Crypto Terms & Definitions
Explore a comprehensive list of essential blockchain and cryptocurrency terminology and jargon to deepen your understanding of the field.
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0x Protocol
The 0x protocol is an open-source, decentralized exchange infrastructure built on the Ethereum blockchain. It’s designed to enable peer-to-peer exchange of Ethereum-based assets, known as ERC20 tokens, in a secure and efficient manner.51% Attack
A 51% attack is a potential attack on a blockchain network where a single entity or group controls more than 50% of the network’s mining hash rate, or computational power. This majority control allows them to disrupt the network by Double Spending, Blocking Transactions, Rewriting the Blockchain.80/20 Rule (Pareto Principle)
The 80/20 Rule, also known as the Pareto Principle, is a concept in economics and business management. It states that roughly 80% of the effects come from 20% of the causes.A
Address
An “address” is a unique identifier that serves as a virtual location to which cryptocurrencies can be sent. This concept is akin to an email address or a bank account number, but it exists within the framework of a blockchain network. Each cryptocurrency address is unique to its blockchain and cannot be reused across different cryptocurrencies unless they’re part of the same network or platform.Airdrop
An airdrop in cryptocurrency refers to the free distribution of new coins or tokens directly to the digital wallets of users, often to promote a new virtual currency. It’s a marketing strategy used by blockchain-based startups to encourage adoption and increase the circulation of their token.All Time High (ATH)
All Time High (ATH) refers to the highest price ever reached by a cryptocurrency or any other traded asset in its entire trading history.Altcoins
Altcoins are cryptocurrencies other than Bitcoin. They emerged as alternatives to Bitcoin and often seek to improve upon or offer different features, use cases, or technological advancements. Popular examples include Ethereum, Polkadot, Litecoin, and Cardano.Atomic Swap
An Atomic Swap is a technology that enables the direct exchange of different cryptocurrencies on different blockchains without the need for a trusted third party or intermediary, like an exchange. This is achieved through the use of smart contracts that ensure the transaction either happens entirely or is canceled, hence the term “atomic” (indivisible).ASIC
ASIC stands for Application-Specific Integrated Circuit. a type of hardware designed specifically for mining. ASIC miners are highly efficient and powerful, optimized to compute operations required for mining a specific cryptocurrency, like Bitcoin, more effectively than general-purpose hardware like CPUs or GPUs.B
Bitcoin
The first and most well-known cryptocurrency, created by an anonymous person (or group) under the pseudonym Satoshi Nakamoto.Blockchain
Blockchain is a digital ledger technology where transactions are recorded in a secure, transparent, and immutable way across a network of computers. This decentralized system prevents alterations of records, ensuring trust and integrity in the data shared among participants.Block Reward
A block reward is a cryptocurrency given to miners for confirming and adding a new block of transactions to a blockchain. It serves as an incentive for maintaining the network and validating transactions.Block Explorer
A block explorer is a web tool that allows users to view and search the transaction history of a blockchain. It provides information about transactions, blocks, addresses, and other data on the blockchain, making it easier to track and verify activities on the network.C
Cryptocurrency
Cryptocurrency is digital money that uses strong encryption for security. It’s not controlled by any central authority, like a government, and can be used for online transactions, investments, or as a store of value.Consensus
Consensus in the context of blockchain refers to the collective agreement among participants in a decentralized network regarding the validity of transactions and the addition of new blocks to the blockchain. It ensures that all participants reach a common decision on the state of the ledger, even in a trustless and decentralized environment. Different consensus mechanisms, such as Proof of Work (PoW) and Proof of Stake (PoS), are used to achieve this agreement and maintain the integrity of the blockchain.Cold Wallet/Storage
Cold wallet or cold storage is a secure way to store cryptocurrencies offline, away from the internet. It enhances security by protecting digital assets from online threats like hacking. Common types include hardware wallets and paper wallets, offering a safer option for long-term cryptocurrency storage.Contract Address
A contract address is a unique identifier for a smart contract on a blockchain, used for interacting with and executing functions defined within the contract’s code.D
DAG (Directed Acyclic Graph)
A decentralized, graph-based data structure consisting of vertices and edges without any cycles. Unlike traditional blockchain that stacks transactions linearly, DAG allows transactions to be linked in multiple directions, enabling higher scalability and faster transaction processing times. It’s used in some cryptocurrencies as an alternative to the standard blockchain structure.DAO (Decentralized Autonomous Organization)
A type of organization represented by rules encoded as a computer program that is transparent, controlled by organization members, and not influenced by a central government. DAOs are a form of smart contract on a blockchain, where the rules of the organization and financial transactions are maintained on a decentralized ledger, allowing for direct control by stakeholders without centralized authority.DApp (Decentralized Application)
A software application that runs on a distributed computing system, often a blockchain. It operates autonomously, without the control of any single central authority, using smart contracts and is typically open source. DApps aim to eliminate points of failure and censorship through decentralization.Dark Pool
A Dark Pool in the context of cryptocurrency is a private exchange or forum for trading cryptocurrencies that is not visible to the public market. It allows large traders to execute big transactions.Dead Cat Bounce
A term used in financial markets, including crypto, to describe a temporary recovery in the price of a declining asset. It suggests a short-lived rebound before the asset continues its downward trend. This term is often used to indicate that the recovery is not a sign of improved fundamentals, but rather a temporary fluctuation.DeFi (Decentralized Finance)
DeFi, or Decentralized Finance, is a term for financial services provided on public blockchains, especially Ethereum. It eliminates intermediaries like banks by using smart contracts, allowing for peer-to-peer financial transactions and services like borrowing, lending, and trading directly between parties.DEX (Decentralized Exchange)
A platform that allows users to trade cryptocurrencies directly with each other without intermediaries or custodians.Difficulty
A measure of how hard it is to find a valid hash for a block in a proof-of-work system. The difficulty adjusts according to the network’s hash rate and the target block time.Digital Signature
A Digital Signature in cryptocurrency is a cryptographic technique used to verify the authenticity and integrity of a message, transaction, or software. It’s akin to a digital version of a handwritten signature or stamped seal, but far more secure, providing proof of the origin and ensuring that the content hasn’t been tampered with.Distributed Ledger Technology (DLT)
A system that records and stores data across multiple nodes in a network, without a central authority or intermediary.Do Your Own Research (DYOR)
A common advice given to crypto investors and enthusiasts to conduct their own due diligence before making any decisions or investments.Docking
A process that allows two blockchains to merge or split, creating a new chain with shared history and features.Dollar-Cost Averaging (DCA)
An investment strategy that involves buying a fixed amount of an asset at regular intervals, regardless of the price fluctuations.E
Ethereum (ETH)
A decentralized platform that enables the creation of smart contracts and decentralized applications (DApps).ERC-20
A technical standard used for smart contracts on the Ethereum blockchain for implementing tokens.ERC-721
A more advanced standard compared to ERC-20, used for creating non-fungible tokens (NFTs) on the Ethereum blockchain.Exchange
A platform where users can buy, sell, or trade cryptocurrencies.Escrow
A financial arrangement where a third party holds and regulates payment of the funds required for two parties involved in a given transaction.Encryption
The process of converting information or data into a code, especially to prevent unauthorized access.EVM (Ethereum Virtual Machine)
The part of the Ethereum network that handles smart contract deployment and execution.Emission
The rate at which new coins are generated and released.ETF (Exchange-Traded Fund)
A type of security that tracks an index, sector, commodity, or other asset, which can be purchased or sold on a stock exchange the same as a regular stock.Elliptic Curve Digital Signature Algorithm (ECDSA)
A cryptographic algorithm used by Bitcoin to ensure that funds can only be spent by their rightful owners.Enterprise Ethereum Alliance (EEA)
A group of organizations working to enhance the privacy, security, and scalability of Ethereum blockchain applications.EOS
A blockchain platform known for its scalability and support for decentralized applications.Ethereum Classic (ETC)
A continuation of the original Ethereum blockchain following a split in 2016.Ethereum 2.0
An upgrade to the Ethereum blockchain which aims to improve scalability, security, and sustainability.Etherscan
A block explorer and analytics platform for Ethereum, which allows users to look up, confirm, and validate transactions on the Ethereum blockchain.Exchange Rate
The rate at which one cryptocurrency can be exchanged for another cryptocurrency or for fiat currency.F
Fiat Currency
Traditional paper money, like dollars or euros, issued by governments as legal tender.FOMO (Fear Of Missing Out)
A psychological phenomenon where investors buy an asset due to the fear of missing out on potential profits, often leading to hasty and ill-informed investment decisions.Fork
A change in a blockchain’s protocol creating two separate versions of the blockchain. There are two types: “Soft Fork” and “Hard Fork.”FUD (Fear, Uncertainty, and Doubt)
A strategy to influence perception by spreading negative, misleading, or false information about something, often used in the context of the crypto market.Fundamental Analysis
A method of evaluating a cryptocurrency to determine its intrinsic value by examining related economic, financial, and other qualitative and quantitative factors.Fungible Token
Tokens that are identical to each other and can be interchanged, like cryptocurrencies such as Bitcoin or Ethereum.Futures Contract
A standardized legal agreement to buy or sell a particular commodity or financial instrument at a predetermined price at a specified time in the future.FAANG Stocks
An acronym for the stocks of five prominent American technology companies: Facebook (now Meta), Amazon, Apple, Netflix, and Google (now Alphabet).Faucet
A website or app that distributes small amounts of cryptocurrencies as a reward for completing easy tasks, used as a way to introduce new people to the cryptocurrency.Finality
In blockchain, finality refers to the point at which transactions are considered irreversible.Flash Crash
A very rapid and deep drop in asset prices within a very short period, often caused by technical glitches or market manipulation.Flash Loan
A type of uncollateralized loan in decentralized finance (DeFi) which is borrowed and repaid within a single transaction block on the blockchain.Flippening
A hypothetical scenario where Ethereum’s market cap, usage, or other metrics surpass those of Bitcoin.Flipping
In cryptocurrency, flipping refers to the practice of buying tokens or coins at a low price and selling them at a higher price in a short period.Full Node
A program that fully validates transactions and blocks in a blockchain network.Fractal
In trading, a fractal is a repetitive natural pattern or set of self-similar patterns appearing at different scales. In crypto, these patterns are often used in technical analysis.G
Gas
A unit of measurement for the amount of computational effort required to execute operations on the Ethereum network. Each operation has a gas cost.Gas Limit
The maximum amount of gas a user is willing to spend on a transaction in the Ethereum network.Gas Price
The amount of Ether offered per unit of gas to incentivize miners to include a transaction in the blockchain.Genesis Block
The very first block in a blockchain.Gwei
A denomination of the cryptocurrency Ether (ETH), used on the Ethereum network. 1 Gwei equals 0.000000001 ETH.GPU (Graphics Processing Unit)
A hardware device often used in cryptocurrency mining due to its efficiency in performing complex calculations.Golden Cross
A technical analysis term indicating a bullish event where a shorter-term moving average crosses above a longer-term moving average.Governance Token
A type of cryptocurrency token that gives holders the right to participate in decisions regarding the development and management of a blockchain project.Goxed
A term derived from the Mt. Gox exchange, referring to a situation where investors lose their funds due to an exchange’s failure or security breach.Grayscale
A large digital currency asset manager known for its Bitcoin Trust and other cryptocurrency investment products.Grid Trading
A trading strategy that automatically buys and sells assets at predetermined price levels.Gross Domestic Product (GDP)
While not a cryptocurrency-specific term, GDP is often discussed in the context of the impact of cryptocurrencies on the global economy.Gwei Gas
Refers to the pricing structure used to calculate the cost of gas in Ethereum transactions.Gnosis
A decentralized prediction market platform built on the Ethereum blockchain.Gitcoin
A platform that funds open-source software projects in the Ethereum community.A platform that funds open-source software projects in the Ethereum community.Geth
Short for “Go Ethereum”, it is one of the three original implementations (along with C++ and Python) of the Ethereum protocol.Genesis Mining
A popular cloud mining service provider for Bitcoin and other cryptocurrencies.Golden Ratio Multiplier
A technical analysis tool used for predicting the price movements of Bitcoin.H
Halving
An event in some cryptocurrencies like Bitcoin, where the reward for mining new blocks is halved, thereby reducing the rate at which new coins are created.Hash
A function that converts an input (or ‘message’) into a fixed-size string of bytes, typically for security or data management purposes.Hash Rate
The speed at which a computer is completing an operation in the cryptocurrency code, a key indicator of the network’s health and security.Hard Fork
A radical change to a network’s protocol that makes previously invalid blocks and transactions valid, or vice-versa. This requires all nodes or users to upgrade to the latest version of the protocol software.Hardware Wallet
A physical device that stores the private keys of a user’s cryptocurrency securely offline.HODL
A term derived from a misspelling of “hold” that refers to buy-and-hold strategies in the context of Bitcoin and other cryptocurrencies.Hot Wallet
A cryptocurrency wallet that is connected to the internet, as opposed to a cold (offline) wallet.A cryptocurrency wallet that is connected to the internet, as opposed to a cold (offline) wallet.Hybrid PoW/PoS
A type of cryptocurrency consensus mechanism that combines Proof of Work (PoW) and Proof of Stake (PoS).Hash Function
A cryptographic function that converts an input (or ‘message’) into a fixed-size string, which appears random.Height (Block Height)
The number of blocks connected together in the blockchain. For example, Height 0 would be the very first block, which is also called the Genesis Block.Hexadecimal
A base-16 number system used widely in computing. In cryptocurrencies, addresses are often expressed in hexadecimal.High-Frequency Trading (HFT)
A type of trading strategy that involves executing a large number of orders at very fast speeds.Hive Blockchain
A specific blockchain infrastructure primarily used for decentralized social media platforms.Hosted Wallet
A wallet where the private keys are managed by a third party, such as a cryptocurrency exchange.HTLC (Hashed TimeLock Contract)
A type of smart contract used in various cryptocurrencies that involves time-bound transactions with hashlocks.Human-readable Address
A type of cryptocurrency address that is designed to be easily read and remembered by humans.Hybrid ConsensusHybrid Consensus
A form of blockchain consensus that combines aspects of both proof-of-work (PoW) and proof-of-stake (PoS).I
ICO (Initial Coin Offering)
A fundraising method used by new cryptocurrency projects, where investors can purchase tokens before the public release. It’s similar to an Initial Public Offering (IPO) for stocks.IEO (Initial Exchange Offering)
Similar to an ICO, but the token sale is conducted on a cryptocurrency exchange platform, providing more credibility and potentially more security for investors.Immutable
A characteristic of blockchain technology where once data has been written to a blockchain, it cannot be altered or deleted. This ensures data integrity and trust.Interoperability
The ability of different blockchain systems to work together and share information. It’s crucial for the broader adoption and functionality of blockchain technology.IPFS (InterPlanetary File System)
A protocol and network designed to create a peer-to-peer method of storing and sharing hypermedia in a distributed file system.IPO (Initial Public Offering)
While not exclusively a crypto term, it’s often mentioned in comparison with ICOs. It’s the process of offering shares of a private corporation to the public in a new stock issuance.Irreversible Transactions
Transactions that cannot be undone once they have been confirmed on the blockchain. This is a key feature of most cryptocurrencies.Isolated Margin
A risk management tool in trading, where only a portion of the investor’s total available balance is used for margin trading. This isolates the margin from the trader’s remaining balance.Immutable Ledger
Another term for a blockchain, emphasizing its key feature of recording transactions in a way that cannot be changed.Inflation (Crypto Inflation)
Refers to the rate at which new coins are generated and released into circulation, affecting the total supply of that cryptocurrency.Input (Transaction Input)
In blockchain transactions, an input is a reference to the output from a previous transaction, serving as a record of the source of funds.Interledger Protocol (ILP)
A protocol for connecting different ledgers and payment systems to enable secure cross-ledger transactions.Identity Verification
Processes and tools used in the crypto space to confirm the identity of individuals, often for security and regulatory compliance.Investment Token
A type of token that represents an investment in a project or company, similar to owning shares in traditional stock markets.J
JOMO (Joy Of Missing Out)
The feeling of contentment or joy from not participating in a particular investment or trend, especially when it turns out to be disadvantageous.JSON RPC (JavaScript Object Notation Remote Procedure Call)
A network protocol used by many blockchain interfaces. It allows for the transmission of data and instructions between a client and a server, using JSON format.JIT (Just in Time) Compilation
In the context of blockchain, this refers to the process of compiling code just in time for it to be executed, rather than beforehand, which can increase efficiency.Jelly Swap
A type of atomic swap technology or platform that enables the exchange of different cryptocurrencies without the need for a centralized intermediary.J Curve
In crypto finance, a J curve is a trend line that initially falls but then sharply rises. This pattern is often observed in the performance of crypto assets, where a rapid decline is followed by a significant increase in value.Jump Transaction
A type of transaction in the crypto world that is designed to get ahead in the transaction queue, usually by paying higher fees. This is often used during times of network congestion.Jailbreaking
In the context of cryptocurrency, this can refer to modifying hardware wallets or other security devices to remove restrictions imposed by the manufacturer. This can be risky as it might expose the device to security vulnerabilities.Java Smart Contract
Smart contracts written in the Java programming language. This is less common than smart contracts written in Solidity (Ethereum) but can be found in some blockchain platforms.K
KYC (Know Your Customer)
A process used by businesses, particularly financial institutions, to verify the identity of their clients. In the crypto world, it’s often a requirement for users of exchanges and wallets to prevent illegal activities.Key (Private/Public Key)
In cryptography, keys are crucial. A private key is a secret number that allows a user to access and manage their cryptocurrency holdings. A public key is derived from the private key and can be shared with others to receive funds.Keystore File
This is an encrypted file that stores a private key. It’s often used in conjunction with a password to secure cryptocurrency wallets.Kraken
A popular cryptocurrency exchange known for trading Bitcoin and various altcoins.KryptoKit
A type of wallet or software that is used for storing and transacting cryptocurrencies.Knots (Bitcoin Knots)
A derivative of Bitcoin Core with various improvements and alterations. It is a full node wallet for storing, transacting, and verifying Bitcoin.KuCoin
A global cryptocurrency exchange that offers a wide variety of digital assets and cryptocurrencies.Kadena
A blockchain platform which aims to solve the scaling and security issues of existing blockchains.Key Pair
In cryptography, this refers to a private key and its related public key. Both keys are mathematically linked in asymmetric encryption.Key Generation
The process of creating a key pair (private and public keys) used for cryptographic operations.Key Recovery
The process of retrieving a lost or damaged cryptographic key. In the context of cryptocurrency, this usually refers to techniques to regain access to lost or inaccessible wallets.KPI (Key Performance Indicator)
Although a general business term, in the context of crypto, it refers to specific metrics used to evaluate and measure the performance of a cryptocurrency or blockchain project.L
Ledger
In cryptocurrency, a ledger is a record-keeping system. The most common form is the blockchain, which records all transactions made with a particular cryptocurrency.Litecoin (LTC)
A peer-to-peer cryptocurrency created by Charlie Lee. It was one of the first altcoins, created in 2011, and is based on the Bitcoin protocol but with differences in hashing algorithm, supply limit, and block transaction times.Liquidity
Refers to how easily a cryptocurrency can be bought and sold without impacting the overall market price. High liquidity means it’s easier to trade the cryptocurrency.Liquidity Pool
In decentralized finance (DeFi), a liquidity pool is a collection of funds locked in a smart contract. They provide the liquidity used for trading in decentralized exchanges (DEXs).Leverage
In trading, leverage refers to using borrowed funds to increase the size of a trading position beyond what would be available from your cash balance alone.Limit Order
An order to buy or sell a cryptocurrency at a specific price or better.Lightning Network
A second layer technology applied to Bitcoin. It uses micropayment channels to scale the blockchain’s capability to conduct transactions more efficiently.Long Position
When a trader bets that a cryptocurrency’s price will increase.Lambo
Slang in the cryptocurrency community for Lamborghini. It’s often used in the context of achieving substantial wealth from cryptocurrency investments.Layer 2
Solutions or protocols built on top of an existing blockchain to improve its scalability and efficiency. The Lightning Network is an example of a Layer 2 solution.Lending Platform
Platforms where users can lend their cryptocurrencies to others and earn interest, often part of the DeFi ecosystem.Leveraged Token
A type of cryptocurrency that provides leveraged exposure to an asset without requiring a margin account or liquidation risk.Liquidity Mining
A process in DeFi where users provide liquidity to a liquidity pool and earn rewards in return, typically in the form of tokens.Lossless
Referring to a type of protocol or technology that aims to prevent or mitigate the loss of funds, particularly in the context of hacks or fraudulent activities in DeFi.Low-Level Protocol
In blockchain, this refers to the underlying technology or layers that form the base of the blockchain architecture.M
Mining
The process by which transactions are verified and added to a blockchain. It also involves the release of new coins into the system. Miners use powerful computers to solve complex mathematical problems that validate transactions.Market Cap (Market Capitalization)
The total value of all coins or tokens that have been mined or issued. It’s calculated by multiplying the current price of the coin by the total supply.Multisig (Multisignature)
A type of technology used in cryptocurrencies that requires multiple signatures or keys to authorize a transaction. This provides an additional layer of security.Moon/Mooning
Slang in the cryptocurrency community for a dramatic rise in the value of a coin.Maker and Taker Fees
Fees charged by an exchange for making or taking an order from the order book.Mempool (Memory Pool)
A collection of all the transactions waiting to be confirmed by a blockchain network.Masternodes
A type of full node in some cryptocurrencies that performs specialized functions and, in return, receives part of the block reward.Mainnet
The primary network where actual transactions take place on a distributed ledger.Metaverse
The metaverse is a virtual, immersive space where users interact with a computer-generated environment and each other, often combining elements of virtual reality (VR), augmented reality (AR), and the internet.Merkle Tree
A fundamental part of a blockchain, it’s a data structure used for efficiently summarizing and verifying the integrity of large sets of data.MetaMask
A popular browser extension and mobile application used as a cryptocurrency wallet for Ethereum and ERC-20 tokens.Mixin
The number of other transactions that a transaction is mixed with, as a privacy feature.Max Supply
The maximum number of coins or tokens that will ever exist for a cryptocurrency.Mining Pool
A group of miners who combine their computing power to increase their chances of successfully mining a block and receiving the reward.Mining Rig
A computer system used for mining cryptocurrencies.Moving Average
A widely used indicator in technical analysis that helps smooth out price action by filtering out the “noise” from random short-term price fluctuations.Monero (XMR)
A privacy-focused cryptocurrency that obscures sender, recipient, and amount of every transaction made.Mt. Gox
An infamous Bitcoin exchange that filed for bankruptcy in 2014 after a massive hack.Margin Trading
Trading assets using funds provided by a third party. In the crypto world, it refers to the practice of using borrowed funds from a broker to trade a digital asset, which forms the collateral for the loan from the broker.N
Node
In blockchain technology, a node is any computer that connects to a blockchain network. Nodes support the network by maintaining a copy of the blockchain and, in some cases, processing transactions.Nonce
A nonce in cryptocurrencies is a number added to a hashed, or encrypted block, that, when rehashed, meets the difficulty level restrictions.Non-Fungible Token (NFT)
A type of cryptographic token on a blockchain that represents a unique item or asset. These tokens can represent anything from digital art to real estate.Nakamoto, Satoshi
The pseudonymous person or group of people who developed Bitcoin, authored the Bitcoin white paper, and created and deployed Bitcoin’s original reference implementation.Network Fee
A fee paid to miners or validators who are responsible for confirming transactions on a blockchain network. This fee can vary based on network congestion.NEO
A blockchain platform and cryptocurrency designed to build a scalable network of decentralized applications. The NEO token is the primary currency of the NEO blockchain.NFT Marketplace
An online platform where non-fungible tokens (NFTs) can be bought, sold, or traded.No-Coiner
A term used to describe someone who does not own any cryptocurrencies, often used in a derogatory sense.Nomics
A cryptocurrency data analytics and market capitalization website known for providing detailed crypto market data.Novation
In the context of cryptocurrency, novation refers to replacing an old obligation with a new one or replacing a transaction party with a new party.Namecoin (NMC)
An altcoin that is based on the Bitcoin technology, which also offers decentralized name registration system.Native Token
A token that is native to a specific blockchain or crypto platform.NEM (XEM)
A blockchain platform with a focus on high-speed and low-cost transactions, also known for its unique “proof-of-importance” algorithm.Network Hash Rate
The total amount of hashing power that is being used by all miners in a cryptocurrency’s network.Nonce Space
The range of numbers that miners have to search over for a valid hash in a proof-of-work system.Nash Equilibrium
A concept in game theory where each player’s strategy is optimal when considering the decisions of other players. In crypto, it can refer to the stability of strategies in various protocols.Node Explorer
A tool or platform that allows you to view and analyze the nodes of a blockchain network.O
Off-Chain Transaction
Transactions that occur outside of the blockchain network. These are not recorded on the blockchain and are usually faster and with lower or no fees.On-Chain Transaction
In contrast to off-chain transactions, these are transactions that occur and are recorded on the blockchain network, ensuring their immutability and transparency.Oracle
In the context of blockchain and cryptocurrencies, an oracle is a third-party information source that supplies data to smart contracts. This data can be anything from price information to real-world events, which a smart contract alone cannot access.Order Book
A list of buy and sell orders on an exchange for a specific trading pair. The order book shows the current market depth and the price levels at which buy and sell orders are being placed.Over-The-Counter (OTC)
This refers to the process of trading securities, commodities, or currencies outside of a formal exchange. OTC trading is common for instruments that are not listed on formal exchanges.Output
In a blockchain context, an output refers to the amount of cryptocurrency sent in a transaction. A single transaction can have multiple outputs, indicating the distribution of coins to different addresses.Ownership Stake
In a cryptocurrency context, this refers to the holding of a certain amount of tokens or coins, which often confers certain rights or privileges, such as voting rights in governance decisions within a blockchain network.Open Source
Refers to software whose source code is made freely available for modification or enhancement by anyone. Many blockchain and cryptocurrency projects are open source, allowing for transparency and collaborative development.Opt-In
A feature or option that requires the user’s active consent or participation, often seen in blockchain protocols or cryptocurrency services where users must agree to participate in certain features or updates.P
Private Key
A secret alphanumeric code that allows a user to access and manage their cryptocurrency holdings. It should be kept secure and private.Public Key
Derived from the private key, this is an alphanumeric code that is used to receive cryptocurrency transactions. It can be shared publicly.Proof of Work (PoW)
A consensus algorithm in some blockchains (like Bitcoin) where miners solve complex mathematical problems to validate transactions and create new blocks.Proof of Stake (PoS)
An alternative to PoW, this consensus mechanism allows validators to create new blocks and validate transactions based on the number of coins they hold and are willing to “stake” as collateral.Peer-to-Peer (P2P)
A decentralized network of computers where each computer (or “peer”) can act as a server for the others, allowing shared access to files and resources without the need for a centralized server.Pump and Dump
A fraudulent scheme involving the artificial inflation of a cryptocurrency’s price followed by a sell-off by the orchestrators of the scheme.Portfolio
A collection of cryptocurrency investments held by an individual or organization.Private Blockchain
A blockchain network where access is restricted to a certain group of users, often used within an organization.Public Blockchain
A blockchain network that is open to anyone where transactions and the blockchain ledger are visible to all.Paper Wallet
A physical document containing a cryptocurrency address and a private key, usually in the form of QR codes, for high-security storage of cryptocurrencies.Protocol
The set of rules defining how data is transmitted and received in a network, like the blockchain protocol for cryptocurrencies.Permissioned Ledger
A type of ledger in a private blockchain where access to the data is controlled by a central authority.Proof of Authority (PoA)
A consensus mechanism in a blockchain network where transactions and blocks are validated by approved accounts, known as validators.Proof of Burn (PoB)
A consensus algorithm where miners can “burn” or destroy a portion of their cryptocurrency to gain the right to mine new blocks.Proof of Capacity (PoC)
A consensus mechanism that allows mining devices in the network to use their available hard drive space to decide mining rights.Proof of Elapsed Time (PoET)
A consensus mechanism that randomly elects the miner to create a new block based on the elapsed time since their last block.Plasma
A scaling solution for Ethereum that involves creating child blockchains tethered to the main Ethereum blockchain.Pegged Currency
A cryptocurrency whose value is tied to a fiat currency or other asset to stabilize its price.Permissionless
Refers to a blockchain that anyone can join and participate in, such as Bitcoin or Ethereum.Pool
In mining, a group of miners who combine their computational resources to increase their chances of mining a block and receiving rewards.Q
Quantum Computing
A type of computing that uses quantum-mechanical phenomena such as superposition and entanglement. It is a potential threat to blockchain and cryptocurrency security, as quantum computers could theoretically break current cryptographic algorithms.QR Code (Quick Response Code)
A machine-readable optical label that contains information about the item to which it is attached. In crypto, QR codes are often used to easily share wallet addresses.Quorum
In blockchain, a quorum is the minimum number of members required to validate transactions and reach consensus in a network, particularly in private or consortium blockchains.Quote Currency
In a currency pair, the quote currency is the second currency in the pair. It is used to determine the value of the “base currency” (which is the first currency in the pair).Quadratic Voting
A voting system where participants can cast votes that represent the intensity of their preferences, rather than a binary yes/no vote. It’s an experimental approach that some believe could be used in decentralized governance models.Quant
Short for “Quantitative Analyst.” In the context of cryptocurrency, it refers to individuals who use mathematical models to identify trading opportunities.QuickSwap
It’s an example of a decentralized exchange (DEX) operating on the Ethereum blockchain, using Layer 2 scaling solutions like Polygon (MATIC) to provide faster and cheaper transactions.Qtum
An open-source blockchain platform and cryptocurrency that combines the UTXO model of Bitcoin with the Ethereum Virtual Machine (EVM).R
Ransomware
A type of malicious software that encrypts a victim’s files and demands a ransom, often in cryptocurrency, for decrypting them.Recovery Phrase
Also known as a seed phrase or backup phrase, it’s a series of words generated by your cryptocurrency wallet that gives you access to the cryptocurrencies associated with that wallet.Rekt
A slang term borrowed from “wrecked,” referring to significant financial loss, particularly in trading cryptocurrencies.Remittance
The transfer of money, often by a foreign worker to an individual in their home country. Cryptocurrencies can be used for remittances because they may offer lower fees and faster transactions compared to traditional banking systems.Replay Attack
A network attack where a valid data transmission is maliciously or fraudulently repeated or delayed, potentially used to trick systems into executing transactions multiple times.Resistance (in Technical Analysis)
A price level at which a cryptocurrency tends to face selling pressure, making it difficult for the price to rise above this levelRipple (XRP)
Both a digital payment protocol and a cryptocurrency (XRP), Ripple’s main process is to enable secure, instant, and nearly free global financial transactions of any size with no chargebacks.ROI (Return on Investment)
A measure used to evaluate the efficiency or profitability of an investment, calculated by dividing the profit of an investment by its cost.Rug Pull
A scam where cryptocurrency developers abandon a project and run away with investors’ funds.Running a Node
In blockchain, running a node involves operating a computer that keeps a full copy of the blockchain and, in some cases, helps process transactions.Rust (Programming Language)
A programming language gaining popularity in blockchain development for its focus on safety and performance.R3
A consortium of over 200 blockchain firms that work to develop distributed ledger technology for use in the financial industry and beyond.S
Satoshi
The smallest unit of Bitcoin, equivalent to 100 millionth of a Bitcoin. Named after Satoshi Nakamoto, the pseudonymous creator of Bitcoin.Smart Contract
Self-executing contracts with the terms of the agreement between buyer and seller being directly written into lines of code.Stablecoin
A type of cryptocurrency that is designed to have a stable value by being pegged to a reserve asset, like the U.S. dollar or gold.Staking
The process of actively participating in transaction validation (similar to mining) on a proof-of-stake (PoS) blockchain. Users lock up coins to be randomly selected at certain intervals to create a block.SegWit (Segregated Witness)
A protocol upgrade implemented on blockchains like Bitcoin and Litecoin. It increases block capacity by removing signature data from transactions.Sidechain
A separate blockchain that is attached to its parent blockchain using a two-way peg, which allows assets to be interchangeably transferred between the two.SHA-256
A cryptographic hash function used by Bitcoin. It stands for Secure Hash Algorithm 256-bit and is part of the SHA-2 family of algorithms.Sharding
A scaling solution for blockchains. It involves dividing the network into smaller pieces, or “shards”, to process transactions faster and more efficiently.Shitcoin
A derogatory term for a cryptocurrency believed to have no value or utility.Soft Fork
A change to the software protocol where only previously valid blocks/transactions are made invalid. It is backward-compatible, as old nodes will recognize the new blocks as valid.Solidity
A programming language for writing smart contracts, primarily used on Ethereum.Soulbound Token (SBT)
A non-transferable type of token representing an individual’s attributes or credentials, such as identity, qualifications, or affiliations.Scalability
The ability of a blockchain network to handle a growing amount of transactions.Seed Phrase
A series of words generated by your cryptocurrency wallet that give you access to the cryptocurrencies associated with that wallet.Segregated Accounts
Separation of client funds from the company’s funds in the operation of a cryptocurrency exchange or financial service.Synthetic Asset
Financial instruments that simulate other instruments while altering key characteristics like reduced costs or improved security.T
Token
A digital asset that is used within a specific blockchain ecosystem. Tokens can represent various assets or utilities and often exist on top of an existing blockchain.Transaction Fee
A fee paid to miners or validators who facilitate transactions on a blockchain network. This fee can vary depending on the network congestion and the complexity of the transaction.Transaction Hash
A unique identifier that represents a specific transaction on a blockchain. It is generated by hashing transaction details and is used to track and verify transactions.Turing Complete
A term used to describe a system that can perform any computation given enough time and resources. Ethereum’s smart contract language, Solidity, is an example of a Turing complete language.Testnet
A test blockchain used by developers to test new features or upgrades without affecting the main blockchain. This allows for safe testing and debugging.Two-Factor Authentication (2FA)
An extra layer of security used to ensure the security of accounts beyond just a username and password. 2FA often involves a code sent to a user’s mobile device or email.Tangle
A type of Distributed Ledger Technology (DLT) used by the IOTA network. It differs from traditional blockchain technology and is designed to facilitate transactions between devices in the Internet of Things (IoT).Tokenomics
The study of how cryptocurrencies work within the broader ecosystem. This includes factors like token distribution, utility, supply, demand, and other economic considerations.Token Sale
Also known as an Initial Coin Offering (ICO), it’s a fundraising mechanism in which new projects sell their underlying crypto tokens in exchange for bitcoin and ether.TPS (Transactions Per Second)
A measure of the number of transactions a blockchain network can process each second.Trustless
A property of blockchain technology where transactions are validated and recorded without needing trust or permission from a central authority.Tezos (XTZ)
A blockchain network that features a self-amending cryptographic ledger. It can evolve by upgrading itself over time without the need to undergo a hard fork.Treasury
In the context of decentralized finance, it refers to the collective pool of funds or assets that are managed by a decentralized organization or protocol.Truffle
A popular development framework for Ethereum that includes a suite of tools to compile, deploy, test, and debug smart contracts.Trezor
A hardware wallet that provides secure storage for various cryptocurrencies. It is a form of cold storage and is considered one of the safer options for storing cryptocurrencies.U
Unconfirmed Transaction
A transaction that has been broadcast to the network but not yet included in a block. It’s waiting for confirmation by network nodes.UTXO (Unspent Transaction Output)
A piece of data in transactions on blockchains like Bitcoin, which represents an amount of digital currency that can be spent. It’s essentially the ‘change’ left over from transactions.Utility Token
A type of cryptocurrency that is not meant to be an investment but rather gives users access to a specific product or service within a blockchain ecosystem.Uniswap
A popular decentralized exchange protocol that allows users to swap various Ethereum-based tokens directly from their wallets without an intermediary.Upbit
A cryptocurrency exchange based in South Korea, known for its wide range of listed cryptocurrencies and significant trading volume.USDT (Tether)
A stablecoin cryptocurrency whose value is pegged to the US dollar. It’s widely used in the crypto space to manage volatility.Uncle Block
In Ethereum, an uncle block is a block that is not included in the main blockchain but is still recognized by the network and rewarded to a lesser degree.Upgrade
In the context of blockchain, an upgrade is a change or enhancement to a blockchain protocol. Upgrades can be backwards-compatible (soft forks) or not (hard forks).User Interface (UI)
The part of a cryptocurrency wallet, exchange, or other blockchain application that allows users to interact with the software visually.UXTO Model
Refers to the transaction model used by Bitcoin. It stands for Unspent Transaction Outputs, and it’s a way of tracking ownership of bitcoins by storing the unspent outputs of transactions.USDC (USD Coin)
A type of stable coin that is pegged to the US dollar and is fully backed by dollar-denominated assets. It aims to combine the stability of the dollar with the technology of digital currencies.uPort
An open-source software project to establish a universal identity system on the Ethereum blockchain. It allows users to register their own identity on Ethereum, send and request credentials, sign transactions, and securely manage keys and personal data.Unpermissioned Ledger
A type of ledger where anyone can participate in the consensus process. It contrasts with permissioned ledgers, where the participants are pre-selected.UTXO Set
This term refers to the collection of all unspent transaction outputs present on a blockchain, such as Bitcoin’s. It represents the state of all spendable coins at a given time.User Activated Soft Fork (UASF)
A method of activating a soft fork upgrade to the blockchain protocol without the direct support of miners. It relies on a majority of users updating their software to enforce new rules.Uphold
A digital money platform offering financial services including the ability to convert, hold, and transact in various cryptocurrencies and other assets.Unstoppable Domains
A blockchain domain name service that allows users to create and manage domain names that are independent of traditional domain name services, with the ownership recorded on a blockchain.V
Validator
In blockchain technology, a validator is a participant responsible for verifying and validating new transactions and blocks. Validators play a crucial role in the consensus mechanism, especially in Proof of Stake (PoS) systems.Vitalik Buterin
One of the co-founders of Ethereum, Vitalik Buterin is a prominent figure in the cryptocurrency world. He is known for his work in developing Ethereum, which introduced smart contract functionality.Volatility
Refers to the degree of variation in the price of a cryptocurrency over time. High volatility means that the price of the asset can change dramatically in a short period, either up or down.Volume
In cryptocurrency trading, volume refers to the number of coins that have been traded (bought and sold) in a specific timeframe. High trading volumes are often associated with better price stability and market health.Voting Rights
In many blockchain systems, particularly those that use a Proof of Stake (PoS) or delegated Proof of Stake (dPoS) consensus mechanism, token holders have voting rights. These rights can be used to make decisions about network upgrades, governance issues, and other key aspects of the network.Virtual Machine
A virtual machine, such as the Ethereum Virtual Machine (EVM), is a software emulation of a physical computer. It runs the code of decentralized applications (dApps) in a decentralized manner across the network.VeChain (VET)
VeChain is a blockchain platform designed to enhance supply chain management and business processes. Its goal is to streamline these processes and information flow for complex supply chains through distributed ledger technology (DLT).Vanity Address
A vanity address in cryptocurrency is a specific type of address that is created to include a human-readable phrase or name. These addresses require significant computational power to generate.Vault
In the context of cryptocurrency, a vault refers to a secure storage method for holding cryptocurrency funds. It usually involves additional security measures compared to a standard wallet, such as time-lock or multi-signature features.Verge (XVG)
Verge is a privacy-focused cryptocurrency and blockchain that aims to offer anonymous and untraceable transactions, primarily through the use of multiple anonymity-centric networks.Vested
In the context of cryptocurrencies, vested often refers to a state where certain tokens or assets are locked up for a period and cannot be sold or transferred. It’s a common practice in ICOs and token sales to ensure long-term alignment of interests.Virtual Currency
This term is often used interchangeably with cryptocurrency, though it can also refer to any digital currency used in a specific virtual environment or online platform.Vortex Score
A technical analysis indicator used within the cryptocurrency market. It’s designed to identify the start of a new trend or the continuation of an existing trend within market price data.Vyper
A programming language for Ethereum that aims to simplify and enhance the security of smart contracts. It is intended to be more straightforward and easier to understand than Solidity, Ethereum’s first programming language.W
Wallet
A digital wallet is a software program or physical device that stores the private and public keys needed to conduct cryptocurrency transactions. There are various types of wallets, including hardware, software, mobile, and paper wallets.Wallet Address
A wallet address is a unique alphanumeric identifier that serves as a virtual location for sending and receiving cryptocurrencies.Wei
The smallest unit of Ether, the cryptocurrency used on the Ethereum network. One Ether is equal to 1,000,000,000,000,000,000 Wei.Whale
In cryptocurrency, a whale is an individual or entity that holds a large amount of a particular cryptocurrency. Their large holdings mean they have the potential to influence market prices.Whitepaper
A document prepared by a project team to explain the technology and purpose of the project. It’s a key element in Initial Coin Offerings (ICOs) and token sales, outlining the project’s philosophy, operations, technology, and tokenomics.Wrapped Bitcoin (WBTC)
An ERC-20 token representing Bitcoin on the Ethereum blockchain. It allows Bitcoin holders to participate in decentralized finance (DeFi) applications on the Ethereum network.Wrapped Tokens
Wrapped tokens are a type of cryptocurrency token pegged to the value of another crypto. They are typically created to allow the original asset to be used on another blockchain.
WETH (Wrapped Ether)
Similar to Wrapped Bitcoin, WETH is Ether wrapped as an ERC-20 token to enable direct use in Ethereum’s DeFi ecosystem.
Web3
A term used to describe a new paradigm in web services that incorporates decentralized technologies, particularly blockchain. It represents a shift from centralized to decentralized network architectures.
Witness
In blockchain contexts, especially in systems like Bitcoin’s SegWit, a witness refers to the part of a block transaction that includes the signatures and other data confirming its validity.
Wyckoff Method
A technical analysis approach for financial markets. Though not specific to cryptocurrency, it’s used by traders to understand market cycles and investors’ behavior.
Wash Trading
The illegal practice of buying and selling a financial instrument simultaneously to create misleading, artificial activity in the marketplace. This can also happen in crypto markets.
WASM (WebAssembly)
An efficient, low-level bytecode format that provides faster execution than traditional JavaScript engines. It’s being adopted in various blockchain projects to improve smart contract performance.
Wallet Seed
A sequence of words generated by your cryptocurrency wallet that gives you access to the cryptocurrencies stored in it. It’s crucial for backup and recovery of the wallet.
Watchlist
A feature in many cryptocurrency trading platforms where you can track the price movements and other information of specific cryptocurrencies that you are interested in.
Winklevoss Twins
Cameron and Tyler Winklevoss are well-known figures in the cryptocurrency space, particularly for their early involvement in Bitcoin and their founding of the Gemini cryptocurrency exchange.
X
XRP
The native digital asset of Ripple, a real-time gross settlement system, currency exchange, and remittance network. XRP is used within the Ripple network to facilitate transfers of different currency types, including fiat currencies and other major cryptocurrencies.XLM
Stellar Lumens (XLM) is the native cryptocurrency of the Stellar network, a blockchain-based distributed ledger network that connects banks, payment systems, and people to facilitate low-cost, cross-asset transfers of value, including payments.
XMR
The ticker symbol for Monero, a privacy-focused cryptocurrency that obfuscates the participants and the amount of every transaction.
XEM
The native currency of the NEM (New Economy Movement) platform, a blockchain platform that offers features like P2P secure and encrypted messaging system, multi-signature accounts, and an Eigentrust++ reputation system.
X-Chain
In certain blockchain contexts, this term refers to a specific chain or a type of blockchain within a larger ecosystem, especially in platforms that operate multiple chains for different purposes.
X-Address
A type of address in certain cryptocurrencies, like Ripple (XRP), that combines the destination address and the destination tag into a single, more user-friendly address. This is used to simplify transactions and reduce errors in sending and receiving digital assets.
XaaS (Everything as a Service)
While not exclusive to crypto, this term is increasingly relevant in the context of decentralized applications (dApps). It refers to a broad category of services and products available over the internet, encompassing various types of cloud-based solutions.
Y
Yield Farming
A practice within the decentralized finance (DeFi) space where users lend or stake their crypto assets in return for interest or rewards. Yield farming often involves moving assets around between different lending markets to maximize returns.
Yield
In the context of cryptocurrency, yield refers to the earnings generated and realized on an investment over a particular period of time. It’s usually expressed as a percentage based on the invested capital, the current market value, or the face value of the investment.
YTD (Year-To-Date)
This term is used to describe the performance of an investment, such as a cryptocurrency, from the beginning of the current year to the present date.
Yobit
A cryptocurrency exchange platform known for listing a wide variety of altcoins.
YOLO (You Only Live Once)
While not exclusive to crypto, this term is often used in the community to describe a risky or impulsive investment decision, reflecting a high-risk, high-reward mentality.
Yellow Paper
In the crypto world, a yellow paper is a document that offers a technical description of the protocol, philosophy, or technology underlying a specific cryptocurrency. It’s more detailed and technical than a white paper.
YCC (Yuan Chain Coin)
The native cryptocurrency of the Yuan Chain platform, a blockchain network.
Z
Zcash (ZEC)
Zcash is a cryptocurrency aimed at using cryptography to provide enhanced privacy for its users compared to other cryptocurrencies such as Bitcoin.
Zero Knowledge Proof
This is a method by which one party (the prover) can prove to another party (the verifier) that they know a value x, without conveying any information apart from the fact that they know the value x.
Zk-SNARKs (Zero-Knowledge Succinct Non-Interactive Argument of Knowledge)
A form of zero-knowledge proof technology that allows one party to prove it possesses certain information without revealing that information. Zk-SNARKs are crucial for privacy-focused cryptocurrencies.
Zk-STARKs (Zero-Knowledge Scalable Transparent Arguments of Knowledge)
An improved form of zk-SNARKs, zk-STARKs are used for achieving privacy in blockchain transactions. They are scalable and do not require a trusted setup.
Zeppelin
A company that audits smart contract code in the blockchain space, known for its work in improving the security of Ethereum smart contracts.
Zilliqa (ZIL)
A blockchain platform designed to scale securely in an open, permission-less distributed network. Zilliqa is notable for its implementation of sharding technology to achieve high throughput.
Zombie Chain
A term used in blockchain to describe a blockchain that is dead or dying due to a lack of community interest, development, or user adoption.
Zebpay
A cryptocurrency exchange that offers a simple and easy way to buy and sell cryptocurrencies.