Are you new to the world of Blockchain?
Are you wondering ‘what the heck is a node?’ or spending way to much time trying to decipher the meaning of ‘HODL to the Moon! The bears will pass.” Don’t worry, I’ve got you covered!
Thanks to this helpful glossary you’ve just found, you won’t be a NEWB for long you nocoiner. From silly acronyms, to the down right technical, get ready to understand the blockchain slang.
Address: A 26-34 character alphanumeric string of numbers used to send/receive coins or tokens.
AFI: ‘All fu***** in’ when buying, selling, or trading a digital asset.
Altcoin: Traditionally any token or coin other the Bitcoin. Now, many people consider it to be any other coin that Bitcoin and Ethereum.
Anti-Money Laundering (AML): Procedures and regulations put in place by law to help reduce illegal trading and market manipulation.
Arbitrage: The act of buying and selling digital assets at the same time on different markets in order to utilize the market differences to your advantage.
ATH (All time High): The highest value or price point a digital asset such as a token or coin, has ever reached.
Bagholder: Someone who holds a coin or coins for a long period of time believing they will one day be worth more than they are.
Bear: An investor who believes the market is about to decline and bets against the market. Can also be used to describe a pessimist, or a falling market (bear-market).
Bear-Whale: A trader who grows anxious that a coin or token is going to drop and sells a large sum of coins, typically over 30,000, at a low market price. Significant trades like this effect the entire market.
Bitshaming: An investor who has held Bitcoin for a long time but has not yet significantly profited. Often made fun of for it, hence ‘shaming’.
Block: A defined unit of information that has been permanently recorded on a blockchain and is unalterable.
Blockchain: A shared ledger that permanently records all transactions that occur on a network and store the information in blocks. These blocks combine together to form a long chain of information.
Bull: A bull investor predicts that the market will rise and buys or sells accordingly. A bull market is when a number of bull investors predict that market upswing and are reacting to it.
Buy Wall: When buy orders exceed the number of sell orders. Often indicates that coin or token is performing extremely well.
Buy the Dip: When an investor buys tokens or coins when they drop in value (the dip). These investors often hope and assume that the value will rise again in the future.
BTFD: ‘Buy the fu***** dip’. Used throughout social media as a way to encourage investors, friends, or followers to buy the dip of a specific coin or token.
Cryptocurrency: Known also as tokens or coins, it represents all digital assets stored and traded on a blockchain.
Cryptojacking: When an individual or group hacks your computer, website, or network to mine cryptocurrency for themselves. Can go undetected for long periods of time and can lead to viruses and increased power consumption.
Dapp: Decentralized Application. An application that stores its data publically via a blockchain, and is typically incentivized by digital assets.
Digital Asset: A term that refers to all tokens, coin, or securities, stored or traded on a blockchain.
Double Spend: When an individual keeps a digital asset for themselves but simultaneously gives a copy of it to someone else. Many protocols have been put in place to reduce and eliminate double spending.
Fiat: A term that refers to a currency that is issued by a central authority and is government backed. Value of fiat changes according to the economy.
Fintech: ‘Financial Technology’ refers to any piece of technology that relates to financing. This can be blockchain, tokens, new fangled cash registers, banks, or just about anything that has to do with money.
FOMO: ‘Fear of missing out’. The urge to buy or sell a token or coin due to fear of missing a large payout. Often hype on social media can lead to a sense of FOMO.
Fork: Creates an alternate version of a blockchain resulting in two seperate blockchains,
FUD: ‘Fear, Uncertainty, Doubt’. Can lead to a token or coins price declining.
Genesis Block: The first block (or first few depending) on a blockchain.
Hard Fork: A specific type of fork that results in a set of previously invalid transactions becoming valid or vice versa. When a had fork occurs, all nodes in the network are then required to upgrade to the latest version of the protocol. Can lead to huge losses or huge gains on the forking blockchain and creates large amounts of hype and hysteria.
Hash: Cryptographic hash functions secure blocks in proof of work blockchains. Hash or hashing is the act of validating a hash function.
ICO: ‘Initial coin offering’. The blockchain world’s version of an IPO. Startups will issue their own digital asset such as a coin, in exchange for ethereum. Investors purchase these coins in hopes that they will one day be worth something. The ethereum gained by the startup is then used to fund further development. ICO investing can be risky and is the source for most scams in the cryptocurrency world.
Know-your-customer (KYC): Exchanges, platforms, and other business are often required by law to input a KYC procedure so that a business knows which whom it is doing business. It helps the business to identify potential risks, problems, and illegal activities by validating your identity.
Lambo: A short way to say that you’ve gotten rich with crypto and have either literally, or more commonly figuratively, bought a Lamborghini. A way to flaunt your profits and display to other investors your success.
Market Capitalization: Market Cap refers to the total value of all specific coins on the market. Total crypto market cap refers to the total value of the entire crypto market.
Mooning: When a coin or token goes soars in value due to a bull run. Meaning that the value of the coin is soaring over the moon!
Mining: Validating transactions on the blockchain by solving the cryptographic hash functions. Miners are incentivized to mine because they are rewarded when they solve a function and validate a block. Can be a form of passive income if you can minimize operating expenses.
NEWB: A newcomer, a newbie to the game of trading.
Nocoiner: Someone who does not hold any tokens or coins.
Nodes: A member of the blockchain network who holds and maintains a complete copy of the blockchain ledger.
Peer to Peer (P2P): A P2P network is a decentralized network where two individuals can interact and trade with each other through a single space without the need for a middleman. Allows individual to deal directly with one another.
Private Key: A string of alphanumeric data that allows the holder to access the tokens and assets stored in a specific wallet. They are held by the owner and should never be given out to anyone else. Private keys act as passwords and can never be recovered if lost.
Proof of Work: The distribution algorithm most famously used by Bitcoin. It rewards miners according to the amount of work they do. This algorithm requires constant active effort and is notorious for consuming large amount of energy. The more work you do, the more coins you recieve.
Proof of Stake: A distribution algorithm that issues rewards according to the number of tokens you posses. The more you invest into an asset, the more you receive by mining.
Pump & Dump: Market manipulation conducted by a large group of investors, where they all buy the same asset at the same time to simulate a market upturn (the pump). They then sell their assets at peak prices to often newbs and the market then crashes once again (the dump).
ROI (Return on Investment): The amount of profit made after an initial investment.
Rekt: A slang way of saying ‘wrecked’.Commonly used to refer to a market downturn, or when you undergo bad trading and loose significant amounts of money.
Sats: Refers to the smallest amount of Bitcoin one can buy or possess. Commonly called a Saotshi (the pseudo name of the person who invented Bitcoin) it is a hundredth of a throusanth of a Bitcoin. Aka 0.00000001 BTC.
SHA-256: A complex cryptographic algorithm used famously by Bitcoin. Requires a large amount of time and resources to solve.
Shill: A coin endorsement, often by a celebrity, that is unsolicited.
Shitcoin: A highly undesirable coin. Retains little to no value and no one wants it.
Smart Contract: Encoded business contracts, rules or agreements that are placed onto a blockchain. The terms of the contract are then executed and overseen by the participants of the network.
Stable Coin: A coin whose value is directly tied to a stable value or fiat current, commonly the US dollar. Often considered the safest coins to purchase when investing into the space.
TA: ‘Technical Analysis’. A way for investors to attempt to predict future market movement to know what to trade. Often relies on the assumption that the past will repeat again in the future. Are often opinion based and are based on false assumptions.
Ticker Symbol: The abbreviation of a coin or tokens names used on exchanges or markets to refer to that token. For example, BTC is Bitcoin and ETH is Ethereum.
Volatility: How much the price of value of a certain asset fluctuates over a specific period of time. High volatility means that the price has changed constantly and significantly over the referred to period of time.
Wallet: A file that houses your private keys that allow you, the owner, to access your assets. Often a blockchain will offer their own wallet which is meant to specifically hold their tokens.
Whale: An investor who holds a extremely large amount of tokens in a diverse portfolio. If a whale makes a move the entire market is affected. Image a whale in a lake, everyone notices it.
Whitepaper: An information document that is given to investors by startups seeking investment. The document outlines the need(s) that the company intends to fill with their services, general operations plan and timeline, along with projected ROI.