CRYPTO LESSON PART (2)
25 Crypto Terms Newbies Should Know
Blockchain and Asset Basics
1. Blockchain: A distributed database where transactions are grouped and recorded according to network consensus rules.
2. Bitcoin: The largest cryptocurrency by market capitalization and the native asset of the Bitcoin network.
3. Altcoin: A general term for cryptocurrencies other than Bitcoin.
4. Stablecoin: A crypto asset designed to maintain a relatively stable value, commonly against currencies such as the US dollar.
5. Token: A digital asset created on an existing blockchain rather than necessarily operating its own independent network.
6. Wallet: Software or hardware used to manage blockchain accounts and signing keys.
7. Private Key: Secret cryptographic information allowing a holder to authorize blockchain transactions.
8. Seed Phrase: A sequence of words used to recover many self-custody cryptocurrency wallets.
Trading Terminology
9. HODL: Holding cryptocurrency for an extended period rather than reacting to short-term volatility.
10. Market Capitalization: Token price multiplied by circulating supply.
11. Trading Volume: The value of assets traded during a specified period.
12. Liquidity: How easily an asset can be bought or sold without significantly changing its price.
13. Slippage: The difference between an expected trade price and the actual execution price.
14. Bull Market: A prolonged period characterized by broadly rising prices.
15. Bear Market: A prolonged period of generally declining prices.
16. Volatility: The magnitude and frequency of price fluctuations.
17. Leverage: Borrowed exposure that magnifies both potential gains and losses.
18. Liquidation: Forced closure of a leveraged position when collateral becomes insufficient.
19. Open Interest: Outstanding futures or derivatives contracts that remain open.
25 Crypto Terms Newbies Should Know
Blockchain and Asset Basics
1. Blockchain: A distributed database where transactions are grouped and recorded according to network consensus rules.
2. Bitcoin: The largest cryptocurrency by market capitalization and the native asset of the Bitcoin network.
3. Altcoin: A general term for cryptocurrencies other than Bitcoin.
4. Stablecoin: A crypto asset designed to maintain a relatively stable value, commonly against currencies such as the US dollar.
5. Token: A digital asset created on an existing blockchain rather than necessarily operating its own independent network.
6. Wallet: Software or hardware used to manage blockchain accounts and signing keys.
7. Private Key: Secret cryptographic information allowing a holder to authorize blockchain transactions.
8. Seed Phrase: A sequence of words used to recover many self-custody cryptocurrency wallets.
Trading Terminology
9. HODL: Holding cryptocurrency for an extended period rather than reacting to short-term volatility.
10. Market Capitalization: Token price multiplied by circulating supply.
11. Trading Volume: The value of assets traded during a specified period.
12. Liquidity: How easily an asset can be bought or sold without significantly changing its price.
13. Slippage: The difference between an expected trade price and the actual execution price.
14. Bull Market: A prolonged period characterized by broadly rising prices.
15. Bear Market: A prolonged period of generally declining prices.
16. Volatility: The magnitude and frequency of price fluctuations.
17. Leverage: Borrowed exposure that magnifies both potential gains and losses.
18. Liquidation: Forced closure of a leveraged position when collateral becomes insufficient.
19. Open Interest: Outstanding futures or derivatives contracts that remain open.
