In order to be part of any industry, you have to understand both the language and the industry. The crypto world can be overwhelming to join when you hear strange words and slang, and you wonder if this is a cult.
The new financial industry uses new words. Cryptocurrency markets sometimes borrow terms from the traditional financial industry, but not often.
As a result, you need to learn cryptocurrency words as soon as possible to stay relevant. These words and their meanings are among the most popular:
Altcoin: Cryptocurrency other than Bitcoin is called altcoin. It is an acronym for alternative coins.
Blockchain: an immutable and distributed digital ledger. Records are recorded and stored permanently.
Currently Market Price: Describes the price of a cryptocurrency as it is currently on the market.
Decentralized Finance (DeFi): Financial activities that are not conducted through a middleman like a bank, government, or other financial institution.
FOMO: the fear of missing out on an uptrend that leads you to buy crypto without a solid reason is known as the fear of missing out.
FUD: Fear, Uncertainty, and Doubt. A negative news report or event about cryptocurrency that causes negative price action may result from the market's reaction.
Fork: when there is a split in the ledger that is stored on the blockchain
Gas: A cost incurred by developers to use Ethereum. Ethereum's native cryptocurrency, ether, is used to pay for gas.
Halving: The act of halving new bitcoins after a certain number of blocks have been mined (once every four years), is a feature built into Bitcoin's code. Bitcoin's price may be affected by the halving.
Hash: Cryptocurrency buyers and sellers identifying a block by its unique string of numbers and letters.
Hard Fork: The term hard fork refers to a permanent alteration to a blockchain that results in the creation of a new chain. Ethereum Classic, for instance, hard forked from the Ethereum blockchain.
Hardware wallet: a USB external device that protects your cryptocurrency holdings from being accessed.
HODL: it refers to holding onto your crypto asset, and not selling it.
Mcap: market capitalization of a cryptocurrency, calculated by multiplying the current market price by the total supply.
Paper wallet: There is no difference between a paper wallet and a real wallet because you print all your wallet information on paper.
Rekt: A trader is said to be rekt when he loses almost all of his funds.
Satoshi: This is the smallest unit of BTC (0.000000001 bitcoin), and was named after the founder of Bitcoin.
Soft Fork: a split in its records on the blockchain, which results in the old record becoming invalid
Software wallet: a computer program or mobile app that stores crypto assets in a way that only wallet owners can access those assets
Wallet: The location where you store your crypto assets.
Using these words correctly each time you express an opinion about cryptocurrency and blockchain will lead you to become an expert in this rapidly growing industry.