LEARN THE LANGUAGE
The crypto glossary.
Useful definitions, with a path to the deeper explanation.
Altcoin
A broad term for a cryptocurrency other than Bitcoin. It groups together assets with very different designs and purposes.
Read the related guideBridge
An arrangement for moving value or messages between networks. It can add contracts, custodians, or other dependencies.
Read the related guideCollateral
Assets committed to support a borrowing or other financial arrangement. Rules determine when and how they may be liquidated.
Read the related guideCustody
The arrangement determining who controls authorization and access to an asset. Provider custody and self-custody have different recovery responsibilities.
Read the related guideGas
A measure of computational work used on Ethereum. The fee depends on how much work is charged and the applicable price per unit.
Read the related guideImpermanent loss
A comparison of a liquidity position with simply holding its original assets, caused by relative price changes under the pool’s rules.
Read the related guideLiquidity
The ability to trade or exit at available prices and sizes. It can vary across venues, assets, and market conditions.
Read the related guideNative coin
An asset that belongs to the base network’s design, commonly used for transaction fees or network security.
Read the related guideOracle
A mechanism that supplies information to a contract. A protocol relying on that information also depends on how it is sourced and updated.
Read the related guidePrivate key
Secret signing material that can authorize activity for an account. Anyone with usable control of it may be able to act as that account.
Read the related guideRecovery phrase
A sequence of words that can encode wallet recovery material. Exact procedures and backup formats depend on the wallet design.
Read the related guideSlippage
The difference between a quoted or expected execution and the result available as a trade is processed.
Read the related guideSmart contract
A program executed according to a blockchain’s rules. Its behavior, permissions, and dependencies deserve review before use.
Read the related guideStablecoin
A token designed to track a reference value. Its reserve, collateral, and redemption arrangements determine its particular risks.
Read the related guideStaking
Participation in a proof-of-stake network through an operating or delegation arrangement. Rewards, penalties, and exit rules vary.
Read the related guideToken allowance
Permission that can let an application spend a token on an account’s behalf under the token contract’s rules.
Read the related guideTokenomics
A shorthand for an asset’s supply, allocation, incentives, and related economic design. The label alone says nothing about quality.
Read the related guideValidator
A participant in a network’s transaction or block validation process. Duties and penalties depend on the network.
Read the related guide