A phenomenon that is characterized by a malfunction in a blockchain network such that a particular cryptocurrency can be spent more than once.

Double spending occurs when users can spend a cryptocurrency more than once due to errors in the transaction record on the blockchain. This is an occasional problem that happens when there is a breach on a blockchain network, often in the form of a malicious attack. This attack (known as a 51% attack) opens up the accounting ledger to errors. In this way, a user can spend their cryptos, modify the block with records of the transaction, and reclaim the spent coins to use at a later time.

Double spending is one of the gaps that can arise from using blockchain technology. However, following recent innovations in crypto space, the odds of double spending occurring is very low.

A form of cyberattack where a node in a peer-to-peer network is isolated from its neighbors, redirected to an attacker-controlled environment, and deployed for malicious network activity.

Attackers who gain control of a node through an eclipse attack can redirect neighboring nodes to compromise transactions and fault the system. Because of the decentralized nature of most blockchains, this type of attack is relatively rare.

A simple investment strategy which involves spreading total investment capital over a long period of time to reduce the effect of price volatility.

Dollar Cost Averaging (DCA) is a simple and common strategy whereby traders invest their capital periodically over time in a particular asset. By continually committing a specific amount of money on the asset, the trader gets more experienced and grows more familiar with the different dynamics of the price of the asset. Even more directly, a trader that uses DCA is less vulnerable to emotional decisions especially when there is instability in the market.

DCA is a common investment strategy because it is easy to do. There is no particular approach or style of using this strategy, except in choosing the amount to be invested and the asset to allocate these funds to.

Double Spending

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