218 Crypto Terms You Need to Know in 2023

Table of contents

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51% Attack

A form of network attack when there is a group of miners who control 50% of the computing power

A

AML (Anti Money Laundering)

A framework that includes legal, legal and regulatory procedures to minimize and limit the flow of money generated from illegal activities.

AMM (Automated Market Maker)

The tool brings automatic liquidity to the exchange.

APR

The annual percentage is the interest you’ll pay on an outstanding debt yearly.

APY

The annual percentage yield is the rate earned on an investment in a year, considering the effect of compound interest.

ASIC

Application Specific Integrated Circuit refers to specialized ICs in electronics. An ASIC miner refers to a computerized device or hardware that uses an ASIC for mining cryptocurrency.

ATH (All-Time-High)

ATH stands for All-Time-High, which is the highest price of a cryptocurrency

ATL (All-Time-Low)

The lowest point (in price, market cap) that a cryptocurrency has ever had historically.

Account

Accounts you register on exchanges or social media accounts so you can track the financial performance of specific assets.

Address

Where cryptocurrency can be sent to and sent in the form of a string of letters and numbers.

Airdrop

Airdrop is a reward of the project distributed to users

Allocation

The allocation of tokens or equity through earning, purchasing, or reserving for investors, groups, or institutions. These allocations can be paid at the same time on a certain date or in periods according to a predetermined schedule.

Altcoin

Altcoins are collections of non-Bitcoin cryptocurrencies.

Angel Investor

An individual provides capital for a new business venture or startup.

Auction

A live event where customers offer competitive prices for assets and services. The property or service will be sold to the person offering the highest price.

Audit

The work of testing the security vulnerabilities of the crypto project by examining the code in the project’s product.

B

BEP-2

A standard of tokens on Binance Chain.

BEP-20

A standard of tokens on Binance Smart Chain.

BEP-721

A technical standard defines a set of rules for issuing NFTs within the Binance Smart Chain ecosystem.

BEP-95

A real-time BNB burn mode on Binance Smart Chain.

Bags

One’s crypto portfolio is holding.

Bear Market

Falling market, in which the price of cryptocurrencies drops suddenly and persistently.

Bitcoin Dominance

Bitcoin’s Market Cap Ratio Compared to Other Cryptocurrencies

Bollinger Bands

The technical analysis indicator is composed of 2 moving averages to measure market volatility.

Breakout

Price action breaks out of the pattern or resistance

Bull Market

Bull market, in which the price of cryptocurrencies rises sharply and lasts continuously.

C

CEX (Centralized Exchange)

Centralized exchange. Intermediary locations facilitate cryptocurrency transactions between buyers and sellers.

Call option

Call options. A type of option that increases in value when the stock rises in price. They are the most well-known type of options and allow the holder to lock in the price to buy a specific stock on a specific date.

Candlestick

A candlestick chart is used by traders to identify possible price movements based on historical patterns.

Capital

Defined as a large amount of money you will use to invest.

Cloud Mining

A simple way to earn cryptocurrency is by renting computing power from third-party sources.

Coin

A cryptocurrency built on the foundation of its own blockchain, operating independently of each other, anyone can participate in its network.

Cold wallet

Cold wallets. This is a cryptocurrency wallet that is not connected to the internet or any other insecure network when not in use.

Contract

In cryptocurrencies, smart contracts execute functions on the blockchain.

Cross-chain

The transfer solution allows two separate blockchain networks to communicate with each other. In other words, it allows assets to be transferable from one blockchain to another.

Crowdloan

The implementation of new projects to raise funds through DOT or KSM for slots on the Kusama or Polkadot networks.

Crypto Debit Card

A type of debit card that allows its holder to pay for goods and services with cryptocurrencies such as Bitcoin (BTC), Litecoin (LTC), and Ethereum (ETH).

Whale

Organizations or individuals hold a large amount of assets such as BTC, ETH …

D

DAO (Decentralized Autonomous Organization)

A system of encrypted rules for decentralized organizations.

DApp (Decentralized Application)

The applications run on a peer-to-peer network instead of a central computer. This allows the software to run on the internet without being controlled by a single entity.

DCA (Dollar Cost Averaging)

A strategy of splitting the amount to invest fixed and often regardless of the price of the asset.

DEX (Decentralized Exchange)

A decentralized exchange. Users can trade directly from their wallets without having to deposit funds into the exchange.

DeFi (Decentralized Finance)

An ecosystem consisting of decentralized applications developed on different blockchain networks.

Double Spending

A certain cryptocurrency can be spent twice. It is usually the result of 51% of attacks or race attacks.

Downtrend

Demonstrating a bearish trend in the market can be in the short or long term.

And

E-Signature

An electronic signature is a broad term for any type of signature in electronic format. Refers to data in electronic form that is attached to other data in electronic form and is used by the signatory for signing, used in electronic transactions.

EMA (Exponential Moving Average)

A type of moving average gives more weight to recent prices in the calculation. This makes it more responsive to recent price changes.

ERC-20

A token standard on the Ethereum network was first proposed in November 2015.

ERC-721

A technical standard that defines a set of rules for issuing NFTs within the Ethereum ecosystem.

EVM (Ethereum Virtual Machine)

The Ethereum virtual machine, like a processor or computer, lends its accumulated computing power to developers. Developers use this resource to create smart contracts and dApps.

Elliott Waves

A technical analysis indicator, a reliable tool for various portfolio managers, suggests that it is possible to reasonably predict cryptocurrency price movements by studying price history as the market moves in wave-like patterns driven by investor sentiment.

Exchange

The venue allows customers to trade cryptocurrencies for fiat or other cryptocurrencies.

F

FOMO (Fear Of Missing Out)

FOMO, short for Fear Of Missing Out, is a psychological effect of fear of missing out on something.

FUD (Fear, Uncertainty, and Doubt)

A propaganda strategy in marketing is used to spread fear and insecurity in customers and investors.

Fakeout

A price action breaks out of the pattern, resistance, and support, then quickly reverses without resuming the previous breakout trend.

Fan Token

A cryptocurrency issued by a particular sports club allows its holder to participate in management activities and achieve exclusive rewards & discounts.

Fiat

Fiat is a currency issued by the central bank.

Flash Loan (Quick Loan)

A transaction in which a specific amount of liquidity is borrowed and repaid in the same transaction or block.

Flash Loan Attack

The attacks exploit flash loans and loopholes in the protocol for personal gain.

Fork (Blockchain)

Forks, or splitting chains, create an alternative version of the blockchain so that two blockchains run simultaneously.

Futures Contract

A buy-and-sell agreement on the future price of a particular asset.

G

GameFi

A combination of DeFi, NFTs, and blockchain-based online games.

Gas

The pricing mechanism is used on the Ethereum blockchain to calculate the cost of smart contract operations and transaction fees.

Gems

The term refers to low-cap coins that are relatively little-known but have enormous potential or are undervalued.

Genesis Block

The first block is recorded on the blockchain network.

Golden Cross

A bullish signal occurs when the short-term moving average (MA50) exceeds the long-term moving average (MA200).

Google Authenticator

The verification system is based on software that generates a unique one-time code based on the time spent on your mobile phone.

Governance Token

A token can be used to vote on decisions affecting the ecosystem.

Gwei

The smallest unit of Ether. It is often used to measure the amount of gas used when trading. 1,000,000,000 wei = 1 Giga wei (Gwei)

H

HODL

An act of holding crypto assets without selling. This is a misappropriation of the word “HOLD” derived from Bitcointalk. Many people also assume that HODL stands for Hold On for Dear Life.

Halving

The event reduces the block reward by 1/2. This is a mechanism that reduces the issuance rate of new coins.

Hard Cap

The maximum amount that a project intends to raise during the ICO, IEO,…

Hash Rate

A unit that measures the speed at which a computer or mining hardware can calculate new hashes

Hot Wallet

A cryptocurrency wallet is connected to the internet to store cryptocurrencies instead of an offline cold wallet.

I

ICO (Initial Coin Offering)

A form of fundraising for crypto projects. The project will sell its cryptocurrency to investors.

IEO (Initial Exchange Offering)

A form of fundraising for cryptocurrency projects guaranteed by the exchange

IPFS (InterPlanetary File System)

A protocol for storing and accessing distributed content.

IPO (Initial Public Offering)

Activities of companies that first open their shares to the public

Impermanent Loss

The term refers to when a liquidity provider loses money temporarily due to volatility in a trading pair.

Internet of Things (IoT)

A global network of interconnected devices, sensors, and software can collect and exchange data with each other in real time over the Internet.

Invest

Only the act of putting money into a financial plan with the intent of making a profit.

Isolated Margin

The margin balance is allocated to a position.

J

Jager

The smallest unit of BNB. 1 Jager = 0.00000001 BNB

Jomo

The joy of ignoring what ‘seems fun’ that others do, focusing on what makes you truly happy. JOMO is the opposite of FOMO.

K

KYC (Know Your Customer)

A standard process in the financial industry that allows companies to identify their customers and comply with AML.

Keylogger

A function that records or keystrokes on a computer. In the hands of cybercriminals, keyloggers are a tool to steal your information.

L

Large Cap

Established projects and organizations with a market capitalization of $10 billion or more

Layer 0

Also known as the Data Transfer Layer, it is the bottom layer of the OSI model and mainly involves the integration between blockchain and traditional networks.

Layer 2

A framework or protocol built on top of an existing blockchain to provide scalability

Layer-1 Blockchain

A set of solutions that improve the base protocol itself.

Lightning Network

Layer 2 operates on the existing blockchain, allowing for increased transaction speeds between participating nodes.

Limit Order/Limit Buy/Limit Sell

The tools allow traders to automatically buy or sell cryptocurrencies on the trading platform when a certain price target is reached.

Limit order

A type of order to buy or sell a cryptocurrency at a specific price or a better price.

Liquidation

Liquidation refers to the conversion of an asset or cryptocurrency for fiat or its equivalent, such as Tether (USDT) and other stablecoins. In the cryptocurrency industry, forced liquidation occurs with margin trading, where a trader’s position automatically closes when they fail to sustain the demand of a leveraged position.

Liquidity

The ability to sell or buy any given asset without causing significant fluctuations in its market price.

Liquidity Bootstrapping Pool (LBP)

A Smart Pool with the function of changing the proportion of tokens in the Pool over a predetermined time.

Liquidity Mining

A mechanism or process in which participants offer cryptocurrency into liquidity pools and are rewarded with fees and tokens based on their share.

Liquidity Pool

Crypto assets are kept to facilitate the trading of trading pairs on decentralized exchanges.

Liquidity Provider

Decentralized exchange users fund the liquidity pool with tokens they own.

Long

A situation in which you buy cryptocurrency with the expectation of selling it at a higher price for a profit later.

Low Cap

Established projects and organizations with a market capitalization of less than $50 million.

M

Mainnet

A complete blockchain is launched after the testnet phase.

Margin Trading

A form of trading with borrowed capital, also known as margin trading.

Market

An area or arena, online or offline, in which commercial transactions are carried out.

Market Maker

The trader places a limit order on the market. Market Maker provides liquidity and depth to the market and profits from arbitrage in executing trades.

Market Taker

Market participants in trading seek immediate liquidity to execute their trades and positions. That is, the person executes orders from the order book created by Market Maker.

Market cap (Market Capitalization)

The total transaction value of a given cryptocurrency – is calculated by: the number of its supply * the current price.

Masternode

Nodes on the network usually require staking a minimum amount of a given coin in order to receive staking rewards.

Max Supply

The maximum number of coins that a project releases.

Maximum Supply

The maximum number of coins or tokens that will be created for a given cryptocurrency.

Memecoin

A cryptocurrency that originated from a meme on the Internet or has some other comedic characteristic.

Metaverse

A digital universe contains all aspects of the real world.

Mid Cap

Established projects and organizations have a market capitalization of $1 billion to $10 billion.

Miner

Contributors to a blockchain participates in the mining process.

Mining

It is the process of verifying transactions on the blockchain network.

Mining Pool

An arrangement in which several miners aggregate their resources to increase their chances of finding the next block.

Mining Reward

The income that miners receive after finding and validating a block.

Money Flow Index (MFI)

A Money Flow Index is a technical indicator that measures the buying or selling pressure of an asset through price and volume.

Moon

A word that describes the upward trend in the price of crypto assets or other asset classes.

Moving Average (MA)

A moving average (MA) is a technical indicator that reacts to the trend of financial markets and is used by market experts to predict the trend direction of an asset.

Multi-chain

Refers to multi-chain or cross-platform. If a project is deployed on a multichain, it means that the project is deploying on two or more Ethereum, BSC, or other blockchains.

Multisignature

An extra layer of security by requiring more than one key to allow a transaction.

N

NFT (Non-fungible Token)

A type of token that represents a digital asset or real-world asset. This token is unique and non-interchangeable.

Node

A participant on the blockchain network communicates with other participants to ensure the security and integrity of the system.

Non-Custodial

Usually refers to the storage of keys. It relates to wallets or exchanges. This is a setting in which the private key is directly held by the user. No one, including the wallet provider, has the right to access, freeze or trade the assets of the wallet owner.

O

OTC

Trading is done outside of the exchange, usually peer-to-peer through private transactions.

Off-chain

Transactions occur outside a certain blockchain network, which can later be reported or grouped together before being sent to the main chain.

On-chain

Transactions are recorded on the blockchain itself and are visible to all nodes on the blockchain network.

Open-source

Mention that participants in the information are freely available so that users can modify or add some other outstanding updates and features in pursuit of the greater common good.

Opensea

A decentralized P2P platform for NFT trading.

Options Market

A public market for options, which gives buyers the option to buy or sell cryptocurrencies at a specific actual price, on or before a specific date.

Oracle

A data source or data feed from a third party is used to determine the outcome of smart contracts.

Order book

Electronic list of outstanding buy and sell orders for a particular asset on an exchange or market.

Oversold

Refers to a cryptocurrency that is sold by investors more and more over time, with its price falling for a long time.

P

Pair

Trade between one cryptocurrency against another, such as the BTC/ETH trading pair.

Parachain

Application-specific data structures run in parallel with each other in Polkadot.

Peer-to-Peer (P2P)

IT infrastructure allows two or more computer systems to connect and share resources without requiring server or generally 3rd party intervention.

Permissionless

Often used to describe blockchains, a supposedly permissionless system when no entity can dictate who can use it and how to use it.

Perpetual Contract

A derivative product differs from futures contracts because it does not have an expiration date.

Platform

With the cryptocurrency and blockchain space, the term refers to the parent blockchain of tokens or can refer to an exchange where you can trade cryptocurrencies.

Play-to-Earn (P2E)

An open economy and giving financial rewards to players who bring value to its metaverse.

Ponzi Scheme

A fraudulent investment involves the purported payment of profits to existing investors from funds contributed by new investors.

Portfolio

A collection or catalog of cryptocurrencies or crypto-assets held by an investment firm, hedge fund, financial institution, or individual.

Pre-IDO

Refers to the token offering before the actual initial DEX offering (IDO) takes place.

Pre-Sale

The sale of cryptocurrency, before it is made public, to specific investors.

Private Key

Often referred to as cryptocurrency wallets, a character string format for connecting to an account, quite similar to a bank account’s password. To be able to use the funds in the wallet, this code must match the public key.

Proof-of-Stake (PoS)

A consensus protocol or set of rules is used to validate cryptocurrency transactions through staking.

Proof-of-Work (PoW)

The first consensus algorithm was created in the Blockchain. Cryptocurrencies like Bitcoin use PoW to confirm transactions and create new blocks that are added to the chain.

Protocol

The set of rules defines interactions on the network, usually involving consensus, validating transactions, and joining the network on a blockchain.

Public Key

A sequence of numbers that are random and can be used to encrypt a message, which only the intended recipient can decrypt and read using the associated private key.

Public Sale

The period of time the asset or service is launched on the market and made available to all customers to buy. Often conducted on exchange platforms and websites such as DEX and CEX exchanges in the form of ICO, IDO, and IEO for cryptocurrencies.

Pump

In crypto, it is used to refer to the act of buying a large number of coins/tokens in order to push up demand and price.

Q

QR Code

A form of information that is encoded to be displayed so that it can be read by the machine.

R

REKT

A loss or split account of a trader, is used to joke about a newly bought coin being deeply discounted and many other cases.

KING

The ratio between net profit and investment costs.

RSI (Relative Strength Index)

Relative strength index. This is a momentum oscillator that measures the magnitude of price movements as well as the speed of these movements. It is also an important technical analysis indicator.

Rank

The position of a cryptocurrency is ranked by market capitalization.

Ransomware

A type of malware used by hackers to steal or encrypt victims’ files in order to blackmail them for ransom in exchange for decrypting or recovering files.

Replay chain

The central chain is used by the Polkadot network.

Resistance

Resistance. The highest point on the chart where when the price moves to that level, the market will find it difficult to break it.

Roadmap

A visual summary helps map out the vision as well as the direction of a particular product.

Rug Pull

A form of scam in which developers abandon a project and take money from their investors.

S

SEC

The Securities and Exchange Commission (SEC) is an independent government agency responsible for regulating the securities market.

SHO (Strong Holder Offering)

The fundraising mechanism by which eligible investors are selected is based on on-chain activities and other data sets.

Satoshi (SATS)

The smallest unit of bitcoin has a value of 0.000000001 BTC.

Satoshi Nakamoto

The individual or name of a group of individuals who created Bitcoin.

Scam

The scheme is designed to scam users to hijack people’s cryptocurrencies.

Scamcoin

The coins are created in the form of “get-rich-quick or pump-and-blow schemes” by their developers.

Scammer

Participant scam plan.

Scholarship / Scholar

Common use in Axie Infinity is the process by which managers lend their free Axies to “scholars” who are new to the game and don’t have enough money to form a team of the three NFT monsters needed to play the game.

Security Token

A digital form of traditional securities. Security token holders can receive many of the same benefits as stocks and other securities.

Seed Phrase

Also known as a recovery phrase, backup phrase, or mnemonic phrase. It refers to a list made between 12 and 24 words, in a specific order, used by cryptocurrency wallet users to regain access and control of their funds on-chain.

Sell Wall

A situation in which a large limit order has been placed to sell when the cryptocurrency reaches a certain value.

Sharding

A scaling approach allows blockchain states to be divided into partitions containing transaction states and histories. Each segment can be processed in parallel.

Shitcoin

A coin has no value or potential use with no clear information.

Smart contract

An agreement between two people or entities in the form of computer code programmed to execute automatically. Smart contracts are executed on the blockchain, which means that terms are stored in a distributed database and cannot be changed.

Snapshot

Refers to the ability to record the state of something at a specific time. In blockchain, snapshots refer to the act of recording the state of a blockchain at a specific block height.

Stablecoin

A cryptocurrency designed to maintain a stable value rather than undergo significant price changes.

Support

Support. In contrast to resistance, support is the lowest point on the chart, where when the price moves to that level, the market will find it difficult to break it.

Symbol

Code of a cryptocurrency; for example, the symbol of Bitcoin is BTC.

Synthetic Asset

Synthetic assets, sometimes called synths, are a combination of cryptocurrencies and traditional derivatives.

T

Taproot

An upgrade to Bitcoin aims to improve the privacy and efficiency of its network.

Technical Analysis (TA)

The method or so-called is a tool used to predict possible future price movements of cryptocurrencies, stocks,… based on market data.

Technical Indicator

The calculation is based on the price, volume, or open interest of a security or contract used by traders who follow technical analysis.

Testnet

A term for the mechanism by which blockchains are tested. Through this network, developers can perform tests without the risk of affecting the correct operation of the main network.

Token

A type of digital asset created on the Blockchain is already available.

Token Generation Event (TGE)

When the token is issued.

Token Sale

Refers to the initial offering of a cryptocurrency token to a group of private investors before it is officially sold on the market.

Token Standard

A set of standards by which tokens are developed on a blockchain platform. ERC-20, for example, is the most popular standard for tokens operating on the Ethereum blockchain.

Tokenomics

Demonstrates the essence of the economic model of crypto assets. It includes a set of rules governing the issuance and supply of cryptocurrencies.

Total Supply

The total number of coins/tokens available minus any amount that has been burned.

Total Value Locked (TVL)

An index representing the total value of all assets deposited into decentralized finance (DeFi) protocols to earn rewards, interest, new tokens,…

Trade volume

The volume of cryptocurrencies has been traded over the past 24 hours.

Trading bot

A program designed to automate trading crypto assets on behalf of traders.

Transaction (TX)

The act of exchanging cryptocurrencies on the blockchain.

Transaction Fee

A payment for using the blockchain for transactions.

Two-Factor Authentication (2FA)

Two-factor authentication (2FA) is an access method that requires two different forms of authentication.

In the

Uptrend

Demonstrates an upward trend of the market that can be in the short or long term.

Utility token

The tokens are specifically designed to be able to help people use something.

V

Validator

A participant in the blockchain has a Poof Stake consensus mechanism. They participate in validating blocks to receive rewards.

Venture Capital

A form of private equity provided to fund small businesses, which at an early stage are considered to have high growth potential.

Virtual Automated Market Makers (vAMMs)

A system that provides aggregated (or virtual) liquidity, allowing traders to buy and sell derivatives entirely on the blockchain.

Virtual Reality (VR)

The use of computer technology to create a simulated environment can be explored from a 360-degree perspective.

Vitalik Buterin

One of the creators of Ethereum, the second largest cryptocurrency after Bitcoin.

Volume

The volume of cryptocurrencies that have been traded over a certain period of time, such as the last 24 hours.

W

Wallet

A place where cryptocurrency users can store, send and receive assets.

Watchlist

A feature of the site where users can create their own cryptocurrency lists to follow.

Weak Hand

Mention that traders tend to panic and sell when cryptocurrencies show the first signs of price decline.

Web 1.0

A term often used to describe the first version of the Internet.

Web 2.0

Describes the current state of the web, supports more user-generated content, and is more stable for general users than Web 1.0

Web 3.0

The new generation of the internet.

Web3 Foundation

Established to promote new technologies and applications in the field of decentralized web software protocols.

Wei

The smallest fraction of Ether, for each Ether, is 100000000000000000000 Wei.

White paper

A document released by a crypto project provides investors with technical information about the concept of the project and a roadmap documenting the project’s development plan.

And

YTD

From the beginning of the year until now.

Yield Farming

Mention involves earning interest by investing cryptocurrencies in decentralized financial markets.

Z

Zero Confirmation Transaction

An alternative phrase for an unconfirmed transaction.

Zero-Knowledge Proof

Allows a party to provide proof that a transaction or event occurred without revealing the private details of that transaction or event.

Zk-SNARK

Evidence allows a party to prove that it owns certain information without disclosing it.

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