Crypto Glossary for Beginners

The crypto world uses a lot of confusing words. Use this simple dictionary to understand what people are talking about.

Airdrop

Free crypto tokens sent to your wallet, usually as a reward for using a new project early. Learn more

Altcoin

Any cryptocurrency that is not Bitcoin. Examples include Ethereum, Solana, and Cardano.

Blockchain

A digital public record book that stores all transactions. It is copied across thousands of computers, making it very hard to fake or change. Learn more

Bridge

A tool that lets you move your crypto from one blockchain to another. Learn more

CEX (Centralized Exchange)

A crypto trading platform run by a company, like Binance or Coinbase. Learn more

Cold Wallet

A physical device that stores your crypto offline, making it safe from online hackers. Learn more

DCA (Dollar Cost Averaging)

A strategy where you buy a fixed amount of crypto on a regular schedule, regardless of price. Learn more

DeFi (Decentralized Finance)

Financial services like borrowing, lending, and trading that happen directly on a blockchain without a bank. Learn more

DePIN

Decentralized Physical Infrastructure Networks. Regular people contribute hardware and earn crypto rewards. Learn more

DEX (Decentralized Exchange)

A trading platform that runs on smart contracts, meaning no company controls it.

Ethereum

The second-largest crypto network. It lets people build and use decentralized applications. Learn more

Fiat

Traditional government money, like US Dollars, Euros, or Japanese Yen.

Gas Fee

The cost you pay to the network to process a transaction. Fees change based on network traffic. Learn more

HODL

Crypto slang for 'hold.' It means keeping your crypto for the long term, even when prices drop.

Hot Wallet

A crypto wallet connected to the internet, like an app on your phone. Easy to use but less secure. Learn more

Layer 2 (L2)

A network that runs on top of Ethereum to make transactions faster and cheaper. Learn more

Memecoin

A cryptocurrency based on a joke or internet meme. Extremely risky and often used in scams. Learn more

NFT

Non-Fungible Token. A unique digital item with ownership recorded on a blockchain. Learn more

Private Key

A secret code that proves you own your crypto. Never share this with anyone.

Public Key

Your crypto account address. It is safe to share so people can send you money.

Rug Pull

A scam where the creators of a crypto project suddenly run away with investors' money.

RWA

Real World Assets. Physical things like real estate or gold that are tokenized on a blockchain. Learn more

Seed Phrase

A list of 12 to 24 words that acts as the master key to your wallet. If you lose it, you lose access to your crypto. Learn more

Smart Contract

A computer program on a blockchain that runs automatically when set conditions are met. Learn more

Stablecoin

A crypto token designed to hold a steady value, usually pegged to the US Dollar. Learn more

Staking

Locking up your crypto to help secure a blockchain network and earn rewards. Learn more