Understanding Basic Blockchain Terms.

Every sector has its own slang/jargon, a social group's specialized language that is sometimes utilized to make what is said incomprehensible to others who are not members of the group.

It's the same with the blockchain ecosystem. According to DIEGO GERONI, it is a network of members in a blockchain network with shared business objectives, relationships, and processes. The network is capable of efficiently creating and distributing corporate value.

We will briefly discuss the slang used in the ecosystem in this article. Don't worry if you're new; you'll pick it up quickly.

🚀 A

• Airdrop : a marketing technique.

• Alpha : valuable or insider information.

• Altcoin : initially used to refer to any cryptocurrency that wasn’t Bitcoin

• Ape : someone who invests heavily into a cryptocurrency or stock.

• ATH : All Time High

• ATL : All Time Low

🚀 B

• Bear Market : prolonged period of decline in the financial market.

• Bearish : similar to a bear market, this refers to holding a pessimistic view of a market or asset’s value.

• Bitcoin : the very first decentralized, peer-to-peer, digital currency

• Block : Every block contains information about the previous block, thus, chaining them together.

• Blockchain : Blockchain are the core technology on which cryptocurrency protocols are built.

• Blockchain Domains : NFT domains

• Block explorer : a tool for browsing information on a blockchain, such as transactions, wallet addresses, market caps, and hash rates.

• Bridge : a protocol allowing separate blockchains to interact with one another.

• Buidl - meaning “build”.

• Bull Market : a period where market prices are rising.

• Burn : the process of removing tokens from a cryptocurrency circulating supply, usually done by sending them to an inaccessible wallet address.

🚀 C

• Centralized : a hierarchical structure in which authority and control are concentrated within a small group of decision makers.

• CEX : Centralized Exchange

• CeFi : Centralized Finance

• Coin : a cryptocurrency built on its own native blockchain,

• Consensus : consensus is necessary for new transactions to be verified and new blocks to be added to the blockchain.

• Consensus Mechanism : a process through which nodes on a blockchain come into agreement on a transaction or state of the network(Proof of Work,Proof of Stake).

• Cryptocurrency : a digital currency designed to be used as a medium of exchange.

🚀 D

• DAO : Decentralized Autonomous Organization

• Dapp : Decentralized Application

• Decentralized : a system that operates without the control of a central figure or authority.

• Degen - degenerate gambler.

• DeFi : Decentralized Finance

• DEX- Decentralized Exchange

🚀 E

• EIP : Ethereum Improvement Proposal

• ERC : Ethereum Request for Comments

• ERC-20 : the Ethereum token standard, providing a standardized smart contract structure for fungible tokens.

• ERC-721 : an Ethereum token standard that allows for the formation of unique tokens, otherwise known as NFTs

• ERC-1155 : an Ethereum token standard which allows for fungible, non-fungible, and semi-fungible tokens to be managed by a single smart contract simultaneously.

• Ethereum : a public blockchain serving as the foundation for decentralized applications.

🚀 F

• Fiat : a currency established as legal tender, often backed and regulated by a government.

• FOMO : Fear Of Missing Out

• Fork : a change to a blockchain’s protocol.

• FUD- Fear, Uncertainty, and Doubt.

• Fungible : exchangeable with something else of the same kind.

🚀 G

• Gas : a fee paid by a user to conduct a transaction.

• Genesis Block :the very first block of a blockchain network.

• gm : simply meaning “good morning”.

• Gwei - 10^9 gwei = 1 ether.

🚀 H

• Hard Fork : a fundamental change to a blockchain that is not compatible with the existing protocol,

• Hashing : the process of taking an input of any size and producing a corresponding fingerprint of a fixed-length.

• Hash rate : this is the rate at which a computer can generate guesses to a cryptographic puzzle.

• HODL : an expression meaning “hold”.

🚀 I

• ICO : Initial Coin Offering.

IEO : Initial Exchange Offering .

🚀 K

• Key :refers to public key, private key.

🚀 L

• L1 : Layer 1

• L2 : Layer 2

• L3 : Layer 3

• Liquidity: a measure of how easily an asset can be bought, sold, or traded in a given market or on an exchange

• Liquidity Pool : a collection of user-provided funds locked into a SC to facilitate trading on a DeFi platform.

🚀 M

• Mainnet : short for main network.

• Market Cap : the total value of an asset based on its current market price.

• Metaverse : a virtual world.

• Mining : this is the process of verifying transactions, organizing them into blocks and then adding block to the blockchain.

• Minting : the process of validating information, such as domain ownership, and registering that onto the blockchain.

🚀 N

• NFT : Non-fungible token

• NGMI : not gonna make it

• Node : any device connected to a blockchain network.

🚀 P

• P2P : Peer-to-Peer

• PFP : profile picture, usually referring to one of an NFT.

• Private Key : your wallet password

• Public key : uses to point to your wallet address

• PoS : Proof of Stake

• PoW : Proof of Work

🚀 R

• Rug pull : a scam maneuver where a crypto project takes the funds that have been invested into its protocol and runs.

🚀 W

WAGMi : We all gonna make it

Add others that you feel are missing. We shall explain extensively on the ones that are beyond abbreviations.

Which would you like me to write about? Feel free to drop your response in the comment section.