developed.  This memo provides information for the Internet community.</t></abstract>
</front>
<seriesInfo name='FYI' value='36'/>
<seriesInfo name='RFC' value='4949'/>
<seriesInfo name='DOI' value='10.17487/RFC4949'/>
</reference>


<reference anchor="MasteringBitcoinOnline" target="https://github.com/bitcoinbook/bitcoinbook">
  <front>
    <title>Mastering Bitcoin</title>
    <author initials="A." surname="Antonopoulos" fullname="Andreas Antonopoulos">
      <organization></organization>
    </author>
    <date year="2018" month="March"/>
  </front>
</reference>


    </references>


<section numbered="false" anchor="acknowledgments" title="Acknowledgments">

<t>Thanks to members of the Virtual Currency Governance Task Force for help and feedback.</t>

</section>


  </back>

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