Learn common slang, terms & sayings of the cryptocurrency world!
Exchange - A website where you can buy, trade, or sell cryptocurrencies..
Fiat - Any government issued centralized currency, such as the U.S. dollar..
Whale - An investor that owns very large amounts of cryptocurrency and can affect the market..
Limit order / limit buy / limit sell - Orders placed by traders usually via a trading software that allows them to automatically buy or sell when a cryptocurrency’s price reaches a certain mark..
Sell wall / buy wall - Via the use of a depth chart, traders can view current limit buy & sell points..
Bullish - A positive market sentiment that prices will rise. This is called bullish because bulls attack with their horns upwards..
Bearish - A negative market sentiment that prices will drop. This is called bearish because bears tend to drop onto their prey while attacking..
ATH - Short for all-time-high..
Altcoin - Usually any coin or token other than Bitcoin or Ethereum..
Token - A cryptocurrency that is built using another cryptocurrency’s blockchain. (i.e. MANA token is based on Ethereum’s blockchain).
ROI - Shorthand for return-on-investment..
Bagholder - An investor who has large amounts of a cryptocurrency which is in decline..
Market Cap - The total value held in a specific cryptocurrency. It is calculated by multiplying the total supply of coins by the current price of an individual unit..
Pump & Dump - People spreading positive news & hype in order to increase exposure to a low-cost altcoin which he later sells in large amounts once the price rises..
FUD - Shorthand for fear, uncertainty, & doubt. Usually people spreading negative, unbased rumors, sometimes to intentionally lower cryptocurrency prices, are called FUDsters..
FOMO - Shorthand for fear of missing out..
Arbitrage - Taking advantage of a price difference of the same coin or token on 2 different exchanges..
Stablecoin - Cryptocurrencies with extremely low volatility. These coins maintain a stable value by being pegged to the value of a fiat currency. (i.e Tether).
TA - Shorthand for technical analysis. This refers to the analysis of financial charts..
MACD - Shorthand for Moving Average Convergence Divergence. This is a trend indicator which calculates the relationship between 2 moving average prices..
Node - A computer that stores a copy of the blockchain and works to update & maintain it..
ICO - Short for Initial Coin Offering. ICOs are the process of creating & funding the development a new coin or token via a crowd sale. Somewhat similar to an IPO in the world of stocks, but in the world of cryptocurrencies..
Blockchain - – a distributed ledger that is 100% transparent and secure. It is a peer-to-peer global data storage solution that serves as the backbone to Bitcoin & most other cryptocurrencies and records all transactions..
Mining - the process of solving complex mathematical equations with a high-powered computer to record transactions on the blockchain. This generates the next block on the blockchain. Miners are usually rewarded with the blockchain’s native token (i.e. Bitcoin for bitcoin miners, Ethereum for Ethereum miners).
Mining rig - A high-end powerful computer that is used to mine cryptocurrencies..
Fork - a situation where a blockchain separates into 2 different blockchains. This is usually done due to a disagreement between the team behind a cryptocurrency. When a fork occurs, any wallet holding an amount of a cryptocurrency will receive the same amount of the forked currency. This is done to increase adoption. See Bitcoin & Bitcoin Cash as an example of a fork..
PoW – Proof of Work - The algorithm used by Bitcoin and Ethereum for miners..
PoS – Proof of Stake - The algorithm used by EOS and others for miners..
Sharding - a solution to the scaling issues that affect blockchains. With sharding, nodes only maintain part of the blockchain and not its entirety. This increases the blockchains speed & performance..
Software wallets - A method of storing cryptocurrencies as a file on your computer..
Hardware wallets - A dongle or small handheld device that can store cryptocurrencies at a very high level of security. The best known are Trezor & Nano S..
Cold storage - A method of storing either your hardware, software wallet or even paper wallet securely in a safe or safety deposit box. This minimizes the chance of losing your cryptocurrency to hacking to nearly 0..
Smart contract - a contract which is automatically facilitated without the need for supervision or a 3rd party. It could be used for many different purposes. This is done by coding..
Solidity - A language used to script smart contracts used by Ethereum. It is primarily based on the programing language C++.
DApp - A decentralized application that tends to make use of smart contracts as part of their code. Most DApps have their own token based on Ethereum or EOS..
The Flippening - A hypothetical scenario where a cryptocurrency overtakes Bitcoin’s market cap..
Gas - a measurement of how much processing would be required on the Ethereum network and the range of the fee. Most simple transactions do not require much gas. Usually the more gas a user uses, the faster the transaction..
Gas Price - The amount of Ether to be spent for the gas fee..
Wei - The smallest nomination of Ether..
Satoshi - The smallest nomination of Bitcoin, named after it’s legendary founder Satoshi Nakamoto..
Vitalik Buterin - The founder of Ethereum..
HODL - a typo that became an internet meme in the world of cryptocurrency. It started on the Bitcointalk forum back in the day and refers to long-term hold of cryptocurrency and not to panic-sell..
Lambo - Another cryptocurrency meme referring to getting rich and buying a Lamborghini with crypto-profits..
To the Moon & Mooning - A meme that refers to an explosion of value in a cryptocurrency. (i.e. “EOS will moon next month!”).
Satoshi Nakamoto -
The person or group of people that has created Bitcoin. His identity is unconfirmed until today.