Your definitive guide to cryptocurrency terminology. Browse 113 crypto terms, definitions, and explanations to navigate the digital asset ecosystem with confidence.
A strategic distribution of complimentary tokens to stimulate interest and engagement in a cryptocurrency asset.
The peak historical price of a traded asset.
A cryptocurrency that serves as an alternative to the dominant coin in its category.
A market phase characterized by a surge in altcoin investments.
A decentralized trading platform that uses smart contracts and algorithms to determine asset prices.
The projected annual return, factoring in compound interest.
The practice of profiting from price discrepancies of the same asset across different markets.
Specialized hardware designed for efficient cryptocurrency mining.
A resource with economic value expected to provide future benefit.
An investor holding onto depreciating assets.
A market condition characterized by falling prices and pessimistic sentiment.
A sub-unit of Bitcoin, equivalent to 100 satoshis.
Bitcoin (BTC) is the first and most secure peer-to-peer electronic cash system, underpinned by blockchain technology.
A cryptocurrency designed for peer-to-peer electronic cash transactions.
A collection of transactions confirmed on the blockchain, each block building upon the previous one.
The number of blocks preceding a particular block in a blockchain.
The reward given to a miner for validating a new block on the blockchain.
A decentralized, peer-to-peer ledger system composed of a continuous chain of blocks.
A term used to describe positive market sentiment, characterized by rising prices and investor confidence.
The intentional or unintentional destruction of cryptocurrency tokens, permanently removing them from circulation to affect supply.
A counterproductive investment strategy of buying an asset at a high price and selling it at a low price, often driven by emotional decision-making.
An investment strategy of purchasing an asset at a low price and selling it at a high price to maximize profit in markets.
An investment strategy of purchasing an asset after a significant price decrease.
A rule in Bitcoin Cash that orders transactions within a block by their transaction ID, enabling faster lookup and mining optimizations.
A privacy-enhancing protocol on Bitcoin Cash that obfuscates transaction trails to enhance user privacy without requiring trusted setup.
A privacy protocol on Bitcoin Cash that enhances user privacy by shuffling coins into uniform denominations.
The total number of coins or tokens that are actively available in the market.
The number of blocks added to the blockchain since a transaction was included.
The process used by blockchain networks to agree on the state of the distributed ledger.
A platform that facilitates the buying, selling, and trading of cryptocurrencies. Exchanges can support crypto-to-crypto or crypto-to-fiat transactions and serve as crucial infrastructure in the digital asset ecosystem.
A temporary recovery in prices during a prolonged bear market.
A potential scenario where a blockchain's functionality grinds to a halt due to a sudden decrease in hash power.
A decentralized application (DApp) is a software application that runs on a distributed computing system, most commonly a blockchain.
A decentralized exchange (DEX) is a platform that allows users to trade digital assets directly with each other, without the need for an intermediary, such as a brokerage or bank.
DeFi, or Decentralized Finance, is a revolutionary sector in the blockchain industry that uses smart contracts to create permissionless financial services that are open to everyone and operate without intermediaries.
A term used in the investing community to describe an investor's strong will to hold onto their investments, even in the face of significant price drops or volatility.
A systematic investment strategy that involves buying a fixed dollar amount of an asset at regular intervals, regardless of its price.
A fraudulent technique where the same digital currency is spent more than once, exploiting the digital nature of cryptocurrency transactions.
A trading term referring to the rapid selling off of a cryptocurrency or other asset, often causing its price to drop significantly.
A minuscule amount of a crypto asset that is less than the minimum transaction fee, rendering it economically impractical to transfer.
A standard for fungible tokens on the Ethereum blockchain, defining a common list of rules for all Ethereum tokens to follow.
A standard for non-fungible tokens (NFTs) on the Ethereum blockchain, often used for unique digital assets and collectibles.
Ethash is Ethereum's Proof-of-Work (PoW) hashing algorithm, designed to be ASIC-resistant and memory-intensive to promote decentralization.
Ethereum (ETH) is a decentralized, open-source blockchain network featuring smart contract functionality.
The Ethereum Virtual Machine (EVM) is the runtime environment for executing smart contracts on the Ethereum blockchain and EVM-compatible networks.
A faucet is a method of distributing small amounts of free cryptocurrencies to users, often as a promotional strategy or educational tool to introduce new users to blockchain technology.
Fiat currency is a type of currency that is declared as legal tender by a government, and it is not backed by a physical commodity like gold or silver.
The Flippening refers to the hypothetical future event when a cryptocurrency surpasses Bitcoin in market capitalization, becoming the most valuable cryptocurrency.
Fear Of Missing Out (FOMO) is an emotional response in trading, driving individuals to invest due to the fear of missing out on potential profits.
A fork is a divergence in a blockchain that results in two or more separate paths, often due to changes in consensus rules or protocol updates.
FUD, or Fear, Uncertainty, and Doubt, refers to the spread of negative, misleading, or false information to harm the reputation of a cryptocurrency or project.
The Genesis Block, also known as Block 0, is the first block of a blockchain, marking the inception of a new cryptocurrency.
Halving is a pre-scheduled event in a blockchain where the reward for mining new blocks is halved, decreasing the rate at which new tokens are generated.
Hash rate refers to the computational power used in mining and validating transactions on a blockchain network.
Hodl, a misspelling of 'hold', is a slang term in the crypto community for holding onto a cryptocurrency long-term regardless of price volatility, reflecting conviction in its future value.
An ICO, or Initial Coin Offering, is a fundraising mechanism in which new projects sell their underlying tokens in exchange for established cryptocurrencies like Bitcoin, Bitcoin Cash, or Ethereum.
An IEO, or Initial Exchange Offering, is a fundraising event where a cryptocurrency exchange facilitates the sale of tokens for a new project, providing additional security and credibility compared to traditional ICOs.
Instamine refers to a large portion of a cryptocurrency's maximum supply being mined shortly after its launch, potentially leading to unfair distribution and centralization concerns.
JOMO, or Joy Of Missing Out, refers to the satisfaction derived from not participating in a potentially risky investment, even if it proves successful for others, emphasizing strategic restraint in trading decisions.
KYC, or Know Your Customer, is a regulatory requirement for businesses to verify the identity of their customers, aimed at preventing illegal activities and ensuring compliance with financial regulations.
A term in crypto culture referring to the aspiration of wealth and luxury, symbolized by owning a Lamborghini.
A second layer solution on Bitcoin's blockchain enabling fast, low-cost transactions through payment channels.
A trading instruction to buy or sell an asset at a specified price or better.
The ease with which a crypto asset can be bought or sold without affecting the market price.
A parameter in a transaction that specifies when it can be added to the blockchain.
A potential attack on a blockchain network where a single entity gains control of the majority of the network's hash rate.
The total value of all circulating units of a particular cryptocurrency.
A type of order to buy or sell a security at the best available price in the current market.
Specialized servers on a blockchain network that perform advanced functions, require significant coin collateral, and receive rewards for their services.
An individual or entity who strongly believes in the superiority of a specific cryptocurrency and primarily or exclusively invests in and advocates for it.
The predetermined total number of a cryptocurrency that will ever exist, enforced by the protocol's rules.
A temporary storage space in a node for pending transactions that have not yet been included in a confirmed block.
The process by which new coins or tokens are minted and transactions are confirmed on a blockchain through computational work.
The measure of how difficult it is to find a new block for a blockchain. It is regularly adjusted to maintain the target block time.
A collective of miners who pool their computational resources to mine blocks more consistently and share the rewards proportionally.
A unique token that grants the ability to create more of a specific SLP token, commonly used in the Bitcoin Cash ecosystem.
A sequence of words used to generate and recover a private key, typically 12 or 24 words long.
A term used when a crypto asset experiences a rapid and significant increase in value.
A type of digital wallet that requires signatures from multiple private keys to authorize transactions.
A device that participates in a blockchain network, with roles varying from transaction validation to block creation.
An opcode in Bitcoin's scripting language that allows data to be written onto the blockchain, while marking the output as unspendable.
A fundamental element of Bitcoin's scripting language that enables complex transactions.
A valid block which is not included in the current longest blockchain and thus does not contribute to the consensus protocol.
The act of mining or allocating a portion of cryptocurrency coins before the blockchain is publicly launched or officially released to the general public.
Cryptocurrencies that prioritize secure, private, and anonymous transactions through specialized cryptographic techniques.
A cryptographic key used to sign blockchain transactions and derive public keys, representing the ultimate proof of cryptocurrency ownership.
A consensus algorithm where one's stake in the cryptocurrency is used to validate transactions and create new blocks, offering an energy-efficient alternative to Proof of Work.
A consensus algorithm where computing power is used to solve complex problems, verify transactions, and create new blocks.
A cryptographic identifier, used for receiving blockchain transactions.
A manipulative scheme to inflate the price of an asset and then sell it to unsuspecting investors.
A slang term derived from 'wrecked', used to describe a significant loss in a cryptocurrency's value in a short period.
A Bitcoin feature that allows unconfirmed transactions in the mempool to be replaced with another transaction that includes a higher mining fee.
Pseudonymous creator of Bitcoin and architect of modern cryptocurrency.
The smallest unit of Bitcoin, equivalent to one hundred millionth of a Bitcoin.
A digital signature algorithm that optimizes transaction size, enhances privacy, and resolves malleability issues.
A protocol upgrade that separates transaction data into two segments, mitigating transaction malleability and increasing block capacity.
A cryptographic hash function used extensively in cryptocurrencies like Bitcoin (BTC) and Bitcoin Cash (BCH).
A person or action promoting a specific cryptocurrency, often for personal gain.
A derogatory term for a cryptocurrency considered worthless or doomed to fail.
A method that allows Bitcoin wallets to verify transactions with minimal data, reducing reliance on centralized servers.
A type of order that combines the features of stop order and limit order. It becomes active once a certain price is reached, known as the stop price.
A parallel network to the main blockchain, used for testing and development purposes, where the coins have no real-world value.
Tokens are programmable digital assets residing on a blockchain, often representing a variety of tangible and intangible assets.
The total amount of coins or tokens that currently exist, including both circulating and non-circulating supply.
The fundamental unit of data exchange on a blockchain, representing transfers of cryptocurrency or executions of smart contracts.
Payment included in cryptocurrency transactions to incentivize miners or validators to process and include the transaction in a block.
A metric that measures how many transactions a blockchain network can process each second, indicating its throughput and scalability.
An additional security layer requiring two different types of verification to access an account.
A fundamental blockchain data structure representing unspent value that can be used in future transactions.
The total amount of a cryptocurrency or asset that has been traded within a specific timeframe.
A tool that stores private keys and allows users to interact with blockchain networks.
An individual or entity that holds a significant amount of a particular cryptocurrency, capable of influencing market prices through large transactions.
Transactions that have been broadcast to the network but not yet included in a block.
All terms and definitions are regularly updated as the Cryptionary improves.