What is Simplified Payment Verification (SPV)?

In consideration of developers, they <strong>don't have to pay for hosting their apps<\/strong>, they can maintain failover sites, and prevent businesses from accessing their resources. Users, on the other hand, can have complete control over their data and browse the web <strong>without being bothered by advertisements<\/strong>.<\/p>","definition":"a protocol built on the Sia blockchain that facilitates content distribution and file sharing across the internet by providing decentralized storage.","status":"published","meta_title":"What is Skynet? Definition & Meaning | Crypto Wiki","meta_description":"Skynet meaning: Skynet - a protocol built on the Sia blockchain that facilitates content distribution and file sharing across the internet by providing decentralized storage.","meta_keywords":null}" :prev-section="{"id":701,"wikipedia_url":"https:\/\/en.wikipedia.org\/wiki\/SIM_swap_scam","level":"medium","author_id":1,"created_at":"2023-06-19T06:59:00.000000Z","updated_at":"2023-11-10T18:43:17.000000Z","slug":"what-is-sim-swap","title":"What is SIM-Swap?","section":"S","keyword":"SIM-Swap","content":"<p>A <strong>SIM Swap<\/strong> is an attack conducted by hackers that takes place when they try to enter into a person's phone and lock them out with the intention to gain access to their important accounts which might also be <a href=https://www.bitdegree.org/"//crypto//learn//crypto-terms//what-is-wallet/">cryptocurrency wallets<\/strong><\/a>. It mainly targets the vulnerabilities of <a href=https://www.bitdegree.org/"//crypto//learn//crypto-terms//what-is-two-factor-authentication-2fa/">two-factor authentication (2FA)<\/strong><\/a> systems.<\/p>\n<p>Research done by Princeton University in January of 2020 showcased that 39 out of 50 attempts by researchers to achieve SIM swaps were deemed successful.<\/p>\n<p>As an example, a SIM swap attack was successfully done on a cryptocurrency businessperson by a 15-year-old student from New York. The consequences of the attack were major since <strong>he managed to obtain virtual assets valued at about $24 million.<\/strong><\/p>\n<p>Similarly, Europol was able to identify a cybercriminal ring responsible for 100 similar assaults. This resulted in $3.7 million in damage.<\/p>\n<p>These types of attacks are typically initiated by hackers messing with a victim's mobile phone service. As an outcome, the criminal connects directly to the victims' information and transfers the phone number to a new SIM card owned by the hacker.<\/p>\n<p>This usually indicates the hacker <strong>has entry to the victim's email and has the ability to change any sensitive data <\/strong>such as login details. When a thief acquires control of an individual's <a href=https://www.bitdegree.org/"//crypto//learn//crypto-terms//what-is-cryptocurrency/">cryptocurrency details, particularly information about their crypto wallets, the danger increases.<\/p>\n<p>The far more concerning aspect of SIM switch assaults is the simplicity with which these sorts of crimes may be carried out.<\/p>\n<p>All they have to do is move the victim's mobile carrier number to a new phone number. Hence, there are various methods for porting the mobile carrier number to the hacker's new number. These include <a href=https://www.bitdegree.org/"//crypto//learn//crypto-terms//what-is-phishing/">phishing or just purchasing information about the target.<\/p>\n<p>It is important to note though that, sadly, <strong>there is nothing you can do once your savings have been withdrawn<\/strong> from your account and transferred to global accounts.<\/p>","definition":"is a scam where the attackers gain access to the victim's phone and all of the sensitive data within it.","status":"published","meta_title":"What is SIM-Swap? Definition & Meaning | Crypto Wiki","meta_description":"SIM-Swap meaning: SIM-Swap - is a scam where the attackers gain access to the victim's phone and all of the sensitive data within it.","meta_keywords":null}" :model="{"id":724,"wikipedia_url":"https:\/\/en.wikipedia.org\/wiki\/Bitcoin_network#Payment_verification","level":"easy","author_id":1,"created_at":"2023-06-19T06:59:00.000000Z","updated_at":"2023-11-10T18:43:06.000000Z","slug":"what-is-simplified-payment-verification-spv","title":"What is Simplified Payment Verification (SPV)?","section":"S","keyword":"Simplified Payment Verification (SPV)","content":"<p><strong>Simplified Payment Verification (SPV)<\/strong> is a lightweight client used to verify crypto transactions on the <a href=https://www.bitdegree.org/"//crypto//learn//crypto-terms//what-is-blockchain/">blockchain. Users can perform <a href=https://www.bitdegree.org/"//crypto//learn//crypto-terms//what-is-peer-to-peer-p2p/">peer-to-peer (P2P)<\/strong><\/a> transactions while the <a href=https://www.bitdegree.org/"//crypto//learn//crypto-terms//what-is-node/">nodes form the <a href=https://www.bitdegree.org/"//crypto//learn//crypto-terms//what-is-settlement-layer/">settlement layer<\/strong><\/strong><\/a>.<\/p>\n<p>The concept of simplified payment verification was covered in the Bitcoin <a href=https://www.bitdegree.org/"//crypto//learn//crypto-terms//what-is-whitepaper/">whitepaper, published by <a href=https://www.bitdegree.org/"//crypto//learn//crypto-terms//who-is-satoshi-nakamoto/">Satoshi Nakamoto<\/strong><\/a>. The recipient of a transaction can prove that the sender has the source funds of the transaction without the need to download the entire blockchain history. SPV can be used to prove instances of fraudulent transactions.<\/p>\n<p>To save the storage required, the SPV only downloads the block headers and sends requests for the proof of inclusion to the blockchain in the <a href=https://www.bitdegree.org/"//crypto//learn//crypto-terms//what-is-merkle-tree/">Merkle Tree<\/strong><\/a>, the <a href=https://www.bitdegree.org/"//crypto//learn//crypto-terms//what-is-cryptography/">cryptographic structure required for data validation.<\/p>\n<p>Every leaf node of the Merkle Tree contains the hash of a specific data block. Each non-leaf node contains the has of the child node labels. Since running a full node via a Merkle Tree would demand more power and storage to download the entire blockchain, SPV is employed to make the process more efficient.<\/p>\n<p>SPVs are used to help the light clients&mdash;lightweight wallets that use the SPV mechanism and run on low-end systems&mdash;see if a specific transaction was added to the <a href=https://www.bitdegree.org/"https:////www.bitdegree.org//crypto//buy-bitcoin-btc/">Bitcoin (BTC)<\/strong><\/a> blockchain.&nbsp;<\/p>\n<p>There are downsides to using SPV over the full node network, particularly those related to network and data security. SPV proofs are more <strong>susceptible<\/strong> to <a href=https://www.bitdegree.org/"//crypto//learn//crypto-terms//what-is-51-attack/">51% attacks<\/strong><\/a> and can be utilized to validate falsified transaction data. While there is no solution to such a scenario yet, strategies to mitigate the misuse of SPV are being worked on.<\/p>","definition":"a lightweight client used for blockchain transaction verifications.","status":"published","meta_title":"What is Simplified Payment Verification (SPV)? Definition & Meaning | Crypto Wiki","meta_description":"Simplified Payment Verification (SPV) meaning: Simplified Payment Verification (SPV) - a lightweight client used for blockchain transaction verifications.","meta_keywords":null,"author":{"id":1,"user_id":1,"created_at":"2023-05-03T14:30:55.000000Z","updated_at":"2023-05-11T07:18:20.000000Z","title":"Editor-In-Chief","slug":"aaron-s-editor-in-chief","description":"<p>Having completed a Master&rsquo;s degree on Economics, Politics &amp; Culture for the East Asia region, Aaron has written scientific papers with a comparative analysis of the differences between US&rsquo; Western and Japan&rsquo;s Collective forms of capitalism, 1945-2020.<\/p>\n<p>With close to a decade of experience in the FinTech industry, Aaron understands all of the biggest issues and struggles that crypto enthusiasts face. He&rsquo;s a passionate analyst who is concerned with data-driven and fact-based content, as well as that which speaks to both Web3 natives and industry newcomers.<\/p>\n<p>Aaron is the go-to person for everything and anything related to digital currencies. With a huge passion for blockchain &amp; Web3 education, Aaron strives to transform the space as we know it, and make it more approachable to complete beginners.<\/p>\n<p>Aaron has been quoted by multiple established outlets, and is a published author himself. Even during his free time, he enjoys researching the market trends, and looking for the next supernova.<\/p>","user":{"id":1,"first_name":"Aaron","last_name":"S.","email":"aaron@bitdegree.org","email_sanitized":"aaron@bitdegree.org","email_verified_at":"2023-12-01T09:40:20.000000Z","must_verify_email":false,"is_registered_with_wallet":false,"status":"active","country":"LT","last_connected_ip":"88.119.132.125","image_id":2641,"referral_token":"05TMu2NysXOCn525","referred_by":null,"created_at":"2023-05-03T14:30:55.000000Z","updated_at":"2024-01-09T15:22:21.000000Z","full_name":"Aaron S."}}}" :chapter-list="[{"id":1,"title":"Blockchain","slug":"blockchain","updated":null,"chapter":"crypto\/assets\/crypto-book\/chapters\/learn-blockchain.jpg","chapter_simple":"crypto\/assets\/crypto-book\/chapters-simple\/blockchain-101.jpg","rating":100,"sections":[{"chapter_id":1,"order":1,"slug":"what-is-blockchain","title":"What is the Blockchain?","status":"published","modified_content":null},{"chapter_id":1,"order":2,"slug":"decentralized-blockchain","title":"Anonymous & Decentralized Blockchains: The Cornerstone of Crypto","status":"published","modified_content":null},{"chapter_id":1,"order":3,"slug":"blockchain-transaction","title":"What is a Blockchain Transaction in Crypto?","status":"published","modified_content":null},{"chapter_id":1,"order":4,"slug":"crypto-fees","title":"The Different Types of Crypto Fees Explained","status":"published","modified_content":null},{"chapter_id":1,"order":5,"slug":"what-is-bridging-in-crypto","title":"The Key Notion Behind the Concept of Bridging in Crypto","status":"published","modified_content":null},{"chapter_id":1,"order":6,"slug":"types-of-blockchains","title":"Different Types of Blockchains: What to Look Out For?","status":"published","modified_content":null}]},{"id":2,"title":"Cryptocurrencies","slug":"cryptocurrencies","updated":null,"chapter":"crypto\/assets\/crypto-book\/chapters\/learn-cryptocurrencies.jpg","chapter_simple":"crypto\/assets\/crypto-book\/chapters-simple\/cryptocurrencies-101.jpg","rating":100,"sections":[{"chapter_id":2,"order":1,"slug":"what-is-a-cryptocurrency","title":"What is a Cryptocurrency?","status":"published","modified_content":null},{"chapter_id":2,"order":2,"slug":"how-does-cryptocurrency-work","title":"How Does Cryptocurrency Work?","status":"published","modified_content":null},{"chapter_id":2,"order":3,"slug":"is-cryptocurrency-a-good-investment","title":"Is Cryptocurrency a Good Investment? The Pros & Cons","status":"published","modified_content":null},{"chapter_id":2,"order":4,"slug":"coin-vs-token","title":"Coin VS Token: How Do They Differ?","status":"published","modified_content":null},{"chapter_id":2,"order":5,"slug":"what-are-stablecoins","title":"What are Stablecoins, Altcoins & Wrapped Coins?","status":"published","modified_content":null},{"chapter_id":2,"order":6,"slug":"what-is-a-bitcoin","title":"Bitcoin: the Pioneer of the Crypto World","status":"published","modified_content":null},{"chapter_id":2,"order":7,"slug":"what-is-ethereum","title":"The Ultimate Blockchain for dApp Creation: Ethereum","status":"published","modified_content":null},{"chapter_id":2,"order":8,"slug":"what-is-cardano-in-crypto","title":"What is Cardano and What is It Used For?","status":"published","modified_content":null},{"chapter_id":2,"order":9,"slug":"what-is-shiba-inu-coin","title":"Shiba Inu: the Dogecoin 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Standards","status":"published","modified_content":null},{"chapter_id":3,"order":5,"slug":"how-to-buy-crypto","title":"From Fiat to Crypto: How to Buy Crypto for the First Time","status":"published","modified_content":null},{"chapter_id":3,"order":6,"slug":"fiat-to-crypto","title":"Taking Profits: Turning Crypto Into Fiat","status":"published","modified_content":null},{"chapter_id":3,"order":7,"slug":"how-to-use-crypto","title":"You\u2019ve Got Crypto: What Can You Do With It?","status":"published","modified_content":null}]},{"id":4,"title":"Crypto Wallets","slug":"crypto-wallets","updated":false,"chapter":"crypto\/assets\/crypto-book\/chapters\/learn-crypto-wallets.jpg","chapter_simple":"crypto\/assets\/crypto-book\/chapters-simple\/crypto-wallets-101.jpg","rating":80,"sections":[{"chapter_id":4,"order":1,"slug":"what-is-a-crypto-wallet","title":"What is a Crypto Wallet?","status":"published","modified_content":null},{"chapter_id":4,"order":2,"slug":"hot-wallet-vs-cold-wallet","title":"Hot Wallet VS Cold Wallet: Which One to Pick?","status":"published","modified_content":null},{"chapter_id":4,"order":3,"slug":"non-custodial-wallet","title":"What are Non-Custodial Crypto Wallets?","status":"published","modified_content":null},{"chapter_id":4,"order":4,"slug":"what-is-metamask","title":"Metamask: The Leading Non-Custodial Wallet","status":"published","modified_content":null},{"chapter_id":4,"order":37,"slug":"how-safe-is-cryptocurrency","title":"The Key Crypto Wallet Safety Practices: How Safe Can Crypto Be?","status":"published","modified_content":null}]},{"id":5,"title":"NFTs","slug":"nfts","updated":null,"chapter":"crypto\/assets\/crypto-book\/chapters\/learn-nfts.jpg","chapter_simple":"crypto\/assets\/crypto-book\/chapters-simple\/nfts-101.jpg","rating":100,"sections":[{"chapter_id":5,"order":2,"slug":"how-to-trade-nfts","title":"NFT Trading: The Ins and Outs","status":"published","modified_content":null},{"chapter_id":5,"order":3,"slug":"buying-nft","title":"Tips and Tricks of Choosing the Right NFTs","status":"published","modified_content":null},{"chapter_id":5,"order":4,"slug":"how-to-store-nft","title":"How to Store NFTs: Best Practices","status":"published","modified_content":null},{"chapter_id":5,"order":5,"slug":"how-to-create-an-nft","title":"How to Create Your Own NFTs?","status":"published","modified_content":null},{"chapter_id":5,"order":6,"slug":"how-to-make-passive-money-with-nft","title":"Making Passive Money with NFTs","status":"published","modified_content":null}]},{"id":6,"title":"dApps & Defi","slug":"dapps-and-defi","updated":true,"chapter":"crypto\/assets\/crypto-book\/chapters\/learn-dapps.jpg","chapter_simple":"crypto\/assets\/crypto-book\/chapters-simple\/dapps-defi-101.jpg","rating":80,"sections":[{"chapter_id":6,"order":1,"slug":"what-are-nfts","title":"What are Non-Fungible Tokens 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Techniques","status":"published","modified_content":null},{"chapter_id":6,"order":12,"slug":"what-is-an-oracle-in-crypto","title":"Crypto Oracles: The Link Between Blockchain and Outside World Data","status":"published","modified_content":null},{"chapter_id":6,"order":13,"slug":"crypto-gambling","title":"The Peculiarities of Decentralized Crypto Gambling","status":"published","modified_content":null},{"chapter_id":6,"order":14,"slug":"what-is-the-metaverse","title":"Metaverse: A New Perception of Reality","status":"published","modified_content":null}]},{"id":7,"title":"Trading & Investing","slug":"trading-and-investing","updated":null,"chapter":"crypto\/assets\/crypto-book\/chapters\/learn-crypto-trading.jpg","chapter_simple":"crypto\/assets\/crypto-book\/chapters-simple\/crypto-trading-101.jpg","rating":80,"sections":[{"chapter_id":7,"order":1,"slug":"where-to-trade-crypto","title":"Where Can You Trade 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Tokens?","status":"published","modified_content":null},{"chapter_id":8,"order":5,"slug":"how-to-research-crypto","title":"Crypto Research Fundamentals & Social Signals: Your Daily Trading Strategy","status":"published","modified_content":null},{"chapter_id":8,"order":46,"slug":"portfolio-diversification-definition","title":"Portfolio Diversification: The Whats, the Whys, and the Hows","status":"published","modified_content":null}]},{"id":9,"title":"Mining","slug":"mining","updated":false,"chapter":"crypto\/assets\/crypto-book\/chapters\/learn-crypto-mining.jpg","chapter_simple":"crypto\/assets\/crypto-book\/chapters-simple\/crypto-mining-101.jpg","rating":80,"sections":[{"chapter_id":9,"order":1,"slug":"what-is-crypto-mining","title":"Crypto Mining: What It is and How Does It Work?","status":"published","modified_content":null},{"chapter_id":9,"order":2,"slug":"what-is-a-mining-pool","title":"Mining Pools: Is Collective Mining Better Than Solo Mining?","status":"published","modified_content":null},{"chapter_id":9,"order":3,"slug":"what-is-staking-crypto","title":"An Advanced Look into What is Staking Crypto","status":"published","modified_content":null},{"chapter_id":9,"order":4,"slug":"what-is-proof-of-stake-vs-proof-of-work","title":"Proof-of-Work VS Proof-of-Stake: The Differences That Matter","status":"published","modified_content":null},{"chapter_id":9,"order":5,"slug":"what-is-crypto-mining-rig","title":"Crypto Mining Rig: What It is and How to Build One?","status":"published","modified_content":null}]},{"id":10,"title":"Crypto Terms","updated":false,"chapter":"crypto\/assets\/crypto-book\/chapters\/crypto-101-glossary.jpg","chapter_simple":"crypto\/assets\/crypto-book\/chapters-simple\/crypto-glossary-101.jpg","rating":100,"sections":["A","B","C","D","E","F","G","H","I","J","K","L","M","N","O","P","Q","R","S","T","U","V","W","X","Y","Z"]}]" current-chapter="S" current-section="what-is-simplified-payment-verification-spv">