The Essential Glossary of Crypto, DeFi, and Blockchain Terms

In the rapidly evolving world of cryptocurrency and blockchain technology, keeping up with the terminology can be daunting. This article serves as your guide to understanding the most popular words in crypto, decentralized finance (DeFi), blockchain, and cryptographic tech. We are constantly adding terms and optimizing definitions.
Feel free to reach out to us on Farcaster if you think we are missing some crucial terms.

Airdrop : The Most Profitable way to earn with Crypto

An Airdrop is a distribution of an NFT, a cryptocurrency token or coin, usually for free, to numerous wallet addresses. Airdrops are primarily implemented as a way of gaining attention and new followers, resulting in a larger user-base and a wider disbursement of coins. You can see them as incentives given to those who make use of a Decrintralized APP or protocol.
They can be very hard to find, quest for, or redeem. Thats why aDrop.ai Curates and Automastes Airdrops.

Algorithmic Trading

Algorithmic Trading involves using computer programs to trade automatically at high speed and volume based on a set of predefined criteria, such as trading instructions involving price, timing, quantity, or any mathematical model. In the crypto market, algorithmic trading is used to execute complex trading strategies at a speed and frequency that is impossible for a human trader. Algorithmic Trading scripts can range from simple algorithms to complex semi-autonomous AI’s. These Algorithmic Trading scripts are often referred to as Bots or Trading Bots.

Altcoin : Alternatives to BTC

All crypto Currencies that are not Bitcoin (BTC), Ether (ETH), or stable coins such as USDC, BUSD, EURB and or (but not limited to) USDT. The term Altcoin indicates that the coins are Alternative coins. Some even claim ETH to be an Altcoin.

Atomic Swap

Atomic Swap refers to a technology that enables the exchange of one cryptocurrency for another without the need for a centralized intermediary, such as an exchange. This is achieved through the use of smart contracts that ensure the transaction occurs only if all conditions are met, otherwise, the transaction is automatically canceled, making the process secure and trustless.

Bear Flag

A Bear Flag is a chart pattern that indicates a continuation of the bearish trend. It consists of a sharp, steep decline in price followed by a brief consolidating upward trend, resembling a flag shape, before continuing its downward movement.

Bearish

Bearish is a term used to describe an investor’s expectation that a market will decline in value. Being bearish is the opposite of being bullish; it reflects a negative sentiment toward the market’s future direction. At its core it’s a joke about investors hybernating for a period of time.

Bear Market

A Bear Market refers to a market condition where prices are falling or expected to fall. It symbolizes a pessimistic outlook, where investors expect prices to decline further over an extended period. At its core its a joke about investors hybernating for a period of time.

Bitcoin Halving

Bitcoin Halving is an event that occurs approximately every four years, which halves the rate at which new bitcoins are generated by the network. It effectively reduces the supply of new bitcoins entering the market. The halving continues until the maximum supply of 21 million bitcoins has been issued by the network, making Bitcoin a deflationary asset.

Black Swan Event

A Black Swan Event refers to an unpredictable or unforeseen event, typically one with extreme consequences. In the context of financial markets and cryptocurrencies, black swan events are characterized by their severe impact on prices and market stability. The term was popularized by Nassim Nicholas Taleb in his 2007 book “The Black Swan,” emphasizing the significant effect these rare and unpredictable events can have on the economy. Examples include the 2008 financial crisis or sudden, unexpected regulatory changes in major cryptocurrency markets.

Blockchain: The Backbone of Cryptocurrency

Blockchain technology is the bedrock of cryptocurrency. It’s a distributed database or ledger that is open to anyone and ensures the integrity and security of data without the need for a central authority. This technology not only powers cryptocurrencies like Bitcoin and Ethereum but also has applications ranging from finance to healthcare, emphasizing its versatility.

Bridge Protocol

Bridge Protocol refers to a set of rules and mechanisms that allow for the transfer of data or assets between different blockchain networks. These protocols are essential for achieving interoperability in the blockchain ecosystem, enabling users to seamlessly move assets from one chain to another. Bridges can be used to transfer cryptocurrencies, tokens, or even non-fungible tokens (NFTs) across various platforms, thereby overcoming the isolation of blockchain networks. They play a crucial role in the multi-chain future of blockchain technology, facilitating a more connected and efficient ecosystem.

Bull Flag

A Bull Flag is a chart pattern that occurs during a market uptrend and signals its continuation. After a strong price increase, the bull flag represents a brief pause or slight downward trend before the market resumes its upward movement.

Bullish

Bullish describes an investor’s belief that a market will rise in value. It reflects a positive sentiment about the market’s future direction. At its core it’s a joke about investors charging in like mad bulls.

Bull Market

A Bull Market is characterized by increasing asset prices and widespread optimism. Investors in a bull market expect prices to rise further over an extended period.
Bull markets almost always end in a bubble, or a strong market correction. Bull markets often precede a Bear Market.
At its core it’s a joke about investors charging in like mad bulls.

Bull Trap

A Bull Trap is a false market signal indicating that a declining trend has reversed and is heading upwards, when in fact, the asset will resume its decline. This can trap buyers into purchasing at the onset of what they believe is a market upturn.

Call Option (Call)

A Call Option (Call) grants the holder the right, but not the obligation, to buy a specified amount of an underlying asset at a predetermined price within a specific period. In the context of both cryptocurrency and traditional markets, call options are used by investors to speculate on the rising prices of assets or to hedge against potential price increases of assets they plan to buy in the future. Calls represent a bullish outlook, indicating the investor’s expectation that the asset’s price will increase.

Candle Chart

A Candle Chart, or candlestick chart, is a style of financial chart used to describe price movements of a security, derivative, or currency. Each “candle” provides data on the opening, high, low, and closing price of an asset for a specific period.

Centralized Exchange (CEX)

Centralized Exchange (CEX) is a platform where users can trade cryptocurrencies, tokens, and other digital assets in a controlled environment managed by a central authority or company. CEXs act as intermediaries between buyers and sellers, providing liquidity, ease of use, and a wide range of services including fiat-to-crypto transactions, crypto-to-crypto trades, and sometimes even staking or lending services. They maintain custody of users’ funds, which simplifies the trading process but also introduces risks related to security and control. Examples of CEXs include Coinbase, Binance, and Kraken.

Coins vs. Tokens: Distinguishing the Assets

Understanding the difference between coins and tokens is crucial. Coins are digital currencies native to their blockchain, like Bitcoin or Ether. Tokens, however, are built on existing blockchains and can represent assets or be used for transactions, like ERC-20 tokens on the Ethereum network.

Cold Storage

Cold Storage refers to a method of storing cryptocurrencies offline, away from the reach of online hackers. This is typically achieved through the use of hardware wallets (physical devices) or paper wallets (printouts of private and public keys). Cold storage is considered one of the safest ways to hold cryptocurrencies, especially for long-term investments, as it reduces the risk of theft from cyber attacks.

Consensus Mechanism

Consensus Mechanism is a fundamental technology in blockchain that enables network participants to agree on the validity of transactions and the current state of the blockchain ledger. It ensures integrity and security in a decentralized system. Proof of Work (PoW) and Proof of Stake (PoS) are among the most common consensus mechanisms, each with its own way of validating transactions and achieving consensus.

Cryptocurrency: The Digital Currency Revolution

Cryptocurrency utilizes cryptography for secure transactions, operating on blockchain technology. It represents a digital or virtual currency, with Bitcoin being the most well-known example, often considered the digital gold of this era.

Crypto Whale

A Crypto Whale is an individual or entity that holds a large amount of cryptocurrency. Whales have the potential to manipulate currency valuations through their substantial trading activities.

DAO (Decentralized Autonomous Organization)

DAO (Decentralized Autonomous Organization) represents a type of organization represented by rules encoded as a computer program that is transparent, controlled by organization members, and not influenced by a central government. DAOs are pioneering a new form of governance and organizational structure, enabled by smart contracts on a blockchain.

DApp (Decentralized Application)

DApp (Decentralized Application) is an application that runs on a decentralized network, avoiding a single point of failure. DApps are built on blockchain technology, typically Ethereum, and are driven by smart contracts. They represent a wide range of applications from finance to gaming, emphasizing user control and security.

Dead Cat Bounce

A Dead Cat Bounce is a temporary recovery in prices after a significant decline, followed by the continuation of the downtrend. It is a small, short-lived recovery in the price of a declining asset.

Decentralized Exchange (DEX)

Decentralized Exchange (DEX) is a platform that facilitates peer-to-peer trading of cryptocurrencies and tokens without the need for an intermediary or central authority. DEXs run on blockchain technology and utilize smart contracts to enable direct transactions between users. They offer increased privacy, security, and control over funds, as users retain their private keys and thus ownership of their assets. However, DEXs might have lower liquidity and slower trade execution compared to CEXs. Examples of DEXs include Uniswap, SushiSwap, and PancakeSwap.

DeFi: The Financial Paradigm Shift

Decentralized Finance (DeFi) encapsulates financial services on the blockchain, aiming to disrupt traditional financial intermediaries. It offers a range of applications from lending, borrowing, trading, and risk management, all without central authority involvement.

Diluted Value

Diluted Value refers to the reduced value of each share of a company or, in the context of cryptocurrencies, each token or coin, as a result of the issuance of new shares or tokens. This concept is important for understanding the potential decrease in ownership percentage and value due to the increase in the total number of shares or tokens in circulation.

Degen

A specific type of active trader with an extremely high risk-tolerance.
Degens typically love to yolo into shitcoins, buy any NFT they damn-well like, and experiment with experimental DeFi protocols, FinTech, and asset classes. Degen culture is celebrated through memes, memecoins, and art among retail investors.
At its core the term is a joke about how extreme speculators are no better than Degenerate Gamblers.

Doji Stick

A Doji Stick appears in candlestick charts and represents a session in which the opening and closing prices are virtually equal. It often signifies indecision or a struggle for turf positioning between buyers and sellers.

Dominance

Dominance in the context of cryptocurrencies refers to the percentage of the total market capitalization that a particular cryptocurrency holds relative to the aggregate market cap of all cryptocurrencies. Bitcoin dominance, for example, is a commonly watched metric that indicates Bitcoin’s market share compared to all other cryptocurrencies combined. High dominance suggests a concentration of investment in that coin, whereas lower dominance indicates a more distributed investment across different assets.

Encryption: The Art of Secure Communication

Encryption transforms information into secret code, safeguarding the confidentiality of transactions and wallet access in the cryptocurrency realm. It’s a cornerstone of secure, trustless digital transactions. It’s also the reason why crypto is so popular. States seek to control our every decision. They surpress and subdue us by lording over our finance and communications.
Crypto embodies a dream of freedom and the will of the people.

Fear and Greed Index

The Fear and Greed Index is a tool used to gauge the sentiments of investors in the cryptocurrency market. It analyzes emotions and sentiments from different sources and consolidates them into a single figure on a scale from 0 (extreme fear) to 100 (extreme greed). This index is used to understand the general sentiment in the cryptocurrency market, as extreme fear can indicate a potential buying opportunity, while extreme greed could signal a market correction.

Frontrunning

Frontrunning in the context of cryptocurrency and finance occurs when a trader exploits advance knowledge of upcoming transactions that will influence the price of an asset. In decentralized finance (DeFi), this can happen when someone sees a pending transaction in a blockchain’s mempool (a holding area for transactions before they are processed) and places their own transaction first by paying a higher gas fee, thereby benefiting from the price movement that follows.

FUD (Fear, Uncertainty, and Doubt)

FUD (Fear, Uncertainty, and Doubt) is a term borrowed from traditional finance and adapted within the cryptocurrency community to describe a strategy of disseminating negative, misleading, or false information about a particular asset or the market overall. The aim of spreading FUD is to instigate a selling frenzy, leading to price declines and market instability. Recognizing FUD is essential for investors to make informed decisions rather than reacting to unfounded fears.

Fully Diluted Value (FDV)

Fully Diluted Value (FDV) in the crypto context refers to the valuation of a cryptocurrency or a project if all its future issuance is included in the current circulating supply. This gives investors an idea of the market cap of the cryptocurrency if all planned coins or tokens were already in circulation, providing insights into the potential inflationary impact on the value of each unit.

Gas Fees

Gas Fees on the Ethereum network are payments made by users to compensate for the computing energy required to process and validate transactions on the blockchain. Gas fees vary based on network demand and the complexity of the transaction. They are crucial for the network’s security and efficiency, preventing spam and ensuring resources are allocated fairly.

GM / GN

Degen’s start their day with GM on social (Good Morning)
and say GN (Good Night) when they run out of Redbull and Mountain Dew.

Going Long

Going Long in trading means buying and holding a security, commodity, or currency with the expectation that its value will rise over time.

Going Short

Going Short, or short selling, involves selling a borrowed asset with the plan to buy it back later at a lower price. Traders go short when they anticipate a decrease in the asset’s price.

HODL

HODL is a term derived from a misspelling of “hold” that has become a humorous backronym for “Hold On for Dear Life.” It refers to a strategy used by cryptocurrency investors who believe in the long-term potential of their holdings, choosing to keep them through volatility and market dips, rather than selling them off in response to short-term market movements.

Hot Storage

Hot Storage refers to keeping cryptocurrencies in wallets that are connected to the internet. While it provides convenience for quick access and transactions, it is inherently less secure than cold storage due to its vulnerability to online attacks, phishing scams, and other cyber threats. Hot wallets are typically used for daily trading and transactions where speed and accessibility are key.

Indicator

An Indicator in the context of cryptocurrency and financial markets refers to a statistical measure or data point used to forecast price movements. Indicators can be based on historical price, volume, or open interest information and are used to identify certain market conditions like trends, momentum, and volatility. Common indicators include moving averages, Relative Strength Index (RSI), and MACD (Moving Average Convergence Divergence).

Interoperability

Interoperability refers to the ability of different blockchain networks to communicate and share information with each other, enabling the exchange of assets and data across disparate platforms. This is crucial for the widespread adoption of blockchain technology, as it allows for a more connected and functional ecosystem.

Lambo

Lambo, short for Lamborghini, has become a symbol of extreme wealth and success among cryptocurrency enthusiasts. The phrase “When Lambo?” or simply “Lambo” often appears in crypto forums and discussions, representing a question or a goal about when one’s investments will yield enough profit to afford a Lamborghini. It epitomizes the aspiration for quick riches that attracts many to the volatile cryptocurrency markets.

Lambo Wen Moon

Lambo Wen Moon combines the sentiments of “Wen Lambo” and “Wen Moon,” encapsulating the quintessential crypto investor’s dream of achieving enough wealth from their investments to afford luxury items like a Lamborghini when the price of their chosen cryptocurrency “moons” or increases dramatically. It humorously conveys the aspirations and sometimes the impatience of investors waiting for their investments to yield life-changing returns.

Layer 2 (L2)

Layer 2 refers to a secondary framework or protocol that is built atop an existing blockchain system (the main chain or layer 1). The purpose of layer 2 solutions is to solve the scalability and transaction speed problems that can plague layer 1 blockchains like Bitcoin and Ethereum. By handling transactions off the main chain or by optimizing the data that gets recorded on the main chain, layer 2 solutions can significantly increase transaction throughput and reduce fees. Examples include Lightning Network for Bitcoin and various scaling solutions for Ethereum, such as rollups.

Leverage Trading

Leverage Trading allows traders to borrow funds to increase their trading position beyond what would be available from their cash balance alone. This can amplify both potential profits and losses, making it a high-risk, high-reward strategy. In the cryptocurrency market, leverage trading is available on many exchanges and can significantly increase the impact of market movements on traders’ capital.

Liquidity

Liquidity refers to the ease with which an asset can be bought or sold in a market without affecting its price. High liquidity indicates a stable market where large quantities of an asset can be transacted quickly and at predictable prices. In cryptocurrency exchanges, liquidity is crucial for enabling efficient trading and minimizing the risk of slippage.

Liquidity Pools

Liquidity Pools are collections of funds locked in a smart contract, used to facilitate decentralized trading, lending, and borrowing on a DeFi platform. These pools allow users to trade tokens without the need for traditional market makers, providing the liquidity needed for the ecosystem to function. In return, liquidity providers earn fees from the trades that occur in their pool.

Market Cap (Market Capitalization)

Market Cap (Market Capitalization) is a metric used to measure the total value of a cryptocurrency’s circulating supply. It is calculated by multiplying the current price of a single unit of the cryptocurrency by its total supply in circulation. Market cap is a crucial metric for assessing the relative size, value, and importance of a cryptocurrency within the market. It provides insights into the dominance and stability of assets and helps investors diversify their portfolios.

Meme Coin

Meme Coins are cryptocurrencies that originate from internet memes or have some humorous or whimsical characteristic. They often gain popularity rapidly due to viral social media campaigns or endorsements from high-profile individuals. Despite their often speculative nature and lack of a solid fundamental basis, meme coins can experience significant price volatility and market interest. Dogecoin (DOGE), initially started as a joke based on the popular “Doge” meme, is one of the most well-known examples of a meme coin that has gained substantial attention and a large community of supporters.

Mem Pool (Memory Pool)

The Mem Pool (Memory Pool) is a collection of all transactions waiting to be confirmed by the Bitcoin network or other blockchain networks. Transactions in the mempool have been broadcast but not yet included in a block. The size of the mempool fluctuates with network demand, affecting transaction fees and confirmation times.

MEV (Miner Extractable Value)

MEV (Miner Extractable Value) is a concept in the Ethereum network referring to the maximum value miners can extract from block production beyond the standard block rewards and transaction fees. This can include strategies such as reordering transactions, inserting their own transactions, or censoring transactions to maximize profit. MEV has implications for network security, fairness, and the overall efficiency of blockchain protocols.

NFT (Non-Fungible Token)

NFTs (Non-Fungible Tokens) represent unique digital assets that are verified on blockchain technology, ensuring the ownership and scarcity of digital items such as artwork, collectibles, and even real estate in virtual worlds. Unlike cryptocurrencies like Bitcoin or Ethereum, which are fungible, meaning each unit is the same as every other unit, NFTs are one-of-a-kind. Each NFT has distinct characteristics and cannot be exchanged on a one-to-one basis, making them ideal for representing ownership of unique digital or digitized assets. The rise of NFTs has significantly impacted the art world, gaming, entertainment, and beyond, creating new opportunities for digital ownership and monetization.

On-Chain

On-Chain refers to transactions and activities that occur directly on the blockchain and are recorded on the public ledger. This encompasses everything from cryptocurrency transfers to the execution of smart contracts. On-chain transactions are immutable, transparent, and require network consensus to be validated, making them secure but often slower and more costly than off-chain processes. The term underscores the decentralized and tamper-evident nature of blockchain technology.

Order Book

Order Book is a real-time, continuously updated list of buy and sell orders on an exchange for a specific trading pair. The order book displays the price levels at which traders are willing to buy (bids) and sell (asks) an asset, along with the quantities. It provides a detailed snapshot of market sentiment and liquidity for a particular asset at any given moment, helping traders make informed decisions. The depth of an order book can significantly affect the price volatility and liquidity of the asset.

OTC (Over-the-Counter)

OTC (Over-the-Counter) trading refers to the process of trading securities, currencies, or other financial instruments directly between two parties without the oversight of an exchange. In the cryptocurrency context, OTC trades are often conducted when large volumes of assets are bought or sold to minimize market impact and slippage. These trades are usually facilitated by OTC desks or brokers who specialize in matching buyers with sellers, offering privacy and avoiding large fluctuations in the asset’s price on public exchanges.

Overbought

Overbought is a term used in technical analysis to describe a condition where an asset’s price is believed to be higher than its intrinsic value, often due to recent buying activities pushing prices too far up. This condition is typically identified with the help of indicators such as the Relative Strength Index (RSI), where an RSI value over 70 might indicate that an asset is overbought. Traders consider an overbought asset as one that may be ripe for a price correction or reversal.

Proof of Stake (PoS)

Proof of Stake (PoS) is a consensus mechanism used by certain blockchains to achieve distributed consensus. Unlike Proof of Work, which requires miners to solve complex mathematical problems to validate transactions and create new blocks, Proof of Stake involves validators who are chosen to create new blocks based on the number of coins they hold and are willing to “stake” as collateral. PoS is seen as a more energy-efficient alternative to PoW, reducing the need for extensive computational work.

Price Impact

Price Impact measures the difference between the market price and the price at which a trade is executed due to the size of the trade. Large orders in a market with low liquidity can significantly move the market price, resulting in a high price impact. Minimizing price impact is essential for traders looking to execute large transactions without adversely affecting the market.

Proof of Work (PoW)

Proof of Work (PoW) is a consensus mechanism that underpins the operation of blockchains like Bitcoin. It requires miners to solve complex cryptographic puzzles in order to validate transactions and create new blocks. The first miner to solve the puzzle gets to add the next block to the blockchain and receives a reward in the blockchain’s native cryptocurrency. PoW provides security and integrity to the blockchain, making it costly and time-consuming to attempt fraudulent activities.

Put Option (Put)

A Put Option (Put) is a financial contract that gives the holder the right, but not the obligation, to sell a specified amount of an underlying asset at a predetermined price within a specified time frame. In cryptocurrency markets, as well as in traditional financial markets, put options are used as a hedge against the decline of asset prices, allowing investors to protect or profit from market downturns. It’s a form of risk management tool, reflecting bearish sentiments about the market or a particular asset.

Quant

Quant, short for quantitative analyst or quantitative trading, involves the use of mathematical and statistical models to make trading decisions. In the cryptocurrency space, quants develop complex algorithms that automate trading strategies based on data analysis, historical price patterns, and market indicators. Quantitative trading aims to identify opportunities for arbitrage, market making, and trend prediction, often executing high-frequency trades at speeds and volumes unattainable by human traders. This approach leverages computational power to gain a competitive edge in the market.

Risk Mitigation

Risk Mitigation or Risk Management in the context of cryptocurrency involves strategies and practices designed to identify, manage, and reduce the potential risks associated with investing and trading in digital assets. This can include diversification, setting stop-loss orders, using cold storage for asset security, and staying informed about market and security trends.

Rollup

Rollup is a layer 2 scaling solution for blockchains, designed to improve transaction throughput and reduce fees. Rollups work by bundling or “rolling up” multiple transactions into a single transaction that is then processed off the main chain (layer 1). There are two main types of rollups: Optimistic Rollups and Zero-Knowledge Rollups, each with its own method of handling transactions and verifying them on the main chain.

Shitcoin

Shitcoin is a pejorative term used within the cryptocurrency community to describe altcoins (alternative cryptocurrencies to Bitcoin) that are considered worthless, have no clear purpose, or are deemed to be a poor investment due to their speculative nature and lack of utility. The term reflects the skepticism or criticism of certain cryptocurrencies that might be seen as riding the coattails of the broader crypto boom without providing substantive innovations or value to users. Determining what constitutes a shitcoin can be subjective and may vary among investors and traders, often depending on the performance, community support, and underlying project of the coin in question.

Slippage

Slippage occurs when there is a difference between the expected price of a trade and the price at which the trade is actually executed. It can happen during periods of high volatility or when a large order exceeds the immediate liquidity available in the market. Slippage can affect both market orders and limit orders that are executed at a worse price than intended.

Smart Contract

Smart Contract is a self-executing contract with the terms of the agreement between buyer and seller being directly written into lines of code. The code and the agreements contained therein exist across a distributed, decentralized blockchain network. Smart contracts allow for transactions and agreements to be executed automatically without the need for a central authority, legal system, or external enforcement mechanism.

Tokenization

Tokenization is the process of converting rights to an asset into a digital token on a blockchain. This can include real assets like real estate, art, or commodities, as well as intangible assets such as intellectual property. Tokenization allows assets to be easily traded and owned fractionally, opening up new investment opportunities and enhancing liquidity.

Total Value Locked (TVL)

Total Value Locked (TVL) is a metric used in decentralized finance (DeFi) to measure the overall value of crypto assets deposited in DeFi protocols. It serves as an indicator of the overall health and growth of the DeFi sector, reflecting the confidence and participation level of investors in these protocols. A higher TVL suggests greater liquidity and activity within the DeFi ecosystem.

Trading Desk

A Trading Desk is a dedicated setup where traders buy and sell securities, commodities, currency pairs, or cryptocurrencies. In institutional settings, trading desks are specialized by product type and market. For cryptocurrencies, trading desks facilitate OTC trades, handling large transactions for institutional investors, high-net-worth individuals, and corporate clients. They provide liquidity, price discovery, and direct trading services, often leveraging deep market knowledge and networks.

Trading View

Trading View is a popular charting and social networking platform widely used by traders and investors to analyze financial markets, including cryptocurrencies. It offers a range of tools for technical analysis, such as charts, indicators, and drawing tools, allowing users to study price movements, trends, and patterns. Trading View also hosts a community where users can share insights, strategies, and trading ideas, fostering a collaborative environment for market analysis.

Trading Volume

Trading Volume represents the total number of units of a cryptocurrency that have been traded within a specific timeframe, usually 24 hours. High trading volume indicates a high level of interest in the asset and typically corresponds to high liquidity, making it easier to buy or sell the asset without significantly affecting its price. Conversely, low trading volume can signal a lack of interest or a stagnant market, possibly making it harder to execute large trades without impacting the market price.

Wen Lambo

Wen Lambo is a colloquial, intentionally misspelled version of “When Lambo?” echoing the crypto community’s humorous or ironic way of asking when someone’s investments will pay off sufficiently to afford luxury items, like a Lamborghini. It’s a phrase that captures the high-risk, high-reward mentality prevalent in parts of the cryptocurrency space, highlighting the community’s culture of dreaming big and aiming for outsized returns.

Wen Moon

Wen Moon is similar in spirit to “Wen Lambo,” asking when a particular cryptocurrency will reach a price point considered to be astronomically high or when one’s investment in the crypto market will lead to substantial wealth. “Moon” in this context is used metaphorically to signify a distant, highly ambitious target for asset prices, reflecting the optimism and speculative nature of investing in cryptocurrencies.

Yield Farming

Yield Farming is a strategy in decentralized finance (DeFi) where users stake or lend their crypto assets in order to receive returns or rewards. These returns are typically generated in the form of transaction fees, interest from lenders, or rewards in the form of additional tokens. Yield farming can be highly lucrative but also comes with significant risk, as it often involves complex strategies and exposure to volatile assets.

Zero-Knowledge Proofs (ZKP)

Zero-Knowledge Proofs (ZKP) are a cryptographic method by which one party (the prover) can prove to another party (the verifier) that a statement is true, without revealing any information beyond the validity of the statement itself. This technology is foundational for enhancing privacy and security in blockchain transactions, allowing for the verification of transactions without exposing sensitive data.

Written by
Rachid Garti
CMO