Crypto basics
Bitcoin, blockchain, tokens and how the crypto market works.
44 terms · 1 guide
Guides
For beginners
AltcoinAn altcoin is any cryptocurrency other than bitcoin; the name comes from "alternative coin". Many altcoins have higher volatility and…BeginnerAltseasonAltseason is a period when most altcoins rise noticeably faster than bitcoin. It usually comes with falling BTC dominance and a frenzy…BeginnerATH and ATLATH (all-time high) is an asset's highest price ever, and ATL (all-time low) is its lowest. They show how far the asset is from its peak…BeginnerBitcoin (BTC)Bitcoin is the first and best-known cryptocurrency. It runs on a blockchain with no central operator, and its supply is capped at 21…BeginnerBlockA block is a batch of transactions the network adds to the blockchain in one go. It contains the hash of the previous block, so blocks…BeginnerBlock explorerA block explorer is a website where you can look up any transaction, address or block on a public blockchain: amount, fee, status and…BeginnerBlockchainA blockchain is a shared record of transactions kept as a chain of blocks. Each block is linked to the previous one by a hash, so…BeginnerBull and bear marketA bull market is a long stretch when prices broadly rise; a bear market is one when they broadly fall. There is no exact line; trend and…BeginnerCirculating, total and max supplyCirculating supply is the coins in the market right now. Total supply is all coins created so far, including locked ones. Max supply is…BeginnerCoin vs tokenA coin is the native currency of its own blockchain (BTC, ETH); a token is issued by a smart contract inside another blockchain (USDT on…BeginnerCrypto ETFA crypto ETF is an exchange-traded fund whose shares trade on a stock exchange and track a cryptocurrency's price. You get exposure to BTC…BeginnerCryptocurrencyCryptocurrency is digital money whose records live on a blockchain instead of one bank's database. A network of computers checks…BeginnerDecentralizationDecentralization means control over a network or service is spread across many independent participants instead of one company. That way…BeginnerDYORDYOR (Do Your Own Research) is the principle of checking things yourself: before putting money into a coin or project, study it on your…BeginnerEthereum (ETH)Ethereum is a blockchain for smart contracts and apps, and ETH is its native coin. ETH pays for gas (network fees) and is locked in…BeginnerFiatFiat is ordinary government money such as the dollar, euro or yen. Its value rests on trust in the state and central bank, not on gold or…BeginnerFUDFUD (fear, uncertainty, doubt) is negative news or rumours that spread panic in the market. Sometimes it points to real risks, sometimes…BeginnerHalvingA halving is the event that cuts the Bitcoin miner reward for a new block in half. It happens every 210,000 blocks, which is roughly every…BeginnerHODLHODL is the strategy of holding crypto for the long term and not selling during drops and panic. The word comes from a 2013 forum post…BeginnerMarket capMarket cap is the price of one coin multiplied by the number of coins in circulation. It shows how big a project is, not how good it is.BeginnerMemecoinA memecoin is a cryptocurrency driven by memes, jokes and community rather than a useful function. Its price runs on hype and can multiply…BeginnerMiningMining is the work a Proof of Work network uses to check transactions and pack them into blocks. The miner who adds a new block earns a…BeginnerNetwork fee (gas)A network fee (gas) is what you pay to have a transaction processed on a blockchain such as Ethereum. Validators earn it, and it rises…BeginnerNFTAn NFT (non-fungible token) is a unique blockchain record tied to a specific item, such as an image. Two NFTs cannot be swapped one for one.BeginnerSatoshiA satoshi (sat) is the smallest unit of bitcoin: 1 BTC = 100,000,000 satoshis. It is named after Satoshi Nakamoto, the creator of bitcoin.BeginnerSmart contractA smart contract is a program on a blockchain that carries out the terms written in its code by itself. You trigger it with a transaction…BeginnerTokenA token is a digital asset created by a smart contract on top of someone else's blockchain. It can act as money, a stake in a project,…BeginnerTransaction confirmationA confirmation is each new block added to the chain after the block holding your transaction. The more confirmations, the lower the chance…BeginnerWeb3Web3 is the idea of an internet where users own their data and assets through blockchains and crypto wallets, instead of keeping…BeginnerWhitepaperA whitepaper is a document in which a team describes its crypto project: what problem it solves, how the technology works, why the token…Beginner
Advanced
Bitcoin dominanceBitcoin dominance is BTC's share of the total crypto market cap, as a percentage. It shows where money is flowing: into bitcoin or into…AdvancedCBDC (central bank digital currency)A CBDC is a digital form of a national currency issued by the central bank. It is not a cryptocurrency: the state controls it, and it is…AdvancedConsensusConsensus is how thousands of independent nodes agree on the next block and on the true version of history, with no central server. The…AdvancedFDV (fully diluted valuation)FDV is a project's market cap as if every coin were already circulating: price × max (or total) supply. A big gap between FDV and market…AdvancedFork (hard fork and soft fork)A fork is a change to a blockchain's rules or a split of its chain. A soft fork stays compatible with old nodes; a hard fork does not, and…AdvancedHashA hash is a short, fixed-length fingerprint of data made by a hash function. Change one character of the data and the hash changes…AdvancedHashrateHashrate is mining computing power: how many hashes per second a device or a whole network tries. The higher a network's hashrate, the…AdvancedICO and IDOICO and IDO are first-time sales of a new project's tokens to raise money. In an ICO the team sells tokens itself; in an IDO the sale runs…AdvancedMempoolThe mempool is the queue of unconfirmed transactions. Your transfer waits there until a miner or validator includes it in a block.AdvancedNodeA node is a computer that stores a copy of the blockchain, checks transactions and blocks against the network's rules and passes them on…AdvancedPoW and PoSPoW and PoS are two ways a blockchain decides who adds the next block. In PoW, miners compete with computing power; in PoS, validators…AdvancedTestnet and mainnetMainnet is a blockchain's main network, where coins are worth real money. Testnet is a copy for testing, where coins are free and have no…AdvancedTokenomicsTokenomics is the economics of a token: how many coins exist, who gets them and when, how they unlock and what they are for. It is not a…AdvancedUtility tokenA utility token is a token that gives access to a service's features: paying for it, getting discounts, voting or staking. It gives no…Advanced