Uncle Block (Cryptocurrency)
In a process similar to the way Bitcoin creates orphan blocks, uncle blocks are created when more than one child block is created from a parent block. This situation is possible because all the nodes that maintain the ledger are not updated instantaneously when a new block is mined. Instead, you may have two blocks mined close together, but only one gets validated across nodes on the ledger. The one that is not validated is an uncle block.
UTXO stands for Unspent Transaction (TX) Output. Basically, it’s the amount of leftover cryptocurrency change that you receive from each transaction. To explain any further, though, we should first break down how a typical crypto transaction works. Let’s use Bitcoin for our example as it’s the most well-known cryptocurrency using UTXOs.