[{"data":1,"prerenderedAt":-1},["ShallowReactive",2],{"mining-farm-info":3,"glossary-related-en-bitcoin-improvement-proposal":7,"glossary-term-en-bitcoin-improvement-proposal":38},{"data":4},{"fpps":5,"btc_rate":6},4.3e-7,94967.34,{"items":8},[9,15,21,27,33],{"id":10,"slug":11,"term":12,"shortDefinition":13,"firstLetter":14},"f4e51f5e-6047-43e7-be3c-8a926021ab68","opex","OPEX (Operational Expenditure)","OPEX (Operational Expenditure) refers to the recurring costs associated with running a Bitcoin mining operation on a day-to-day basis. These expenses are necessary for the ongoing operation of the mining rigs and include costs such as electricity, hardware maintenance, cooling systems, pool fees, and other operational expenses. Unlike CAPEX (Capital Expenditure), which represents one-time investments in mining equipment and infrastructure.","O",{"id":16,"slug":17,"term":18,"shortDefinition":19,"firstLetter":20},"757234cb-491c-4743-a7c3-9023c1882003","minimum-payout","Minimum Payout","Minimum payout is the smallest amount of cryptocurrency (typically Bitcoin or altcoins) that a miner must accumulate before they can withdraw their earnings from a mining pool. Mining pools set a minimum payout threshold to ensure they cover transaction fees and other operational costs. Once the miner reaches this threshold, the pool will initiate the payout.","M",{"id":22,"slug":23,"term":24,"shortDefinition":25,"firstLetter":26},"c1cd9775-ba3b-41b4-b03f-dc26e14d8510","fpps-full-pay-per-share","FPPS (Full Pay Per Share)","FPPS (Full Pay Per Share) is an enhanced payout model used by mining pools to distribute rewards to miners. In FPPS, miners are paid a fixed amount for each share they contribute to the pool, just like the standard PPS model. FPPS goes a step further by including both the block reward and the transaction fees in the payout, ensuring that miners receive 100% of the reward from both sources.","F",{"id":28,"slug":29,"term":30,"shortDefinition":31,"firstLetter":32},"8a940331-a1e7-45b2-a85e-1b6ce7ba14e2","control-board","Control Board","A control board is the main management component inside an ASIC miner that controls communication, mining operations, and system monitoring. It connects the miner to the network, sends mining tasks to the hash boards, receives calculation results, and manages functions such as temperature monitoring, fan control, and firmware operation.\n","C",{"id":34,"slug":35,"term":36,"shortDefinition":37,"firstLetter":20},"6281494e-2b6d-4956-9f7e-46a76a12920e","mining-target","Mining Target","A mining target is a numeric value that defines the difficulty of finding a valid hash in Bitcoin mining. Miners must find a hash that is lower than or equal to the target value in order to successfully mine a new block. ",{"term":39},{"id":40,"locale":41,"slug":42,"term":43,"h1":43,"shortDefinition":44,"simpleExplanationHtml":45,"howItWorksHtml":46,"exampleHtml":47,"contentHtml":48,"aliases":49,"abbreviations":50,"algorithms":51,"faq":52,"seoTitle":68,"seoDescription":69,"status":70,"publishedAt":71,"updatedAt":72},"f8fd45ec-8165-4c06-94a0-0737b652748c","en","bitcoin-improvement-proposal","Bitcoin Improvement Proposal (BIP)","A Bitcoin Improvement Proposal (BIP) is a formal technical document used to propose changes, upgrades, standards, or informational guidelines for the Bitcoin network. BIPs provide a structured process for developers and the Bitcoin community to discuss and implement protocol improvements. They are the primary mechanism through which Bitcoin evolves over time while maintaining decentralization and community consensus.","\u003Cp>A BIP is essentially a proposal for changing or improving Bitcoin.\u003C\u002Fp>\u003Cp>Developers create BIPs to suggest:\u003C\u002Fp>\u003Cul>\u003Cli>\u003Cp>new features\u003C\u002Fp>\u003C\u002Fli>\u003Cli>\u003Cp>technical upgrades\u003C\u002Fp>\u003C\u002Fli>\u003Cli>\u003Cp>security improvements\u003C\u002Fp>\u003C\u002Fli>\u003Cli>\u003Cp>wallet standards\u003C\u002Fp>\u003C\u002Fli>\u003Cli>\u003Cp>consensus rule changes\u003C\u002Fp>\u003C\u002Fli>\u003C\u002Ful>\u003Cp>The Bitcoin community then reviews, debates, tests, and decides whether to adopt the proposal.\u003C\u002Fp>\u003Cp>You can think of a BIP as:\u003C\u002Fp>\u003Cul>\u003Cli>\u003Cp>a blueprint for modifying Bitcoin’s software rules\u003C\u002Fp>\u003C\u002Fli>\u003C\u002Ful>\u003Cp>\u003C\u002Fp>","\u003Ch3>\u003Cstrong>Step 1: Proposal Creation\u003C\u002Fstrong>\u003C\u002Fh3>\u003Cp>A developer writes a detailed document describing:\u003C\u002Fp>\u003Cul>\u003Cli>\u003Cp>the problem\u003C\u002Fp>\u003C\u002Fli>\u003Cli>\u003Cp>the proposed solution\u003C\u002Fp>\u003C\u002Fli>\u003Cli>\u003Cp>technical specifications\u003C\u002Fp>\u003C\u002Fli>\u003Cli>\u003Cp>compatibility considerations\u003C\u002Fp>\u003C\u002Fli>\u003C\u002Ful>\u003Ch3>\u003Cstrong>Step 2: Community Discussion\u003C\u002Fstrong>\u003C\u002Fh3>\u003Cp>The proposal is reviewed by:\u003C\u002Fp>\u003Cul>\u003Cli>\u003Cp>developers\u003C\u002Fp>\u003C\u002Fli>\u003Cli>\u003Cp>miners\u003C\u002Fp>\u003C\u002Fli>\u003Cli>\u003Cp>node operators\u003C\u002Fp>\u003C\u002Fli>\u003Cli>\u003Cp>exchanges\u003C\u002Fp>\u003C\u002Fli>\u003Cli>\u003Cp>wallet providers\u003C\u002Fp>\u003C\u002Fli>\u003Cli>\u003Cp>users\u003C\u002Fp>\u003C\u002Fli>\u003C\u002Ful>\u003Ch3>\u003Cstrong>Step 3: Testing and Review\u003C\u002Fstrong>\u003C\u002Fh3>\u003Cp>The proposal may undergo:\u003C\u002Fp>\u003Cul>\u003Cli>\u003Cp>code testing\u003C\u002Fp>\u003C\u002Fli>\u003Cli>\u003Cp>simulations\u003C\u002Fp>\u003C\u002Fli>\u003Cli>\u003Cp>security analysis\u003C\u002Fp>\u003C\u002Fli>\u003Cli>\u003Cp>public review\u003C\u002Fp>\u003C\u002Fli>\u003C\u002Ful>\u003Ch3>\u003Cstrong>Step 4: Consensus and Activation\u003C\u002Fstrong>\u003C\u002Fh3>\u003Cp>If enough community support exists:\u003C\u002Fp>\u003Cul>\u003Cli>\u003Cp>developers implement the changes\u003C\u002Fp>\u003C\u002Fli>\u003Cli>\u003Cp>nodes and miners upgrade software\u003C\u002Fp>\u003C\u002Fli>\u003Cli>\u003Cp>the proposal activates through consensus rules\u003C\u002Fp>\u003C\u002Fli>\u003C\u002Ful>\u003Cp>\u003C\u002Fp>","\u003Cp>A typical BIP includes:\u003C\u002Fp>\u003Cimg src=\"https:\u002F\u002Fs3.ecos.am\u002Fwp.files\u002Fglossary\u002Fuploads\u002F2026\u002F06\u002Fen\u002F3-9f6e3a3c.png\" alt=\"3\" title=\"3\" class=\"glossary-image glossary-image--center\" loading=\"lazy\" decoding=\"async\" \u002F>\u003Cp>Impact on existing systems\u003C\u002Fp>\u003Ch2>\u003Cstrong>Types of BIPs\u003C\u002Fstrong>\u003C\u002Fh2>\u003Ch3>\u003Cstrong>1. Standards Track BIPs\u003C\u002Fstrong>\u003C\u002Fh3>\u003Cp>These modify Bitcoin protocol behavior or technical standards.\u003C\u002Fp>\u003Cp>Examples:\u003C\u002Fp>\u003Cul>\u003Cli>\u003Cp>transaction formats\u003C\u002Fp>\u003C\u002Fli>\u003Cli>\u003Cp>consensus changes\u003C\u002Fp>\u003C\u002Fli>\u003Cli>\u003Cp>networking rules\u003C\u002Fp>\u003C\u002Fli>\u003C\u002Ful>\u003Ch3>\u003Cstrong>2. Informational BIPs\u003C\u002Fstrong>\u003C\u002Fh3>\u003Cp>These provide guidelines or educational information without changing protocol rules.\u003C\u002Fp>\u003Ch3>\u003Cstrong>3. Process BIPs\u003C\u002Fstrong>\u003C\u002Fh3>\u003Cp>These define governance or workflow procedures related to Bitcoin development.\u003C\u002Fp>","\u003Ch2>\u003Cstrong>Famous Bitcoin Improvement Proposals\u003C\u002Fstrong>\u003C\u002Fh2>\u003Ch3>\u003Cstrong>BIP 32 — Hierarchical Deterministic Wallets\u003C\u002Fstrong>\u003C\u002Fh3>\u003Cp>Introduced HD wallets allowing multiple addresses from a single seed phrase.\u003C\u002Fp>\u003Ch3>\u003Cstrong>BIP 39 — Mnemonic Seed Phrases\u003C\u002Fstrong>\u003C\u002Fh3>\u003Cp>Created the popular 12-word and 24-word wallet recovery phrases.\u003C\u002Fp>\u003Ch3>\u003Cstrong>BIP 141 — Segregated Witness (SegWit)\u003C\u002Fstrong>\u003C\u002Fh3>\u003Cp>Implemented SegWit to:\u003C\u002Fp>\u003Cul>\u003Cli>\u003Cp>improve scalability\u003C\u002Fp>\u003C\u002Fli>\u003Cli>\u003Cp>reduce transaction malleability\u003C\u002Fp>\u003C\u002Fli>\u003Cli>\u003Cp>lower fees\u003C\u002Fp>\u003C\u002Fli>\u003C\u002Ful>\u003Ch3>\u003Cstrong>BIP 340 — Schnorr Signatures\u003C\u002Fstrong>\u003C\u002Fh3>\u003Cp>Part of the Taproot upgrade improving:\u003C\u002Fp>\u003Cul>\u003Cli>\u003Cp>privacy\u003C\u002Fp>\u003C\u002Fli>\u003Cli>\u003Cp>efficiency\u003C\u002Fp>\u003C\u002Fli>\u003Cli>\u003Cp>smart contract flexibility\u003C\u002Fp>\u003C\u002Fli>\u003C\u002Ful>\u003Ch2>\u003Cstrong>BIPs and Consensus Changes\u003C\u002Fstrong>\u003C\u002Fh2>\u003Cp>Some BIPs change Bitcoin consensus rules.\u003C\u002Fp>\u003Cp>These upgrades may activate through:\u003C\u002Fp>\u003Cul>\u003Cli>\u003Cp>soft forks\u003C\u002Fp>\u003C\u002Fli>\u003Cli>\u003Cp>miner signaling\u003C\u002Fp>\u003C\u002Fli>\u003Cli>\u003Cp>node adoption\u003C\u002Fp>\u003C\u002Fli>\u003C\u002Ful>\u003Cp>Consensus upgrades often require broad agreement to avoid network splits.\u003C\u002Fp>\u003Ch2>\u003Cstrong>Example of a BIP Lifecycle\u003C\u002Fstrong>\u003C\u002Fh2>\u003Cp>Imagine developers identify a Bitcoin scalability issue.\u003C\u002Fp>\u003Ch3>\u003Cstrong>Step 1: Developer Creates Proposal\u003C\u002Fstrong>\u003C\u002Fh3>\u003Cp>A BIP describes:\u003C\u002Fp>\u003Cul>\u003Cli>\u003Cp>larger transaction efficiency improvements\u003C\u002Fp>\u003C\u002Fli>\u003Cli>\u003Cp>technical implementation details\u003C\u002Fp>\u003C\u002Fli>\u003C\u002Ful>\u003Ch3>\u003Cstrong>Step 2: Community Reviews Proposal\u003C\u002Fstrong>\u003C\u002Fh3>\u003Cp>The Bitcoin ecosystem debates:\u003C\u002Fp>\u003Cul>\u003Cli>\u003Cp>security\u003C\u002Fp>\u003C\u002Fli>\u003Cli>\u003Cp>decentralization impact\u003C\u002Fp>\u003C\u002Fli>\u003Cli>\u003Cp>scalability tradeoffs\u003C\u002Fp>\u003C\u002Fli>\u003C\u002Ful>\u003Ch3>\u003Cstrong>Step 3: Software Updated\u003C\u002Fstrong>\u003C\u002Fh3>\u003Cp>Bitcoin node software includes the new rules.\u003C\u002Fp>\u003Ch3>\u003Cstrong>Step 4: Activation\u003C\u002Fstrong>\u003C\u002Fh3>\u003Cp>If enough miners and nodes upgrade:\u003C\u002Fp>\u003Cul>\u003Cli>\u003Cp>the BIP activates\u003C\u002Fp>\u003C\u002Fli>\u003Cli>\u003Cp>the network adopts the improvement\u003C\u002Fp>\u003C\u002Fli>\u003C\u002Ful>\u003Ch2>\u003Cstrong>Why BIPs Matter\u003C\u002Fstrong>\u003C\u002Fh2>\u003Ch3>\u003Cstrong>1. Structured Bitcoin Development\u003C\u002Fstrong>\u003C\u002Fh3>\u003Cp>BIPs create organized documentation for changes.\u003C\u002Fp>\u003Ch3>\u003Cstrong>2. Transparency\u003C\u002Fstrong>\u003C\u002Fh3>\u003Cp>All proposals are public and open for discussion.\u003C\u002Fp>\u003Ch3>\u003Cstrong>3. Decentralized Governance\u003C\u002Fstrong>\u003C\u002Fh3>\u003Cp>No central authority controls Bitcoin upgrades.\u003C\u002Fp>\u003Ch3>\u003Cstrong>4. Technical Standardization\u003C\u002Fstrong>\u003C\u002Fh3>\u003Cp>BIPs help wallet providers, exchanges, and developers remain compatible.\u003C\u002Fp>\u003Ch3>\u003Cstrong>5. Long-Term Stability\u003C\u002Fstrong>\u003C\u002Fh3>\u003Cp>The process encourages careful review before activation.\u003C\u002Fp>\u003Ch2>\u003Cstrong>BIP Numbering System\u003C\u002Fstrong>\u003C\u002Fh2>\u003Cp>Each proposal receives a unique identifier.\u003C\u002Fp>\u003Cp>Examples:\u003C\u002Fp>\u003Cul>\u003Cli>\u003Cp>BIP 32\u003C\u002Fp>\u003C\u002Fli>\u003Cli>\u003Cp>BIP 39\u003C\u002Fp>\u003C\u002Fli>\u003Cli>\u003Cp>BIP 141\u003C\u002Fp>\u003C\u002Fli>\u003C\u002Ful>\u003Cp>The numbering helps organize Bitcoin’s development history.\u003C\u002Fp>",[],[],[],[53,56,59,62,65],{"answer":54,"question":55},"A Bitcoin Improvement Proposal (BIP) is a formal document describing proposed upgrades, standards, or changes for the Bitcoin network.","What is a Bitcoin Improvement Proposal?",{"answer":57,"question":58},"BIPs are typically written by Bitcoin developers, researchers, or community contributors.","Who creates BIPs?",{"answer":60,"question":61},"BIPs gain adoption through community discussion, developer review, miner support, and node upgrades rather than centralized approval.","How are BIPs approved?",{"answer":63,"question":64},"No. Some BIPs only define informational standards or wallet compatibility guidelines.","Do all BIPs change Bitcoin consensus rules?",{"answer":66,"question":67},"Yes. Many proposals are rejected, abandoned, or never activated if they fail to gain enough community support.","Can a BIP fail?","Bitcoin Improvement Proposal (BIP): Definition and Purpose","What is a Bitcoin Improvement Proposal (BIP)? Learn how BIPs introduce new Bitcoin features, protocol upgrades, and technical standards through community discussion and consensus","published","2026-06-03T17:08:37.756Z","2026-06-03T17:08:34.320Z"]