Are you curious about crypto terminologies? Do you want to know what all the short forms and crypto terms mean? The sphere of crypto comes with its whole list of vocabulary. To understand the terms and their use, you need to know its definition. Here are some of the most used crypto words, along with their meanings, that will help you understand the terms. Read on!
What is Whitepaper?
The whitepaper is one of the crypto terminologies used in the crypto sphere. This word is used to communicate about the newly developed or designed crypto project. This word came from the financial field, where a new project is considered a whitepaper. This word is used to tell if the project is a new one, so the next time you see this word, you know what it means.
What is a digital wallet?
An application used for storing cryptocurrency. The application is installed on mobiles, computers, or remote servers. Most wallets usually store bitcoin. The digital wallet can be used both for public and private use for storing funds. Hardware wallets are the most secure digital wallet.
What is ATH?
The full form of ATH is All-Time High and is used as a crypto term. When an asset achieves the highest market price, it is called an all-time high.
Bitcoin broke this record set by Bitcoin in 2017 on 30 November 2020, which was broken again on 16 December 2020, and Bitcoin set a new league. It is a very simple crypto terminology, but it has a crucial impact.
What is AltCoins?
Alternate Coins are used in crypto definitions for cryptocurrencies that are not Bitcoins. They came to the platform in 2011 as an alternative to Bitcoin, as the name suggests. AltCoins helps to increase the speed of money transfers, and in today’s time, it serves all kinds of purposes needed by developers. The AltCoins also come in different kinds.
What is Bitcoin Maximalist?
A Bitcoin Maximalist is a person who religiously believes in Bitcoin. They consider it the most useful digital asset that will benefit everyone in the future. According to them, AltCoins are inferior to Bitcoins as well. They believe Bitcoin is the only ideal cryptocurrency. They want to improve Bitcoins and solve the issues that come with them.
What is Bitcoin to the Moon?
Bitcoin to the Moon is crypto terminology for beginners to express their expectations of crypto pricing soaring shortly. People use this to attract the markets to favour their assets, but using this term does not imply that the price in the crypto market will reach the moon or increase drastically. This term was mostly used in 2017 for the bull market.
What is Block Reward?
Block Reward is one of the cryptocurrency terms used for the boosts received by the miners when their transaction gets approved. In the mining process, new coins are generated, which leads to new transactions, and by verifying them, the miners get awarded. It is also awarded when the miners solve a tough maths question. The goal of Block Reward is economic.
What is Blockchain?
Every day, several transactions happen through Bitcoins across the world. Keeping a record of each of them is crucial for security and verification. These lists of transactions are included in the Blockchain. Blockchain has data about the transactions done with Bitcoins. The data is shared with trusted parties for verification and is kept securely.
What is Bitcoin Whale?
Bitcoin Whale is a well-known cryptocurrency term regarded as someone who has a lot of Bitcoin with themselves and alone can affect the market price. These Bitcoin Whales can, on their own, single-handedly change the market price of Bitcoin. When a person can sell, it will impact the pricing.
What is Shitcoin?
When a coin has no working value, it is called a shitcoin. The crypto definition of this word is the coin, which is an altcoin that has no actual value and does not have any working then it is given this term. The bitcoin Maximalists generally use this word as they have a good idea about the altcoin.
What is FIAT?
A currency with gal tender backed by the government is known as FIAT. FIAT money has no fixed value in the market. The price of this currency can change over time according to the market values. Gold is Fiat money, and the price changes over time according to the market needs.
What is FOMO?
FOMO is the short form of Fear Of Missing Out. In the context of crypto terminology, one is afraid he might not be able to compete for a winning trading position. Some businesses prefer not to take risks because of the fear of missing out on the winning position.
What is Satoshi?
Satoshi is the Unit of Bitcoin. It is the unit through which the amount of Bitcoin is expressed. This crypto definition is derived from the founder of Bitcoin, Satoshi Nakamoto, who remains anonymous. One Satoshi can be expressed as 0.00000001 of Bitcoin. The reason behind the number of decimals is the creator wanted to make it an everyday currency.
What is FUD?
The Full Form of FUD is Fear, Uncertainty, and Doubt. There are several doubts about cryptocurrency for dummies. These doubts include rumours about the crypto getting banned or the regulatory issues of bitcoin. These rumours bring a lot of uncertainty and fear to beginners investing in cryptocurrency.
What are Pump and Dump?
This cryptocurrency terminology refers to the inflation and coming down of the price. The Pump is regarded as mass selling in a short period. The Dump is for the quick fall of the value back to its original price before the Pump. Pump and Dump are often used in the crypto world. And this fall and rise happen a lot, so this word is popularly used.
What is a digital address?
Digital address is a crypto term used to represent crypto wallets. The address is a sequence of 27 to 34 letters, and each address is unique. The digital address of the recipient is required for the transaction of cryptocurrency. The address is necessary for a safe transaction between the parties.
What is HODL?
HODL is one of the cryptocurrency terms that crypto investors use to have trust in crypto and to hold their bitcoin for a long time. It disrupts the word ‘hold’ and is used for similar reasons in the crypto market. Hodlers hold their bitcoin even if the price goes down.
What is Halving?
Halving is a process that cuts in half the reward of the miners that they receive for the recording of the transactions and the verification of these transactions so that new blocks can be added to the blockchain. Halving is a predefined process, and bitcoin halving occurs once every four years.
What is ICO?
ICO stands for Initial Coin Offering, and it is a very effective fundraising method used by crypto investors. ICO projects do not raise funds by traditional methods. The investors of the ICO are eligible for tokens only, and they do not hold any equity. The ICO bubble lasted for a few months only.
What is IEO?
IEO is the full form of an Initial Exchange Offering. IEO came after the drastic downfall of ICO as a fill-in. It is a form of fundraising for a new token creation conducted by a crypto exchange. IEOs are considered a risky investment like the ICOs because they can backfire on the projects.
What is KYC?
KYC stands for Know Your Customer. It is a widely known crypto terminology for beginners as most projects require their customers to provide some personal information like proof of address. Different platforms can ask for documents or verifications like passport scans or webcam verification.
Conclusion
To understand the crypto world better, you need to have detailed knowledge of the words and terminologies they use. The abovementioned words will give you an idea of the different short forms, meanings, and usage in cryptocurrency.
