Crypto Dictionary

Common terms and phrases with definitions that are used in crypto

APR: Annual percentage rate or Yearly interest rate (Can adjust)
APY: Annual percentage yield or Yearly Interest Yield
ATH: All Time High, Highest point of Value
Bear Market/Season: Period of time where the market is low
Bearish: To feel that the market will decrease in value. Ex: I'm feeling bearish about Bitcoin.
Blockchain: Technology that records transactions and tracks assets across a network of computer systems. It is the foundation of Cryptocurrency and Web3.
Bridge: Site that allows you to bridge token from one network to another
Bullish: To feel like the market is going to increase in value. Ex. I'm feeling bullish about Bitcoin.

Bull Market/Season: Period of time where the market is rising in value
Buying an NFT: Purchasing an NFT that’s already been minted.
Buy Low, Sell High: Purchase crypto when the market value is at a low point, Sell crypto when the market value is at a high point.
Buy the Dip: Purchasing more crypto when the market is at a low point of value
Circulating Supply: Number of coins that has been issued out so far
Cold Wallet: A wallet that you own the passkeys to and store your digital assets on the blockchain.
Connect Wallet: Connecting your wallet to a Dapp/Web3 site
Cross Chain: Dapps that add interoperability between different blockchains

Crypto Wallet Address: A place to store digital assets
DAO (Decentralized Autonomous Organization): An organization designed to be automated and decentralized. It acted as a form of venture capital fund, based on open-source code and without a typical management structure or board of directors.
Decentralization: Collective of participants have majority rule instead of having one centralized person/group with authority.
DeFi (Decentralized Finance): New internet based version of finance that puts the power in the peoples hands, and removes the control that banks and institutions have on money.
DeFi Coin/Project: Coin/Project created for DeFi Dapps
Dex (Decentralized Exchange): Where you can swap/trade cryptocurrency
Dollar Cost Averaging: Investing method of choosing a set amount of money you want to purchase crypto with over a set amount of time. Ex: $50 a week into Bitcoin for 6 months.
DYOR: Do Your Own Research

Exchange: Where you can buy/sell/send/receive cryptocurrency
Farming: Lock money in exchange for their token
Fiat currency: Government issued money that is not backed by anything (USD,EURO, PESO, YEN)
FOMO: Fear of missing out
FUD: Fear, Uncertainty, Doubt
Gaming: Dapp that contains gaming components
Hardware Wallet: Physical wallet that allows you to store your digital assets. Safest form of protection.
HODL: Hold On for Dear LIfe (Hold your crypto for a long period of time)

Indexes: A way to track/created the performance of a group of related assets
Insurance: Designed to provide monetary protections
Interoperability: Ability to connect blockchain networks together
ISO 20022: Electronic data interchange between financial institutions
ISO 20022 Coins: Cryptocurrencies that are compliant with ISO 20022 (XRP, XLM, ALGO, XDC, IOTA)
Launchpad: Dapps that launch new projects and coins
Ledger: A database that stores transactions and maintained in a decentralized form. Same technology as a Blockchain.
Ledger Nano: Physical device to store digital assets

Lending & Borrowing: Allow users to lend and borrow assets
Liquidity Staking: Rewards/Liquidity for staked assets
Market Cap: The total value of a coin
Max Supply: Total amount of coins created
Meme Coin/Project: Coin/Project built off of a meme/trend
Metaverse Coin/Project: Coin/Project built for Metaverse platforms
Minting an NFT: The action of creating a new NFT or the action of revealing an NFT from a collection
Multi-Chain: Projects that operates on multiple blockchains

NFT (Non-Fungible Token): A digitized asset that is stored on the blockchain. Digital Proof of Ownership
NFT Lending: Dapp that allow you to colletarize your NFT for a loan
NFT Marketplace: Dapps where users can buy/sell/rent NFTs
Node: Nodes validates transactions on the blockchain. The more nodes built on a blockchain the better, due to it allowing the blockchain to approve transactions faster.
Options: Dapps that give you the right to buy an asset at a fixed price
Oracle: Dapp that connect data from the outside world (off-chain) with the blockchain world (on-chain)
Prediction Market: Dapp that allow you to wager/bet/buy in future results

Proof of Stake (PoS): Randomly selected miners to confirm transactions
Proof of Work (PoW): Method where miners compete to confirm transactions and add new blocks to the blockchain
Reserve Currency: A Dapp that uses a reserve of valuable assets acquired through bonding and staking to issue, and back its native token
ROI: Return of investment
Rug Pulled: Where a project/coin dies out or completely shuts down
Stable Coin: Coin that doesn’t increase nor decrease in value, and is usually pegged to an asset
Staking: A way of locking your assets up for exchange of rewards. Crypto version of Dividends
Smart Contract: Programs on a blockchain are automated to execute agreements and pre-determined decisions for participants

Use Case/Utility: The purpose of the project, problem the project solves
Utility Coin/Project: Coin/Project built to have real world/societal usage
Volume: How much money has been invested or even how frequently people have purchased a particular coin (usually the last 24 hours)
Web 3.0: An internet that does not require individuals to hand over their information to companies to use their services.
Whales: Wallets containing large amounts of Crypto
Yield: Dapps that pay you a reward for your staking/LP on their platform

Intro 2 Crypto