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Crypto Glossary

Essential cryptocurrency and investing terms explained in plain English for beginners.

Altcoin

Any cryptocurrency other than Bitcoin.

Blockchain

A distributed ledger that records transactions.

Bitcoin

A decentralized digital currency and network.

Cold wallet

A method of keeping keys offline.

Consensus

The process a network uses to agree on valid records.

Custody

How and where access to assets or keys is controlled.

DeFi

Financial applications built on blockchain networks.

DEX

A decentralized exchange that uses smart contracts.

Drawdown

The decline from an account peak to a later low.

Gas fee

A fee paid to process some blockchain transactions.

Halving

A scheduled reduction in some network issuance rewards.

Hash

A one-way digital fingerprint used in computing.

Hot wallet

A wallet connected to the internet.

Leverage

Exposure larger than the trader’s own capital.

Liquidity

How easily an asset can be bought or sold.

Market cap

Price multiplied by circulating supply.

Market order

An order intended to execute at available prices.

Limit order

An order with a specified price condition.

Private key

Secret cryptographic information controlling access.

Public address

An identifier that can usually receive assets.

Recovery phrase

Secret words used to restore wallet access.

Slippage

The difference between expected and executed price.

Smart contract

Code that executes rules on a blockchain.

Stablecoin

A token designed to track a reference value.

Staking

Committing assets to support a network or protocol.

Token

A digital asset issued on an existing network.

Total value locked

Assets deposited in a DeFi protocol.

Volatility

The size and speed of price movements.

Wallet

Software or hardware that manages cryptographic keys.

Whale

A holder whose activity can affect market liquidity.