Merkle Tree
A structure that hashes transactions in pairs up to a single root, letting you verify one without all.
A Merkle tree hashes data in pairs, then hashes those hashes, repeating until one value remains: the Merkle root. A block header stores that root to commit to every transaction inside.
The payoff is efficient proof. You can show a single transaction belongs in a block using a short chain of hashes, not the whole block. Light wallets rely on this to verify payments without downloading the entire chain.
Related terms
A fixed-length fingerprint produced by running data through a one-way function; any change yields a completely different output.
BlockA batch of transactions bundled together, time-stamped, and cryptographically linked to the block before it.
CryptographyThe math of scrambling and verifying information so only intended parties can read or trust it.
BlockchainA shared digital ledger that records transactions in linked batches, copied across many computers and hard to alter.