Crypto Slang And Terminology
Crypto Slang And Terminology
40+ Popular Crypto Slangs and Terminologies
The crypto world is filled with technical jargon from top to bottom, and if you are a newbie in it, you might get confused about the meaning of specific phrases, slang, or acronyms. We are here to ensure that such doesn't happen.
In this post, we will look at everyday crypto slang and terminologies, define them and explain the terms and instances where they can be used.
1. Airdrop 📦
Whenever a project decides to release its tokens or coins for free, those tokens are then distributed to varying wallets. This process is called an Airdrop.
Giving out these free tokens is often employed by project owners to bring traction to their projects and get the crypto community to take notice of them.
Owners of Decentralized applications also use it when trying to distribute tokens to people interested in their application.
2. Altcoins 🪙
These refer to tokens or cryptocurrencies that serve as alternatives to Bitcoin. With every passing day, new altcoins are created and placed on the market. A few altcoins have gone on to become popular and grow in value over the years, such as Ethereum, and Litecoin, amongst others.
3. ATH 📈
A term for "All time high," ATH refers to the highest price a cryptocurrency has ever reached.
4. Ape 🐒
You are called an Ape when you rush to purchase an NFT or a token right after its launch without conducting any background check or prior market research.
5. Bag 💰
If you own a large amount of cryptocurrency, you can say you have a "Bag" of such crypto asset, which is your way of saying you have invested in that crypto asset.
6. Bag Holder
A Bag Holder is used to describe someone who has bought a large amount of a particular cryptocurrency that is having a price crash.
This is not a nice position to be in after investing a lot into a coin and watching the price painfully decline.
Certain BagHolders choose not to sell off their crypto assets with the hope that they will eventually rise again(and place them in profit once again)
7. Bitcoin Maximalists
These are a set of people with the ideology that Bitcoin is the sole cryptocurrency with value and the only digital asset worth investing in.
8. BTD
"Buy the Dip" is a mantra used to encourage people to buy crypto assets during its period of decline. The dip often feels like a period where crypto assets are made available at a discounted price, and people are encouraged to buy at this time with the hope that the asset bounces back and increases in value later on.
9. Ce-Fi
Ce-Fi denotes centralized finance, and this type of financial system is what we have in play today. Centralized finance is an umbrella of institutions such as Banks, crypto exchanges, and other financial institutions governed by a centralized body.
10. CEX
CEX stands for centralized exchange, and as the name indicates, this is a centralized exchange. This means that a single and centralized entity controls this exchange.
This exchange comes with its fair share of pros and cons. While they are often patronized because they can be regulated and are obliged to keep their customers' crypto assets safe no matter what, they are also criticized for having enormous transaction fees.
Examples of such exchanges include the likes of Kucoin and FTX, to mention a few.
11. Cold Wallet
This refers to a type of wallet that is not connected to the internet. This type of Cryptocurrency wallet is often seen as safe and less prone to hacking.
They can be stored on various devices, from USB drives to offline computers.
12. Cryptojacking
This happens when a hacker taps into the computing power of an unsuspecting victim and then uses that power to mine cryptocurrency.
This form of cybercrime, also known as "malicious crypto mining", first sprung up during the 2017 crypto boom and has become widespread.
13. Cryptosis
Cryptosis describes someone passionate about crypto and wanting to learn and absorb everything about it. It can be seen as an insult closer to a compliment and is often used to imply someone is a “crypto nerd” rather than an enthusiast.
14. dApps
Also meaning decentralized applications, this is a type of application founded on a decentralized network. A number of dApps run on Blockchain platforms hence their affiliation with cryptocurrencies; they can also run on decentralized networks such as IPFS.
15. DAO
Short form for decentralized autonomous organization, DAO refers to a type of organization run solely by code. This organization aims to be independent and self-power without needing a central authority.
16. DeFi
This means decentralized finance. This financial system runs on the Ethereum blockchain and allows users to borrow, trade, and lend cryptocurrencies without needing a Central organization.
DeFi has gained ground in recent years as it has granted users access to financial services without needing a Central institution.
17. DEX
This means "Decentralized Exchange," a type of exchange that allows users to trade cryptocurrencies in a decentralized way.
Unlike CEX, DEXs are not controlled by a single, central entity. Users from decentralized exchanges can trade directly from their wallets.
The downside to using this type of exchange is that it is a high risk, and in the case of a mistake, crypto assets lost can't be retrieved.
18. DYOR
This is the short form for "Do Your Own Research," a clarion call to investors to ensure that they always do due diligence on any project before investing in it.
This is one of the most(if not the most) popular slang in the crypto community, and you get to see its importance in varying communities like /r/cryptocurrency when people invest in coins they haven’t researched.
DYOR can be a complete game changer when making money online and avoiding common crypto scams.
19. FOMO
FOMO means Fear Of Missing Out, a feeling of anxiety that you are missing out on something- an investment opportunity, a piece of information, e.t.c.
This often pushes people to make rash decisions and investments from a place of fear. It is essential you get rid of this feeling because it could cause you to lose a lot of money.
20. FUD
FUD is a short form for "Fear, Uncertainty, And Doubt ."It is a psychological tactic used to put fear and doubt into people about a particular project, brand, or market with the aim of getting the market price/value of such to go down. FUD can also be termed as when skepticism grows around a crypto asset that grows into a negative aura around it.
21. Fork
This is when the Blockchain is divided into two. Several things could cause this, but the chief cause is often when the crypto community can't come to agree on a particular update.
We can either have a hard fork- when the new Blockchain is not compatible with the old Blockchain, or a soft fork- When the new Blockchain is indeed compatible with the old Blockchain. Forks could impact the value of your investment, so ensure you keep your eyes on them.
22. GAS
GAS is the crypto term for transaction fees. These fees help keep the Blockchain network running smoothly. Ethereum Gas fees are known to sometimes be on the high side; hence it is important to understand how much Gas fee is being charged as it can impact the amount of money you make from a transaction.
23. Halving
Halving is when a miner's block reward is cut into two. Halving happens once every four years and can positively impact Bitcoin price while contributing to the smooth running of the network. It can also have a negative impact, frequently causing inflation.
24. HODL
Also, one of the more popular terms, HODL, is an abbreviation for "Hold On For Dear Life".
Originating from a misspelling of Hold in a Bitcoin forum post that went viral in 2013, HODL is a way of advising investors to hold on to their coins and position in the market and not sell off during periods of price crash/dip in the market.
25. IYKYK
"If You Know, You Know" is a term used to imply that a post, message, or market trend will only make sense to people who are knowledgeable about crypto.
The slang is often a coy way to show how complicated or technical the Crypto space can be.
26. ICO
This means an Initial coin offering. This is a fundraising event that project owners do to present their coins for sale to investors to gain funding in return. It has become a popular trend in crypto, but one needs to be careful, as scammers are taking advantage of it.
27. MultiSig
This means Multisignature- a type of wallet that needs to have the consent of more than one signatory before a transaction is authorized or carried out. These wallets are believed to be more secure than single-signature wallets due to the number of people who see a transaction before it is completed.
28. "To The Moon/Mooning"
This refers to an upward surge in the price of a cryptocurrency asset. Investors believe that the "mooning" phase is the best time to sell off some of your coin, as they would have greatly appreciated.
29. Node
Node is a computer used to verify transactions carried out on the Blockchain. People from around the world volunteer to operate nodes to keep the network running smoothly.
30. NGMI
This is a short form for "Not Gonna Make It". This is used when one is skeptical/bearish about the future of a particular project. It can also be used as a slur against people who don't understand basic crypto concepts.
Should you as an investor see this word fondly associated with a particular altcoin or crypto project, it is advised you carry out due diligence on such project before investing.
31. No-Coiner
No-Coiner is often used to describe people who aren't sold on the concept of cryptocurrencies as a whole. People often use this derogatory term to classify people who believe cryptocurrencies will crash woefully in the long run.
32. NFT
NFT is the short form for Non Fungible tokens. These tokens are a form of digital asset stored on the Blockchain. NFTs have grown popular in recent times due to their unique nature and the number of possibilities they offer.
With NFTs, you can represent a wide range of digital assets, from music to art to even virtual real estate.
33. Pump/Dump
Pump and Dump is a term used to refer to a scheme by people who come together to purchase crypto assets to sell at a much higher rate than the cost price to increase the asset's selling price.
They often Bring on board top celebrities who influence people to buy those assets at all-time highs. To avoid falling into this scamming web, it is imperative you do your research before investing in anything in the crypto space.
34. Rekt
This is a crypto form of saying wrecked; a lingua used to describe a situation where you lose a lot of money. Be you a new investor or an experienced trader, you can suffer this due to the volatile nature of the market.
35. Sats
This is an abridged version of satoshis, the smallest unit of Bitcoin, coined after the elusive creator of the coin, Satoshi Nakamoto. Like fiat currencies, cryptocurrencies also have smaller units they can be divided into. One Bitcoin= 100 million satoshis
36. Shill
A shill is someone who passionately promotes a crypto project or coin but fails to disclose his position in it or how much investment he has in it. Influencers are often paid to be shills, and they do it intending to sell such coins off when they appreciate in price.
The goal of shills is to massively bring people into the project, a move that often misleads investors and causes undesirable market shifts.
37. Stablecoin
A stablecoin is a coin with a stable value. These coins are put in place to limit the impact of price volatility on the market, and fiat currencies equally back up stablecoins.
Top stablecoins include tether(USDT), which is the largest stablecoin by market capitalization; others include the likes of USDC and PAX(Paxos standard)
38. SZN
SZN is just a short way of saying season. In the crypto World, there are two major seasons - The Bull And Bear Seasons. The latter indicates a price fall, with the former showing an upsurge.
One can accurately overview the crypto market by studying current market trends. Periods when prices are on the rise, are called bull markets, and when the prices decline, we can say it's a bear market.
Many cryptocurrency traders will pair this with the “Fear and Green” index, an algorithm sentiment analysis tool for the Crypto Market.
39. Wallet Address
This refers to a set of alphanumeric characters depicting a crypto wallet. Guarded by a private key, this address is used to send or receive cryptocurrencies and is generated by wallet providers.
40. Whale
A Whale is said to be a person or organization with significant ownership of a specific cryptocurrency.
While there is no fixed benchmark for when you can be considered a whale, the number of coins held by this person or organization should be significant enough to cause movements in market prices upon buying or selling their coins or tokens.
Whales are powerful enough to cause a temporary increase in volatility, so people have devised means to keep track of whales and their movements in the market.
This helps with predictions of their next steps, as these whales are powerful enough to manipulate the crypto market.
41. Dogecoin
Dogecoin is a decentralized cryptocurrency that emerged in 2013 as a lighthearted and meme-inspired digital asset. It features the Shiba Inu dog from the "Doge" internet meme as its iconic logo. Created as a playful alternative to Bitcoin, Dogecoin gained popularity for its friendly and welcoming community.
It operates on a blockchain and utilizes a proof-of-work consensus algorithm. Although initially intended as a joke, Dogecoin has gained significant attention and a dedicated following, with users tipping and donating the coin for various charitable causes and online content.
Its value and market fluctuate considerably, attracting both enthusiastic supporters and skeptics within the broader cryptocurrency ecosystem.
42. Faucet
A crypto faucet is an online platform that rewards users with small amounts of cryptocurrency for completing simple tasks or solving captchas. It operates as a promotional tool for digital currencies, allowing individuals to earn fractions of coins without purchasing them directly.
Crypto faucets serve as a way for newcomers to enter the cryptocurrency ecosystem, providing them with a taste of the technology and encouraging further exploration.
While the rewards are typically modest, faucets can be a fun and educational introduction to cryptocurrencies for those seeking to learn about the technology or acquire their first digital assets.
43. Whitepaper
A crypto whitepaper is a comprehensive document that outlines the technical details, objectives, and underlying principles of a cryptocurrency project.
It is a foundational piece of literature, presenting the concept, purpose, and potential implementation of a new digital currency or blockchain technology. A crypto whitepaper typically includes information about the project's technological innovation, consensus mechanism, governance model, token economics, and potential use cases.
It often explains the project's architecture, security measures, and scalability solutions.
Whitepapers play a crucial role in establishing credibility, attracting investors, and educating the community about the unique features and value propositions of a cryptocurrency project.
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Conclusion
Knowing these slang and what they mean is vital in understanding the overall concept of cryptocurrencies.
New Slang is due to come out and be invented in the future, but knowing these slang/terminologies and their meanings helps to ensure that you find your feet in the crypto market.
With these terminologies now known, ensure you conduct proper research before making any financial decision on any asset in the crypto market.
Crypto Slang And Terminology
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