Cryptos Glossary

Cryptos Glossary

Living better with cryptocurrencies also means better knowing the words and concepts that make understanding the ecosystem simpler.

Here’s a list of 100 crypto-related words or expressions to help navigate the world of cryptocurrency:

Bitcoin (BTC): The first and most well-known cryptocurrency.

Altcoin: Any cryptocurrency other than Bitcoin.

Blockchain: A decentralized, distributed ledger technology that underlies cryptocurrencies.

Wallet: Software or hardware for storing cryptocurrencies.

Private Key: A cryptographic key used to access and manage cryptocurrencies.

Public Key: A cryptographic key used to receive cryptocurrencies.

Cryptocurrency Exchange: Platform for buying, selling, and trading cryptocurrencies.

Fiat Currency: Government-issued currency like USD, EUR, etc.

Decentralization: Distribution of control across a network, typical of blockchain systems.

Mining: The process of validating transactions and adding them to the blockchain.

Hash Function: A cryptographic function that converts input data into a fixed-size string of numbers and letters.

Token: A digital asset representing value on a blockchain.

Smart Contract: Self-executing contracts with the terms directly written into code.

ICO (Initial Coin Offering): A fundraising method for new cryptocurrency projects.

FOMO (Fear of Missing Out): The fear of missing out on potential profit.

FUD (Fear, Uncertainty, Doubt): Disinformation spread to create fear and uncertainty.

HODL: Holding onto cryptocurrencies instead of selling them.

Whale: An individual or entity holding a large amount of cryptocurrency.

Market Cap: Total value of a cryptocurrency calculated by multiplying its price by its total supply.

Stablecoin: A type of cryptocurrency designed to have a stable value.

Address: A string of characters used to receive or send cryptocurrencies.

Wallet Seed: A list of words used to back up and restore a cryptocurrency wallet.

Exchange Rate: The value of one cryptocurrency in terms of another or in fiat currency.

Cold Storage: Keeping cryptocurrencies offline for enhanced security.

Hot Wallet: An online wallet connected to the internet.

Mining Pool: A group of miners combining resources to increase the chances of earning rewards.

Hashrate: The speed at which a mining machine operates.

Confirmation: The process of verifying a transaction on the blockchain.

Double Spending: Spending the same cryptocurrency more than once.

Fork: A split or divergence in a blockchain’s transaction history.

Node: A device on a blockchain network that maintains a copy of the blockchain.

DApp (Decentralized Application): Applications built on a blockchain network.

Gas: The fee paid for transactions on some blockchains, like Ethereum.

Consensus: Agreement among network participants on the validity of transactions.

Private Blockchain: A blockchain with restricted access.

Public Blockchain: A blockchain with open access to anyone.

Whitepaper: A document explaining the technology, purpose, and mechanics of a cryptocurrency project.

Wallet Address: An identifier used to receive cryptocurrency payments.

2FA (Two-Factor Authentication): A security method requiring two forms of identification for access.

Liquidity: The ease of buying or selling an asset without causing a significant price change.

ATM (Automated Teller Machine): Machines allowing the purchase or sale of cryptocurrencies.

Airdrop: Distributing free tokens or cryptocurrencies to holders of a specific blockchain.

DYOR (Do Your Own Research): Advice to research thoroughly before investing in cryptocurrencies.

Rekt: Slang for significant financial loss in cryptocurrency trading.

Satoshi Nakamoto: The pseudonymous creator of Bitcoin.

ERC-20: A standard for creating tokens on the Ethereum blockchain.

DYOR (Do Your Own Research): Advice to research thoroughly before investing in cryptocurrencies.

Rekt: Slang for significant financial loss in cryptocurrency trading.

Satoshi Nakamoto: The pseudonymous creator of Bitcoin.

ERC-20: A standard for creating tokens on the Ethereum blockchain.

NFT (Non-Fungible Token): Unique digital assets representing ownership of items like art, music, or collectibles.

DeFi (Decentralized Finance): Financial services using blockchain to remove intermediaries.

Yield Farming: Earning rewards by providing liquidity to DeFi protocols.

DAO (Decentralized Autonomous Organization): A community-run organization governed by code.

Rug Pull: A scam where developers drain liquidity from a project abruptly.

Whitelist: List of approved participants in a token sale or project.

Mainnet: The main blockchain network where transactions occur.

Testnet: A separate blockchain used for testing new features without risking the mainnet.

DEX (Decentralized Exchange): An exchange that operates without a central authority.

Hard Fork: A significant divergence in the blockchain, resulting in two separate chains.

Soft Fork: A backward-compatible change in the blockchain protocol.

Gas Limit: The maximum amount of gas a user is willing to spend on a transaction.

Gas Price: The cost of each unit of gas used in a transaction.

Pump and Dump: Artificially inflating the price of a cryptocurrency and then selling it off.

KYC (Know Your Customer): Verification process for customer identity.

AML (Anti-Money Laundering): Measures to prevent illegal money-related activities.

Market Order: An order to buy or sell a cryptocurrency immediately at the best available price.

Limit Order: An order to buy or sell a cryptocurrency at a specified price or better.

White Hat Hacker: Ethical hackers who use their skills for good.

Black Hat Hacker: Hackers who exploit systems for personal gain or malicious purposes.

Zero-Knowledge Proof: A method to prove a statement without revealing the underlying information.

SHA-256: The cryptographic hash function used in Bitcoin mining.

ASIC (Application-Specific Integrated Circuit): Specialized hardware for mining cryptocurrencies.

Wallet Import Format (WIF): A format for private keys to make them easier to copy.

P2P (Peer-to-Peer): Direct transactions between two parties without intermediaries.

Immutable: Unable to be changed or altered, a key characteristic of blockchain.

Whitelist: List of approved participants in a token sale or project.

Mainnet: The main blockchain network where transactions occur.

Testnet: A separate blockchain used for testing new features without risking the mainnet.

DEX (Decentralized Exchange): An exchange that operates without a central authority.

Hard Fork: A significant divergence in the blockchain, resulting in two separate chains.

Soft Fork: A backward-compatible change in the blockchain protocol.

Gas Limit: The maximum amount of gas a user is willing to spend on a transaction.

Gas Price: The cost of each unit of gas used in a transaction.

Pump and Dump: Artificially inflating the price of a cryptocurrency and then selling it off.

KYC (Know Your Customer): Verification process for customer identity.

AML (Anti-Money Laundering): Measures to prevent illegal money-related activities.

Market Order: An order to buy or sell a cryptocurrency immediately at the best available price.

Limit Order: An order to buy or sell a cryptocurrency at a specified price or better.

White Hat Hacker: Ethical hackers who use their skills for good.

Black Hat Hacker: Hackers who exploit systems for personal gain or malicious purposes.

Zero-Knowledge Proof: A method to prove a statement without revealing the underlying information.

SHA-256: The cryptographic hash function used in Bitcoin mining.

ASIC (Application-Specific Integrated Circuit): Specialized hardware for mining cryptocurrencies.

Wallet Import Format (WIF): A format for private keys to make them easier to copy.

P2P (Peer-to-Peer): Direct transactions between two parties without intermediaries.

Immutable: Unable to be changed or altered, a key characteristic of blockchain.

Turing Complete: A system or language capable of solving any problem.

Gas Fee: The fee paid to miners for processing transactions on the blockchain.

Timestamp: A record indicating the time when a particular event occurred.