What is DAG in the context of cryptocurrency?

3 answers

• Dec 17, 2021 · 3 years ago
  DAG stands for Directed Acyclic Graph, and it is a data structure used in some cryptocurrencies as an alternative to the traditional blockchain. Unlike a blockchain, which consists of blocks linked together in a linear chain, a DAG is a more complex structure where each transaction is directly linked to multiple previous transactions. This allows for parallel processing and can potentially increase scalability and transaction speed. Some popular cryptocurrencies that use DAG technology include IOTA and Nano.
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• Dec 17, 2021 · 3 years ago
  DAG, or Directed Acyclic Graph, is a term used in the cryptocurrency world to describe a different approach to recording and verifying transactions. Instead of using a linear chain of blocks like Bitcoin, DAG-based cryptocurrencies use a graph structure where each transaction is connected to multiple previous transactions. This allows for faster confirmation times and higher transaction throughput. DAG-based cryptocurrencies also claim to be more resistant to certain types of attacks, such as double-spending. However, it's important to note that DAG is just one of many different consensus mechanisms and each has its own strengths and weaknesses.
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• Dec 17, 2021 · 3 years ago
  In the context of cryptocurrency, DAG refers to Directed Acyclic Graph, a data structure used by some cryptocurrencies to achieve consensus and validate transactions. DAG-based cryptocurrencies, such as IOTA and Nano, aim to address the scalability and transaction speed limitations of traditional blockchain systems. By using a DAG, these cryptocurrencies can process transactions in parallel, potentially enabling faster confirmation times and higher throughput. However, it's worth noting that DAG-based cryptocurrencies are still relatively new and may face their own set of challenges and limitations.
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