miners to get compensation for mining each block.</p>\n<p><a href=https://www.bitdegree.org/"/crypto/learn/crypto-terms/who-is-satoshi-nakamoto/">Satoshi Nakamoto</strong></a>, the creator of <a href=https://www.bitdegree.org/"https://www.bitdegree.org/crypto/buy-bitcoin-btc/">Bitcoin, stated in his <a href=https://www.bitdegree.org/"/crypto/learn/crypto-terms/what-is-whitepaper/">whitepaper that timestamps are intended to eliminate the risk of double counting. Furthermore, when a BTC block is made, two timestamps are often involved: one is the block header, which is estimated by the miner, and the other is the exact time the block was produced.</p>\n<p>Even though the goal is that both must provide the identical timestamp, &nbsp;there is a small possibility of the miner inputting incorrect timings or intentionally lying about times. 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Terms","updated":false,"chapter":"https://assets.bitdegree.org/crypto/assets/crypto-book/chapters/crypto-101-glossary.jpg","chapter_simple":"https://assets.bitdegree.org/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"]}],"nextSection":{"id":778,"original_id":null,"author_id":40,"translator_id":null,"title":"What is Token Generation Event (TGE)?","slug":"what-is-token-generation-event-tge","section":"T","keyword":"Token Generation Event (TGE)","status":"published","definition":"an event when a crypto project issues its tokens and makes them publicly available for purchasing.","content":"<p>Essentially, during a token generation event, or TGE, <strong>a cryptocurrency project issues its tokens and makes them publicly available</strong>. So, before you can purchase cryptocurrencies on popular exchanges like <a href=https://www.bitdegree.org/"/crypto/goon/binance/" target=\"_blank\" rel=\"nofollow noindex noopener\"><strong>Binance</strong></a> or <a href=https://www.bitdegree.org/"/crypto/goon/bybit/" target=\"_blank\" rel=\"nofollow noindex noopener\"><strong>Bybit</strong></a>, you can first do that during a TGE.</p>\n<p><strong>A token is a virtual asset</strong> that is created with a utility in mind. Tokens provide a simple entry into the bigger crypto economic system. They do not have a store of value on their own but they are made in a way that software can be developed around them.</p>\n<p>However, there's also <strong>another widely used way of issuing and selling new tokens</strong> - an <a href=https://www.bitdegree.org/"/crypto/learn/crypto-terms/what-is-initial-coin-offering-ico/">Initial Coin Offering (ICO)</strong></strong></a>. It is a type of crowdfunding that utilizes cryptocurrencies as a way of increasing funds for startups. Project tokens are developed and distributed to the public through these offerings as well.</p>\n<p>Though, there are companies that are eager to increase funds from tokens, but they do not choose to utilize ICOs. Instead, they choose a TGE. <strong>What's the difference, though?</strong></p>\n<p>Both ICOs and TGEs are focused on a similar concept. However, because of <strong>regulatory concerns</strong>, some organizations prefer to identify their fundraising campaigns as TGEs rather than ICOs.</p>\n<p>Regulatory organizations have been under increasing demand to recognize ICOs as the main method for issuing <a href=https://www.bitdegree.org/"/crypto/learn/crypto-terms/what-is-security/">securities, thus, raising the prospect of taxes. Token Generation Events, on the other hand, are mostly <strong>used for issuing utility tokens, therefore,</strong> <strong>they are not taxed</strong>.</p>","level":"easy","meta_title":"What is Token Generation Event (TGE)? Definition & Meaning | Crypto Wiki","meta_description":"Token Generation Event (TGE) meaning: Token Generation Event (TGE) - an event when a crypto project issues its tokens and makes them publicly available for purchasing.","meta_keywords":null,"language":"en","created_at":"2022-04-01T05:36:52.000000Z","updated_at":"2023-05-08T07:01:55.000000Z","preview_url":"https://www.bitdegree.org/crypto/learn/crypto-terms/what-is-token-generation-event-tge"},"prevSection":{"id":776,"original_id":null,"author_id":43,"translator_id":null,"title":"What is Token Sale?","slug":"what-is-token-sale","section":"T","keyword":"Token Sale","status":"published","definition":"is a type of sale that’s done in advance of the official cryptocurrency launch.","content":"<p><strong>A Token Sale is the first step of a token offering before the new <a href=https://www.bitdegree.org/"/crypto/learn/crypto-terms/what-is-cryptocurrency/">cryptocurrency is officially launched and available to the general public</strong>.</p>\n<p>This type of sale is vital in helping startups and new cryptocurrencies succeed. It&rsquo;s considered to be one of the best ways to raise capital.</p>\n<p>The<strong> most well-known type of token sale</strong> is called an <a href=https://www.bitdegree.org/"/crypto/learn/crypto-terms/what-is-initial-coin-offering-ico/">initial token offering (ICO)</strong></a>. It&rsquo;s a method of raising funds that is especially appealing to new crypto projects. The way it works is pretty straightforward. <strong>Investors are given a chance to purchase the new cryptocurrency, usually at a discounted price before it&rsquo;s publicly launched</strong>. Although they have been identified as high-risk investments, so tread lightly if you decide to partake in such a token sale.&nbsp;</p>\n<p>The success of <a href=https://www.bitdegree.org/"https://www.bitdegree.org/crypto/buy-bitcoin-btc/">Bitcoin and <a href=https://www.bitdegree.org/"https://www.bitdegree.org/crypto/buy-ethereum-eth/">Ethereum is bringing more and more alternative cryptocurrencies. More often than not, these new projects don&rsquo;t have a lot of funds in reserve. In order to continue developing their cryptocurrency, they require external investments. This is where token sales come in.&nbsp;</p>\n<p><strong>Token sales act as an introduction to a new cryptocurrency to attract investors</strong>. Startups employ marketing campaigns to appeal to investors and inform them about their new cryptocurrency.</p>\n<p>It&rsquo;s been known that some new projects use token sales exclusively as a marketing effort where they invite only certain people that can benefit the project.&nbsp;</p>\n<p>As mentioned above, token sales are key in determining how successful a project is going to be. Therefore, each token sale is expanded on in detail in the whitepaper which is a document where investors can find all of the technical information regarding the crypto project. Investors can take a look at this <a href=https://www.bitdegree.org/"/crypto/learn/crypto-terms/what-is-whitepaper/">whitepaper and easily find out the number of coins or tokens the project is willing to give away in the token sale.</p>\n<p>Moreover, <strong>token sales are also an indicator of how successful a project is going to be</strong>. It&rsquo;s the main reason why there was a huge increase in token sales when the cryptocurrency sector was still establishing itself. This resulted in a crisis in the market since there was an abundance of new cryptocurrencies.</p>","level":"medium","meta_title":"What is Token Sale? Definition & Meaning | Crypto Wiki","meta_description":"Token Sale meaning: Token Sale - is a type of sale that’s done in advance of the official cryptocurrency launch.","meta_keywords":null,"language":"en","created_at":"2022-03-31T14:36:12.000000Z","updated_at":"2022-05-13T14:32:24.000000Z","preview_url":"https://www.bitdegree.org/crypto/learn/crypto-terms/what-is-token-sale"},"currentChapter":"T","currentSection":"what-is-timestamp","chapterTitle":"T","readingLevel":"easy"},"url":"/crypto/learn/crypto-terms/what-is-timestamp","version":"cdd198d50cbe5c9c21c9329d7c096ffc"}" class="container-fluid d-flex crypto-book p-0">
Handbook Cover Page
Crypto Terms: Letter T

What is Timestamp?

Timestamp MEANING:
Timestamp - a categorization of when a certain transaction occurred.
Easy
1 minute

Let's find out Timestamp meaning, definition in crypto, what is Timestamp, and all other detailed facts.

A timestamp is essentially a type of classification for when a particular transaction took place. Moreover, it is the fundamental process for miners to get compensation for mining each block.

Satoshi Nakamoto, the creator of Bitcoin, stated in his whitepaper that timestamps are intended to eliminate the risk of double counting. Furthermore, when a BTC block is made, two timestamps are often involved: one is the block header, which is estimated by the miner, and the other is the exact time the block was produced.

Even though the goal is that both must provide the identical timestamp,  there is a small possibility of the miner inputting incorrect timings or intentionally lying about times. However, Bitcoin has devised two measures that should prevent this from happening.

For example, the Median Time Stamp is the first line of defense against the threat. The MPT rule requires that the time stamp be greater than the median value of the previous 11 blocks. Its major function is to ensure that the blockchain goes ahead in time, whereas the second principle is to prohibit the blockchain from moving too far ahead.

Additionally, the highest allowable time gap between the node's time and the local time system cannot go over 90 minutes. Nonetheless, these restrictions are intended to safeguard the accuracy of cryptocurrency timestamps.
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