Cryptocurrency List of Terms and Definitions

Now you can understand what you read...

Altcoin: Anything not Bitcoin

AMM: Automated Market Maker

API: API stands for Application Programming Interface

Arbitrage: Making a profit on the difference between asset prices on different exchanges

ASIC: Application-specific integrated circuits (ASICs) can be thought of as machines used to mine crypto

Bear/Bearish: Thinks the market is trending down

BIP (NUMBERS): Bitcoin Improvement Proposal

Block explorer: An application used to track transactions

Bonding Curve: A bonding curve is a mathematical concept used to describe the relationship between price and the supply of an asset.

BSC: Binance Smart Chain, a fork of Ethereum and an EVM, a smart contract platform for users and developers to build/use Dapps

BTFD: Buy the F***ing Dip

Bull/Bullish: Thinks the market is trending up

Candlesticks: Graphing technique that shows price on a chart

CeDefi: Centralised – Decentralised finance (Permissioned networks like BNB)

CeFi: Centralised Finance

CEX: Centralised Exchange

DAG: Directed Acrylic Graphs

DAO: Decentralised Autonomous Organisations

Dapp: Decentralised applications

DD: Due Diligence

Defi: Decentralised Finance

Degen: Degenerate, usually a degenerate trader who conducts little analysis on trades.

DEX: Decentralised Exchange

EIP (NUMBERS): Ethereum Improvement Proposal

EVM: Ethereum Virtual Machine

FA: Fundamental analysis

FOMO: Fear Of Missing Out

Fork: When programmers take a copy of source code from one software project and start independent development on it, creating a distinct and separate piece of software. This represents a split in the developer community, branching out from the original developer’s codebase or project intentions.

Front Running: Front running is the act of placing a transaction in a queue with the knowledge of a future transaction for arbitrage.

FUD: Fear Uncertainty, Doubt

Gwei: Gwei is a small unit of the Ethereum network’s Ether (ETH) cryptocurrency. A gwei or gigawei is defined as 1,000,000,000 wei, the smallest base unit of Ether. One gwei equals 0.000000001 or 10-9 ETH. Conversely, 1 ETH represents 1 billion gwei

HODL: Hold On for Dear Life

ICO: Initial Coin Offering

IEO: Initial Exchange Offering

IOT: Internet of Things

KYC: Know Your Customer

L0: Layer zero solution to help scale blockchains

L2: Layer two solutions to help scale blockchains

Ledger: A record of transactions

LP: Liquidity provider, or LP tokens, used on AMMs like Pancake Swap to provide liquidity

Metaverse: A virtual-reality space in which users can interact with a computer-generated environment and other users. They usually have their own unique economy, governed by a token within the cryptocurrency space.

Mining Pool: Users pooling hashing power together to mine blocks

NFT: Non- Fungible Token

Node: Nodes are computers that connect to blockchain networks and use peer-to-peer protocols that allow nodes to communicate with each other within the network as well as spreading information on transactions and blocks

Nonce: Nonce (literal meaning — for one occasion) is a way to sequence and segregate transactions on the Ethereum blockchain and other smart contract platforms

P2P: Peer to peer networks, networks that operate without a centralised middle man, and as the name suggests are networks that allow users to directly communicate and operate with each other

Permissioned Networks: Blockchain networks that have an access-control layer built into the blockchain nodes

PK: Private key (Used to unlock a wallet)

PK: Public Key (Used to send and receive crypto)

PoS: Proof of Stake (A consensus mechanism that requires holders to stake coins)

PoW: Proof of Work (A consensus mechanism that requires power and mining equipment)

Rug Pull: A colloquial term used in the space to describe a project which has exit scammed on holders

Sat: Sat is short for Satoshis, the smallest unit of Bitcoin. One Satoshi (sat) is equal to 0.00000001 BTC

Shilling: Promoting cryptocurrencies with heavy enthusiasm

Shitcoin: An Altcoin with weak fundamentals that looks like a scam.

TA: Technical Analysis

Ticker: Used to represent the symbol used to trade an asset (e.g. $ETH)

Trustless: When no member in a network needs to be trusted to complete an action

TX: Transaction

WEB3 Wallet: Used to connect to web3 applications like Uniswap for use

Zk – SNARKS: Zk-SNARKs (Zero-Knowledge Succinct Non-Interactive Argument of Knowledge) are the proof construction that one can verify information, like a secret key, both without disclosing the information itself or requiring any interaction between the prover and verifier

ZKP: zero-knowledge proof, enables one party to provide evidence that a transaction or event happened without revealing private details of that transaction or event

- q

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