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Crypto Dictionary

The web3 space speaks its own language. Learn the crypto slang with our growing dictionary of abbreviations and terms. 

A B C D E F G H I J K L M N O P Q R S T U V W X Y Z

A

Definitions (24)

Airdrop

Distribution of cryptocurrency tokens or digital assets to a large number of individuals or holders of a specific blockchain network. It can be used as marketing promotion, community building or network expansion.
ATH-1

ATH - All Time High

Used to describe the highest price point reached by a crypto asset, such as Bitcoin. Current highs are updated when a new, higher price is recorded.
AUM

AUM - Assets Under Management

Total market value of the investments that a person or entity manages on behalf of clients. It fluctuates daily reflecting the price performance of the assets.

B

Definitions (43)

BFA - Brute Force Attack

Hacking method where an attacker tries every possible combination of private keys until the correct one is found. Often used as a last resort due to its time-consuming nature. 

Definitions (38)

BIP- Bitcoin improvement proposal

Formal document suggesting changes or enhancements to the Bitcoin network. Allows community members to propose and discuss improvements collaboratively. here

BTC-1

BTC - Bitcoin

Invented by the pseudonym Satoshi Nakamoto. the first cryptocurrency based on blockchain technology that was published in 2008.

BTFD

BTFD - Buy The F*cking Dip

Recommendation to buy a cryptocurrency. An advice traders give each other to buy a crypto asset that is currently on a low value.

C

CBDC

CBDC - Central Bank Digital Currency

Digital tokens, similar to cryptocurrency, issued by a central bank. They are pegged to the value of that country's fiat currency.
Definitions (35)

CCA - Cryptocurrency Climate Agreement

Initiative undertaken by cryptocurrency businesses, organizations, and individuals to mitigate the carbon footprint associated with cryptocurrency-related activities. The goal is to cut down carbon emissions to zero by 2030.

Definitions (39)

Community Governance

Process and structures through which a community or organization collectively makes decisions. The community uses Governance Tokens to signify each party’s vote on a given matter. 

D

Definitions (44)

Dead cat bounce

Modest price uptick in a declining crypto asset, creating a false impression of a lasting recovery within an overall downtrend. It's typically a temporary and deceptive market movement.

DEFI

DEFI - Decentralized Finance

Financial services on blockchains, e.g. Ethereum. It is global, and can be peer-to-peer, pseudonymous, and open to all.
DEGEN

DEGEN - Degenerate

Describes someone who chases after seemingly promising opportunities with zero or poor information. Being a degen can certainly be a bad thing, although it’s commonly used by crypto traders to jokingly refer to themselves.
DEX

DEX - Decentralized Exchange

Peer-to-peer marketplace where transactions occur directly between crypto traders. The most popular EXs  utilize the Ethereum blockchain and are part of the growing suite of decentralized finance.
DLT

DLT - Distributed Ledger Technology

Digital system that records transactions related to assets. The transactions and other details are simultaneously recorded at numerous places. 
DYOR

DYOR - Do Your Own Research

It emphasizes the importance of educating yourself on a project before blindly investing in it. Many content creators use this term as a disclaimer for their opinion on crypto coins.

E

Definitions (17)

ERC-20

Technical standard for fungible tokens created using the Ethereum blockchain. The number represents a proposal identifier within the blockchain. 
Definitions (17)-1

ETF - Exchange Traded Fund

Investment fund that tracks the performance of a specific index. By investing in them, you can gain exposure to a diversified portfolio of assets with lower costs than investing in individual securities. 

ETH

ETH - Ethereum

Blockchain network invented by Vitalik Buterin. Network enabling to run smart contracts and having its own cryptocurrency Ether.

F

Definitions (41)

Flip / Flipping

Practice of buying a cryptocurrency with the expectation of selling it quickly at a higher price to make a profit. It involves taking advantage of short-term price movements or market fluctuations to generate gains.

FOMO

FOMO - Fear Of Missing Out

To buy crypto for irrational reasons. Anxiety that an exciting or interesting event may currently be happening elsewhere, often aroused by posts seen on social media.
Definitions (36)

Forge

Creating new tokens in POS (proof of stake) systems. Forging is also known as Minting. 

Fork

Fork

Split in the blockchain's protocol resulting in two separate chains, often due to a disagreement or upgrade in the network. There are hard forks and soft forks, depending on the level of compatibility between the two chains.

FUD

FUD - Fear, Uncertainty, Doubt

A pessimistic mindset regarding a crypto asset. Spreading unwarranted negativity about a crypto asset to provoke a price drop.

G

Definitions (18)-1

Gamefi - Game Finance

 Refers to play-to-earn blockchain games. That means by playing the game and completing tasks, you can earn token rewards. Hence, GameFi adds a financially incentivized layer to Gaming.

Definitions (13)-1

GAS

Fee charged to a person in order to engage in a transaction or other operation on a Blockchain network.

On the Ethereum network, Gas is the amount of Ether required to process a transaction or run a Smart Contract or Decentralized Application.

Definitions (4)-1

GIT

Open-source and distributed version control system that allows software developers to track changes and coordinate work on different source codes. Keeps a history of changes in shared or private data repositories, essential for peer review .

H

Header

Header

A block header is used to identify a block on the blockchain; it contains information about all the transactions in the block, as well as the hash value of the previous block. 

This practice is used by the Bitcoin blockchain and was first introduced by Satoshi Nakamoto in 2008.
HODL

HODL - Hold On For Dear Life

To make a long-term investment. To avoid selling cryptocurrencies despite fluctuations in price for fear of losing out on future profits.

I

ICO

ICO - Initial Coin Offering

Process to raise capital by selling new cryptocurrency or token. Tokens might be traded on secondary platforms later on.
Definitions (21)

IOTA - Internet of Things Application

Blockchain network designed to record and execute transactions between devices in the Internet of Things ecosystem. Specifically designed to solfe the problem of how to manage a lot of data. 

J

Definitions (15)

JOMO - Joy Of Missing Out

Felt by those who choose not to participate in an event or investment that later proves to be a failure. This feeling can be experienced by investors who avoid a failed ICO.

K

Definitions (14)

KYT - Know Your Transaction

Process of verifying and monitoring financial transactions in order to detect and prevent potential money laundering. It involves collecting and analyzing transactional data to identify any unusual or suspicious behavior.



L

Definitions (19)

L1 - Layer one

Basic building block of a blockchain network. It includes the main blockchain system and how it verifies and secures transactions, executes smart contracts, and ensures the network's reliability and fairness.

Definitions (20)-1

Latency

Refers to the delay or lag in the execution or processing of transactions or data on a blockchain network. It is the time it takes for a transaction to be confirmed and added to the blockchain.

M

Definitions (16)-1

Metaverse

Refers to a virtual world where people can interact with each other and digital objects in real time. It is an immersive, shared space created by the convergence of physical and digital reality.

Definitions (16)

MEW - My Ether Wallet

Free, open-source utility used for generating ERC-20 wallets (public and private keys) and interacting with the Ethereum blockchain. Currently the most popular ERC-20 wallet generator

MOON

MOON - To The Moon

A cryptocurrency being under a strong upwards trend. The moment when crypto reaches a total market capitalization of 1 trillion USD. 

N

NFA

NFA - No Financial Advice

Term used on social media and forums to ensure you do not regard their post as legal financial advice. It also means that you have to perform your own due diligence in a token or investment
NFT-1

NFT - Non Fungible Token

Unique and not interchangeable digital token. Used in the areas of digital art, collectables, real estate and more.
NGMI

NGMI - Not Gonna Make It

Stresses the point that a crypto investor could miss a huge profit on a certain trade. Used to express personal bad trading decisions.
NONCE

NONCE - Number Used Only Once

This number represents the culmination of a rather technical process in cryptography. In essence, the nonce is the number that crypto miners are ‘solving’ for.

O

Definitions (33)

Oracle

Data intermediary that connects blockchain smart contracts with external real-world information, enabling smart contracts to make informed decisions based on external events or data feeds. Bridge between on-chain and off-chain data sources. 

Definitions (28)

Orphan Block

Refers to a block that has not been accepted into a blockchain. It occurs when two miners generate blocks simultaneously. One of the blocks is accepted and added to the blockchain, while the other block is considered an orphan and subsequently discarded. 

Definitions (13)-2

OTC trading - Over the counter

 Process of buying and selling financial instruments directly between parties without the involvement of an exchange. In the Cryptocurrency context, this means P2P or Off-Chain trading of Digital Assets.

P

POS

POS - Proof Of Stake

Consensus mechanism for processing transactions and creating new blocks in a blockchain. Incentivizes the validation of block transactions with staking.
POW

POW - Proof Of Work

Consensus mechanism that requires participants to expend effort to validate transactions. Used by the Bitcoin network.
Definitions (2)

Private Key

Sequence of data that enables entry to a digital asset stored in either software or hardware wallet. This key is employed to unlock a digital signature, allowing for the spending or trading of the digital asset.

Q

Definitions (12)

QR code - Quick Response

Two-dimensional barcode that can be read by a smartphone's camera, allowing quick access to information. Can be used to provide access to secure digital wallets or to verify transactions on a blockchain network.

R

Definitions (26)

ReFi - Regenerative finance

Blockchain movement using Web3 to tackle climate change, support conservation, and create an equitable and sustainable financial system. It leverages blockchain and decentralized technologies for positive environmental and social impact. 
REKT

REKT - Wrecked

Refers to a cryptocurrency trader who is utterly ruined and destroyed due to losses from a recent price crash. It was first recorded around 2010–15 in the context of video games.
Definitions (37)

Royalties

 Income generated by an NFT creator when their NFT is resold on the secondary market. Royalty standards must be coded into the NFT’s Smart Contract.

S

Definitions (23)

SAFU - Secure Asset fund for users

Protection of user funds and assets held by an exchange or platform. It signifies a commitment to prioritizing the safety and protection of users' assets. 

Definitions (18)

SAT

"Satoshi" the smallest unit of measurement for Bitcoin. One Bitcoin is equal to 100 million Satoshi. Creator of Bitcoin, Satoshi Nakamoto, who wrote the Bitcoin White Paper.

SCAM

SCAM

Dishonest or fraudulent scheme that attempts to take money or something of value from people. investment scams often promise you can "make lots of money" with "zero risk".

Definitions (20)

SegWit

Protocol that changes how data is stored by moving signature information outside of a block. It also supports second-layer solutions such as the Lightning Network.

 
Definitions (30)

Smart contract

Self-executing agreement embedded in computer code that automatically carries out predefined actions once specified conditions are met. It utilizes blockchain technology to ensure transparency, security, and immutability in the execution of contractual terms without the need for intermediaries.

T

TA

TA - Technical Analysis

Investment tactic used to predict market shifts. Generally, TA is based on careful analysis of recent trends. It operates on the assumption that what has happened in the past will repeat in the future.
Definitions (32)

TLT - Think Long Term

Mindset of making long-term investments. Thinking about the future of your investments. How far a person is thinking could go from months to even years.

Definitions (29)

Token

Digital representation of an asset or utility that is issued and managed on a blockchain network. They can represent ownership rights, access to services, or serve as a form of currency within decentralized ecosystems. 
TOR

TOR - The Onion Router

Network that allows users to connect to the internet in a decentralized and anonymous way. Tor achieves this via a mix of encryption and indirect routing.

U

UTXO

UTXO - Unspent Transaction Output

Amount of digital currency that remains after a cryptocurrency transaction. The Bitcoin network uses a UTXO protocol.
Definitions (40)

Utility Token

Digital asset used within a blockchain ecosystem to access services or features. Unlike security tokens, utility tokens do not represent ownership in an underlying asset or company.

V

Definitions (11)

VASP- Virtual Asset Service Provider

Business or organization that provides services related to buying, selling, or transferring virtual assets. Includes cryptocurrency exchanges, wallet providers and other similar services.

Definitions (46)

Vanity Address

Custom-designed cryptocurrency wallet address that is created to contain specific, easily recognizable patterns or sequences of characters. These custom addresses are often used for branding, personalization, or ease of use.

W

WAGMI

WAGMI - We All Gonna Make It

Widely used in the crypto space. A mantra, a call to encourage one another to not lose hope and to build confidence about the crypto project.
Definitions (3)

Wallet

A wallet is a place to store your coins and tokens, e.g. Bitcoin or Ethereum. It  is a software program that stores private and public keys and enables users to send and receive coins or tokens and monitor their balance.

Web3

Web3

Is the name some technologists have given to the idea of a new kind of internet service that is built using decentralized blockchains. Will also make use of machine learning and artificial intelligence (AI) to help empower more intelligent and adaptive applications.
WHALE

WHALE

It refers to a single wallet address with over 1,000 BTC. People owning large amounts of other cryptocurrencies can be referred to as “crypto whales.”

X

Definitions (10)

X86 virtual machine

Software program that executes transactions and performs calculations.
It lets developers create smart contracts in familiar programming languages and ensures programs run predictably and securely.

Y

Definitions (5)

Yellow paper

Document that outlines the technical specification of a proposed protocol. More detailed version of a White Paper.

Z

Definitions (7)

Zero knowledge proof

Blockchain protocol that allows for verification of information without revealing the source. It can be used to verify transactions on a Blockchain without revealing sender, recipient, asset, or amount.