Crypto Glossary
A quick-reference guide to key digital economy and blockchain terms.
150 terms across 11 categories
Hash
A unique fixed-length string of characters generated from input data using a mathematical function.
Hashing is a one-way process. You can generate a hash from data, but you cannot reverse-engineer the original data from a hash. Blockchains use hashes to link blocks together and ensure data integrity.
A
Altcoin
Any digital money that isn't Bitcoin.
Audit
An expert check to make sure a project's code is safe.
AML
Rules that stop people from hiding illegal money.
AI in Blockchain
Using smart computer programs to make blockchain work better.
AMM
Automated trading system.
Attack Vector
A way to hack a system.
B
Bitcoin
Digital money that works without a bank.
Block
A page in the blockchain's record book.
Blockchain
A shared notebook that everyone can read but nobody can erase.
Backup File
An encrypted file some wallets let you save.
Block Reward
The crypto prize you get for helping add a new page to the blockchain.
Bridge
A connection that lets you move crypto from one blockchain to another.
Block Height
How many blocks exist.
Block Explorer
A search tool for blockchain data.
Burn
Destroying tokens.
C
Cryptocurrency
Digital money protected by secret codes.
Consensus
Everyone agreeing on what's true.
Cold Wallet
A wallet that stays offline to keep your crypto extra safe.
Custodial Wallet
Someone else holds the keys to your crypto for you.
Cold Storage
Keeping your keys offline where the internet cannot reach them.
Compliance
Following the rules set by the government.
CBDC
Digital money made by a country's government.
Circulating Supply
Coins currently available.
Cross-Chain
Between blockchains.
Composability
DeFi apps working together like Lego pieces.
Commitment Scheme
Locking in a choice without showing it yet.
D
Decentralization
No single person is in charge. Everyone shares control.
Digital Asset
Something valuable that exists only on computers.
Device Password
The password that unlocks the wallet app on your device.
Difficulty Adjustment
The network makes puzzles harder or easier to keep things running smoothly.
Delegated Proof of Stake
People vote for trusted representatives to run the network for them.
DeFi
Banking services that run on blockchain without a bank.
DAO
A group that makes decisions together using voting on the blockchain.
dApp
An app that runs on blockchain instead of a regular server.
DID
A digital ID that you control instead of a company.
Distributed Ledger
A shared database across many computers.
Delegation
Letting someone stake for you.
DEX
A crypto trading platform with no middleman.
Digital Signature
A math-based signature that proves you sent something.
E
Encryption
Scrambling information so only the right person can read it.
Epoch
A time period on the network.
Emission Rate
How fast new coins are created.
Elliptic Curve Cryptography
Advanced math that keeps your crypto secure.
F
Fork
When a blockchain splits into two paths because of a rule change.
Fiat
Regular money like dollars or euros that governments create.
Full Node
A complete copy of the blockchain.
Finality
A confirmed transaction.
Flash Loan
A loan you borrow and pay back instantly.
G
Gas Fee
A small fee you pay to use the blockchain.
Governance
How a crypto community makes decisions together.
Governance Token
A token that lets you vote on how a project is run.
Gas Optimization
Ways to make blockchain transactions cheaper.
Genesis Block
The first block ever created.
H
HODL
Keeping your crypto instead of selling it.
Hash
A digital fingerprint made from data.
Hot Wallet
A wallet on your phone or computer that's always online.
Hash Rate
How fast all the computers in a network are working together.
Halving
When the reward for mining gets cut in half.
Homomorphic Encryption
Doing math on locked data without unlocking it.
I
Immutability
Once something is written on the blockchain, it can't be changed.
Inflation
When things get more expensive and your money buys less.
IPFS
A way to store files across many computers instead of one server.
Interoperability
Systems working together.
Impermanent Loss
Temporary loss from providing liquidity.
K
KYC
Showing your ID before you can use a financial service.
L
Ledger
A list that keeps track of who sent what to whom.
Layer 1
The main blockchain that everything else is built on.
Liquidity
How quickly you can turn something into cash.
Layer 2
An extra layer on top of a blockchain that makes it faster and cheaper.
Lightning Network
A faster way to send Bitcoin using a second layer.
Light Node
A lightweight version of a node.
Liquidity Pool
Shared funds for trading.
Lending Protocol
A system that lets you lend or borrow crypto.
Liquid Staking
Staking crypto while still being able to use it.
M
Market Cap
How much all the coins of one type are worth together.
Merkle Tree
A way to quickly check that none of the data has been changed.
Multi-Signature Wallet
A wallet that needs more than one person to approve a transaction.
Mining
Using computers to check transactions and earn crypto as a reward.
Mining Pool
Miners working together as a team to earn rewards and split them.
Metaverse
A virtual world where you can hang out, play, and own digital things.
Machine Learning Model
A computer that learns from examples to get smarter over time.
Max Supply
Total possible coins.
Metadata
Data about data.
Minting
Creating new tokens.
MEV
Extra money validators can earn by arranging transactions smartly.
MPC Wallet
A wallet where the key is split between multiple people for safety.
N
Nonce
A special number miners guess to solve a blockchain puzzle.
Non-Custodial Wallet
You are the only one with the keys to your crypto.
Node
A computer that helps keep the blockchain running.
NFT
A one-of-a-kind digital item that proves you own it.
O
Oracle
A bridge that brings real-world information to the blockchain.
On-Chain Analytics
Studying blockchain data to understand what's happening on the network.
Oracle
A bridge that brings outside information to blockchain apps.
P
Peer-to-Peer (P2P)
Sending something directly to another person, no middleman.
Proof of Stake
People who put up their own crypto as a promise to be honest get to help run the network.
Private Key
Your secret password for your crypto. Never share it.
Public Key
Your crypto address. Safe to share so people can send you money.
Public Address
The address you can safely give out so someone can pay you.
Phishing
A trick to steal your passwords by pretending to be someone you trust.
Proof of Work
Miners solve hard puzzles to prove they did the work to earn rewards.
Proposal
An idea someone shares with the community for a vote.
Protocol
The rules of the network.
Price Impact
How much your own trade moves the price.
Q
QR Code
A square barcode a phone camera can read.
R
Recovery Phrase
The words that bring your wallet back.
Rug Pull
When creators of a project run away with everyone's money.
Rollup
A way to bundle many transactions together to save space and cost.
Restaking
Using your staked crypto to secure more than one network.
Ring Signature
A group signature where no one knows who signed.
S
Satoshi
The tiniest piece of a Bitcoin, like a penny to a dollar.
Smart Contract
A digital agreement that runs itself automatically.
Seed Phrase
Special words that let you recover your wallet if you lose it.
Self-Custody
You look after your own wallet, and nobody else can touch it.
Social Engineering
Tricking people into sharing secrets by being sneaky.
Scarcity
When there's only a limited amount of something.
Stablecoin
Crypto that tries to stay worth the same amount, like $1.
Supply Cap
The limit on how many coins can ever be made.
Sidechain
A separate chain connected to the main one to handle extra work.
State Channel
A private conversation between two people that only shares the final result with everyone.
Securities Law
Laws about how certain types of financial products can be sold.
Sanction
Rules that block certain people or countries from using financial systems.
Slashing
A penalty for bad behavior.
Slippage
Price change during a trade.
Sharding
Splitting the network.
Stablecoin
Crypto that stays the same price.
Staking Rewards
Earnings you get for helping secure the network.
T
Token
A digital item that can stand for something valuable.
Timestamp
A digital clock stamp showing when something happened.
Two-Factor Authentication
Using two ways to prove it's really you, like a password plus a code on your phone.
Tokenomics
The rules about how a cryptocurrency's money system works.
Treasury
A shared piggy bank that the community decides how to spend.
TVL
How much money is stored in a DeFi app.
Trusted Setup
A special one-time process to make a privacy system work.
U
Utility
What something is used for.
Unbonding Period
The time you wait to get your staked crypto back.
V
Validator
Someone who checks that transactions are real and earns rewards for it.
Volatility
How much a price goes up and down.
Vesting
Locked tokens over time.
Voting
Choosing decisions.
Validator Set
The team of computers checking the blockchain.
W
Whitepaper
A document that explains how a crypto project works and why it was created.
Wallet
An app or device that lets you use your crypto.
Watch-Only Wallet
A wallet that can look but cannot spend.
Web3
A new version of the internet where you control your own data.
Wrapped Token
A copy of a coin that works on another blockchain.
Y
Yield
Earnings you can get from holding or lending your crypto.
Yield Farming
Earning rewards with crypto.
Z
Zero-Knowledge Proof
Proving you know a secret without telling anyone what it is.
Zero-Knowledge Proof
Proving you know a secret without telling the secret.
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