CoinucationCrypto glossary
104 terms. Each one has its own page with a plain-English definition, an example, related terms and links to live coin data.
Basics (15)Trading & markets (23)DeFi (11)Technology (24)Security & custody (13)Regulation (5)NFTs & culture (5)Mining & staking (8)
Basics
AirdropAn airdrop is a free distribution of tokens to wallet addresses, often used to reward early users or launch a new token.AltcoinAn altcoin is any cryptocurrency other than Bitcoin, from major networks like Ethereum to tiny experimental tokens.BitcoinBitcoin is the first and largest cryptocurrency, a decentralized digital money with a fixed supply cap of 21 million coins.BurnBurning permanently removes tokens from circulation by sending them to an address nobody can access, reducing total supply.Centralized Exchange (CEX)A centralized exchange is a company that holds customer funds and runs a trading platform, such as Coinbase, Binance, or Kraken.CoinA coin is the native cryptocurrency of its own blockchain, used to pay transaction fees and reward the people securing the network.EthereumEthereum is a programmable blockchain that runs smart contracts, and ETH is the coin used to pay for computation on it.ExchangeA crypto exchange is a marketplace where people buy, sell, and trade cryptocurrencies, either through a company or a smart contract.MemecoinA memecoin is a cryptocurrency built around a joke or internet meme, with value driven by community attention rather than utility.SatoshiA satoshi is the smallest unit of bitcoin, equal to one hundred-millionth (0.00000001) of a BTC.SolanaSolana is a high-throughput proof-of-stake blockchain known for fast, cheap transactions and a large memecoin and NFT ecosystem.StablecoinA stablecoin is a crypto token designed to hold a steady value, usually pegged one-to-one to a currency like the US dollar.TokenA token is a crypto asset created by a smart contract on an existing blockchain rather than by the blockchain itself.TokenomicsTokenomics describes how a crypto asset's supply, distribution, and incentives are designed, and how those rules affect its value.VestingVesting is a schedule that releases tokens to team members or investors gradually over time instead of all at once.
Trading & markets
All-Time High (ATH)An all-time high is the highest price an asset has ever reached, a common reference point for measuring drawdowns and recoveries.Bear MarketA bear market is a prolonged period of falling prices and negative sentiment, commonly defined as a drop of 20 percent or more from a peak.Bitcoin DominanceBitcoin dominance is Bitcoin's share of the total crypto market cap, used as a gauge of whether money is flowing into or out of altcoins.Bull MarketA bull market is a sustained period of rising prices and optimism, often lasting months to years in crypto.Circulating SupplyCirculating supply is the number of coins or tokens that are publicly available and tradable right now.Dollar-Cost Averaging (DCA)Dollar-cost averaging means investing a fixed amount at regular intervals regardless of price, smoothing out the cost of entry over time.ETFAn exchange-traded fund is a regulated investment fund that trades on a stock exchange and lets investors buy exposure to an asset through a brokerage.ETF FlowsETF flows are the daily net amounts of money entering or leaving crypto ETFs, watched as a gauge of institutional demand.Fear and Greed IndexThe Crypto Fear and Greed Index is a 0 to 100 sentiment score that summarizes market emotion, from extreme fear to extreme greed.Fully Diluted Valuation (FDV)FDV is what a crypto asset would be worth at today's price if every token that will ever exist were already in circulation.LeverageLeverage lets a trader control a position larger than their own capital by borrowing, amplifying both gains and losses.Limit OrderA limit order is an instruction to buy or sell an asset only at a specified price or better, and it waits until the market reaches it.LiquidationLiquidation is the forced closing of a leveraged position or loan when the collateral falls below the required threshold.LiquidityLiquidity is how easily an asset can be bought or sold at a stable price; deep liquidity means large trades barely move the market.Market CapMarket cap is the total value of a cryptocurrency, calculated by multiplying its current price by the number of coins in circulation.Market OrderA market order buys or sells immediately at the best available price, prioritizing speed of execution over price control.Max SupplyMax supply is the hard upper limit on how many units of a cryptocurrency can ever exist, such as Bitcoin's 21 million.Order BookAn order book is the live list of buy and sell orders for an asset at different prices, used by exchanges to match trades.SlippageSlippage is the difference between the price you expected for a trade and the price you actually got, usually caused by low liquidity.Spot ETFA spot crypto ETF holds the actual coins in custody, so its share price tracks the real-time market price of the asset directly.Total SupplyTotal supply is the number of coins or tokens that currently exist, including locked and reserved units but excluding any that were burned.VolatilityVolatility measures how much and how quickly an asset's price moves; crypto is far more volatile than stocks or major currencies.VolumeTrading volume is the total amount of an asset bought and sold over a period, usually 24 hours, measured in units or dollars.
DeFi
Automated Market Maker (AMM)An automated market maker is a DEX mechanism that prices trades with a formula against a pool of tokens instead of matching buyers and sellers.DAOA DAO is a decentralized autonomous organization governed by token holders who vote on proposals that are enforced by smart contracts.Decentralized Exchange (DEX)A decentralized exchange is a smart contract that lets users swap tokens directly from their own wallets without a company holding their funds.DeFiDeFi, or decentralized finance, is a set of financial services like trading, lending, and borrowing that run on smart contracts instead of banks.Governance TokenA governance token gives holders the right to vote on decisions about a protocol, such as fee changes, upgrades, or treasury spending.Impermanent LossImpermanent loss is the value a liquidity provider gives up compared with simply holding their tokens when the pool's prices diverge.Lending ProtocolA lending protocol is a DeFi application where users deposit crypto to earn interest and borrow against collateral, all governed by smart contracts.Liquidity PoolA liquidity pool is a smart contract holding pairs of tokens that traders swap against, funded by users who earn fees in return.OracleAn oracle is a service that feeds real-world data such as asset prices into a blockchain so smart contracts can use it.Total Value Locked (TVL)Total value locked is the dollar value of all crypto deposited in a DeFi protocol or blockchain, a common measure of adoption.Yield FarmingYield farming is moving crypto between DeFi protocols to earn the highest return from trading fees, interest, and token rewards.
Technology
AddressAn address is the public identifier on a blockchain that you share to receive crypto, derived from a public key.BlockA block is a batch of transactions bundled together, verified, and permanently added to a blockchain in sequence.BlockchainA blockchain is a shared digital ledger of transactions grouped into linked blocks and maintained by a network of computers instead of a central authority.BridgeA bridge is a protocol that moves tokens or data between two different blockchains, usually by locking assets on one side and issuing equivalents on the other.ConsensusConsensus is the process by which a blockchain's nodes agree on which transactions are valid and in what order, without a central referee.ERC-20ERC-20 is the technical standard for fungible tokens on Ethereum that defines how tokens are transferred and how balances are tracked.FinalityFinality is the point at which a blockchain transaction is guaranteed to be permanent and cannot be reversed or reorganized away.ForkA fork is a change to a blockchain's rules or a split in its history, which can produce either an upgrade or two separate chains.GasGas is the unit that measures how much computational work a transaction requires on Ethereum and similar blockchains.Gas FeeA gas fee is the total cost in ETH to execute a transaction, calculated as gas used times the gas price in effect at that moment.GweiGwei is a unit of ether equal to one billionth of an ETH, used to quote gas prices on Ethereum.Hard ForkA hard fork is a protocol change that is not backward compatible, so nodes must upgrade or end up on a separate chain.HashA hash is a fixed-length fingerprint produced by running data through a one-way mathematical function; blockchains use hashes to link blocks and verify data.Layer 1A layer 1 is a base blockchain that processes and finalizes transactions on its own, such as Bitcoin, Ethereum, or Solana.Layer 2A layer 2 is a network built on top of a base blockchain that handles transactions faster and cheaper while relying on the base chain for security.MainnetMainnet is the live, production version of a blockchain where transactions carry real value, as opposed to a testnet.MempoolThe mempool is the waiting area where valid transactions sit after being broadcast and before being included in a block.NodeA node is a computer running blockchain software that stores a copy of the ledger, validates transactions, and relays data to other nodes.RollupA rollup is a layer 2 that executes transactions off-chain and posts compressed batches to the base chain, inheriting its security.Smart ContractA smart contract is a program stored on a blockchain that runs automatically when its conditions are met, without a company or person in control.TestnetA testnet is a copy of a blockchain used for testing, where coins have no real value and developers can try code without risk.Transaction FeeA transaction fee is the amount paid to miners or validators to include a transaction in a block; it rises when the network is busy.WeiWei is the smallest unit of ether, with 1 ETH equal to 1,000,000,000,000,000,000 (10 to the 18th power) wei.Wrapped TokenA wrapped token is a token on one blockchain that represents an asset from another, backed one-to-one by the original held in custody.
Security & custody
Cold WalletA cold wallet keeps private keys completely offline, making it the most secure way to store crypto for the long term.CustodialA custodial service holds your private keys on your behalf, so a company like an exchange controls access to your crypto.Hardware WalletA hardware wallet is a physical device that stores private keys offline and signs transactions without exposing the keys to a computer.Hot WalletA hot wallet is a crypto wallet connected to the internet, convenient for frequent use but more exposed to hacking and malware.MultisigA multisig wallet requires signatures from several private keys to approve a transaction, so no single key can move the funds alone.PhishingPhishing is a scam that tricks you into revealing your seed phrase, approving a malicious transaction, or logging into a fake site to steal your crypto.Private KeyA private key is the secret number that lets you sign transactions and spend crypto from an address; whoever holds it controls the funds.Public KeyA public key is derived from a private key and can be shared freely; it is used to verify signatures and to generate receiving addresses.Rug PullA rug pull is a scam where a project's creators attract investment and then abruptly drain the funds or abandon the project, leaving the token worthless.Seed PhraseA seed phrase is a list of 12 or 24 words that backs up a wallet; anyone who has it can restore the wallet and spend everything in it.Self-CustodySelf-custody means holding your own private keys, so you alone control your crypto without relying on an exchange or other third party.Two-Factor Authentication (2FA)Two-factor authentication adds a second step beyond a password, such as an authenticator app code or hardware key, to protect exchange accounts.WalletA crypto wallet is software or hardware that stores your private keys and lets you send and receive crypto; the coins themselves live on the blockchain.
Regulation
AMLAML, or anti-money laundering, refers to the laws and procedures that require crypto businesses to detect and report illicit financial activity.CBDCA CBDC is a central bank digital currency, a digital form of a national currency issued and controlled directly by the central bank.CFTCThe CFTC is the US Commodity Futures Trading Commission, which regulates crypto derivatives and treats Bitcoin and Ether as commodities.KYCKYC, or Know Your Customer, is the identity verification process that regulated exchanges require before letting users trade or withdraw.SECThe SEC is the US Securities and Exchange Commission, the regulator that decides whether crypto assets are securities and oversees crypto ETFs.
NFTs & culture
Floor PriceThe floor price is the lowest price at which any item in an NFT collection is currently listed for sale.MintingMinting is the act of creating a new token or NFT on a blockchain by writing it into a smart contract for the first time.NFTAn NFT, or non-fungible token, is a unique blockchain token that records ownership of a specific digital item such as art, a collectible, or a domain name.NFT MarketplaceAn NFT marketplace is a platform where NFTs are listed, bought, and sold, such as OpenSea, Blur, or Magic Eden.RoyaltiesNFT royalties are a percentage of each resale that is paid to the original creator, set in the collection's metadata or contract.
Mining & staking
Block RewardThe block reward is the newly created coins plus transaction fees paid to the miner or validator who adds a block to the chain.HalvingThe halving is a scheduled event roughly every four years that cuts Bitcoin's block reward in half, slowing the creation of new coins.Hash RateHash rate is the total computing power miners are devoting to a proof-of-work network, measured in hashes per second.MiningMining is the process by which computers compete to add new blocks to a proof-of-work blockchain and earn newly created coins plus fees.Proof of Stake (PoS)Proof of stake is a consensus mechanism where validators lock up coins as collateral to earn the right to propose blocks and can be penalized for misbehavior.Proof of Work (PoW)Proof of work is a consensus mechanism where miners spend computing power to solve a puzzle, making blocks costly to add and history very hard to rewrite.StakingStaking is locking up coins to help secure a proof-of-stake network in exchange for rewards, typically a few percent per year.ValidatorA validator is a node on a proof-of-stake network that has staked coins and is responsible for proposing and verifying blocks.