Blockchains | Cryptocurrencies | Web3 Resource logo Blockchains | Cryptocurrencies | Web3 Resource logo

Cryptocurrency and Blockchain Dictionary

A complete list of crypto definitions

Cryptocurrency and blockchain glossary

Commonly used terms in the world of blockchain and cryptocurrency

Terms commonly used in the world of blockchain and cryptocurrency

NFT

Non-fungible tokens which are also referred to as NFTs; are blockchain-based tokens that each represent a unique asset like a piece of art, digital content, or media. An NFT can be thought of as an irrevocable digital certificate of ownership and authenticity for a given asset, whether digital or physical. NFT is a record on a blockchain which is associated with a particular digital or physical asset. The ownership of an NFT is recorded in the blockchain, and can be transferred by the owner, allowing NFTs to be sold and traded.

Other Important Terms

Ethereum

Ethereum is a decentralized, open-source blockchain with smart contract functionality. Launched in 2015, Ethereum is the world's programmable blockchain. Like other blockchains, Ethereum has a native cryptocurrency called Ether (ETH). ETH is digital money. People all over the world use ETH to make payments, as a store of value, or as collateral. But unlike other blockchains, Ethereum can do much more.

Block Time

Block time – an amount of time it takes blockchain to create a new block. For example, average Bitcoin block time is 10 minutes.

Leverage

Leverage in financial market trading; refers to the use of borrowed capital to increase the size of one’s position to potentially increase profits. Also used as an investment strategy, to increase the potential return of an investment. A common type of leverage trading in crypto is margin trading, which involves putting assets up as collateral to increase purchasing power.

Race Attack

Race attack – a double spend attack on the P2P network which is only possible if the recipient of the transaction accepts unconfirmed transactions as a payment. If this is true, the attacker broadcasts a conflicting transaction to the network at the same time; in case the conflicting transaction gets more confirmations, an attack is successful and the recipient does not get paid. It is easier to carry out such an attack if the attacker has a direct connection to the victim’s node, and perhaps deposits the conflicting transaction directly to miners

Market Cap

Market cap – short for Market capitalization. A total value of all the units of a certain cryptocurrency combined. Changes proportionally to a single unit price change. Can be calculated using this formula: Market cap = Total supply * Price of a unit For example, if a supply of hypothetical cryptocurrency is 100 coins and each coin costs 25 USD, then the market cap is 100 * 25 = 2500 USD.

Get Crypto Newsletter
Read the Disclaimer : All content provided herein our website, hyperlinked sites, associated applications, forums, blogs, social media accounts and other platforms (“Site”) is for your general information only, procured from third party sources. We make no warranties of any kind in relation to our content, including but not limited to accuracy and updatedness. No part of the content that we provide constitutes financial advice, legal advice or any other form of advice meant for your specific reliance for any purpose. Any use or reliance on our content is solely at your own risk and discretion. You should conduct your own research, review, analyse and verify our content before relying on them. Trading is a highly risky activity that can lead to major losses, please therefore consult your financial advisor before making any decision. No content on our Site is meant to be a solicitation or offer