51% Attack
A theoretical attack where one entity gains control of the majority of a network's computing or staking power, allowing it to manipulate transactions.
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Crypto glossary, in plain English
Every word crypto people use as if you already know it, defined without using three more words you also do not know. If a term here still leaves you guessing, that is our fault, not yours — tell us and we will rewrite it.
50 terms defined
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A
Airdrop
Free distribution of a new token to existing holders of another crypto or to early users of a platform.
All-Time High (ATH)
The highest price a cryptocurrency has ever reached.
Altcoin
Informal shorthand for any cryptocurrency that isn't Bitcoin.
B
Blockchain
A shared, tamper-evident record of transactions, copied across many independent computers instead of one company's private database.
C
Circulating Supply
The number of coins currently in public circulation and available to trade.
Cold Wallet
A wallet whose keys are stored completely offline, disconnected from the internet — the most secure storage option.
Collateral
Assets locked up to back a loan or a crypto-backed stablecoin, reducing risk for whoever is relying on it.
Consensus
The process by which a decentralised network agrees on which transactions are valid, without a central authority.
Cross-Chain Bridge
A tool that lets crypto or data move between two different, otherwise incompatible blockchain networks.
Custodial Wallet
A wallet where a company (like an exchange) holds your keys for you.
D
DCA (Dollar-Cost Averaging)
Buying a fixed amount on a regular schedule, regardless of price, instead of trying to time the market.
Decentralization
Spreading control across many independent participants instead of one company, so no single party can change the rules alone.
DEX (Decentralized Exchange)
A crypto exchange that runs on smart contracts rather than a company matching buyers and sellers.
E
Exchange
A platform where you can buy, sell, and trade cryptocurrencies, usually for traditional currency.
F
FOMO (Fear of Missing Out)
The anxious urge to buy something because its price is rising fast and everyone seems to be talking about it.
FUD (Fear, Uncertainty, Doubt)
Negative information — sometimes true, sometimes exaggerated or false — spread to drive a price down.
G
H
Hardware Wallet
A small physical device that stores private keys completely offline.
Hash Rate
A measure of the total computing power securing a proof-of-work network like Bitcoin.
HODL
Crypto slang for holding an asset long-term rather than trading it, originating from a famous misspelling of "hold."
Hot Wallet
A wallet connected to the internet, like a phone app — convenient, but more exposed than a cold wallet.
K
KYC (Know Your Customer)
The identity verification process required by regulated exchanges before you can trade.
L
Layer 1
A blockchain's base network — Bitcoin, Ethereum, and Solana are all layer 1 networks.
Layer 2
A network built on top of a layer 1 blockchain to make transactions faster and cheaper.
Liquidity Pool
A pool of crypto locked in a smart contract that enables trading or lending without a traditional order book.
M
Market Cap
A coin's price multiplied by how many coins exist — a rough measure of overall size.
Max Supply
The absolute maximum number of coins that will ever exist for a given cryptocurrency, if one is set.
Meme Coin
A cryptocurrency whose value is driven largely by community attention and internet culture rather than a specific technical purpose.
Mining
The process, used by Bitcoin and similar networks, of using computing power to validate transactions and earn new coins as a reward.
N
NFT (Non-Fungible Token)
A token representing unique ownership of a specific digital (or sometimes physical) item, unlike a coin where every unit is identical.
Node
A computer that keeps a copy of a blockchain's full transaction history and helps verify new transactions.
Non-Custodial Wallet
A wallet where only you hold the keys — full control, and full responsibility.
P
Peg
The target value a stablecoin is designed to maintain, typically $1 for dollar-pegged coins.
Private Key
The secret code that proves ownership of crypto and allows you to move it. Whoever holds it controls the funds.
Proof of Stake
A consensus method (used by Ethereum) where network security comes from participants locking up coins as collateral.
Proof of Work
A consensus method (used by Bitcoin) where network security comes from competing computing power.
Public Key / Wallet Address
The "account number" you can safely share so people can send you crypto.
Pump and Dump
A scheme where a group artificially inflates a coin's price through hype, then sells at the peak, leaving later buyers holding the loss.
R
Rug Pull
A scam where developers abandon a project and disappear with investors' funds, often suddenly.
S
Seed Phrase
A set of 12 or 24 words that is the master key to a crypto wallet — anyone who has it controls everything inside,…
Smart Contract
Self-executing code on a blockchain that automatically carries out an agreement without a company in the middle.
Stablecoin
A crypto token designed to hold a steady value, usually pegged to a currency like the US dollar.
Staking
Locking up crypto to help secure a proof-of-stake network, in exchange for rewards.
T
Token
A cryptocurrency built on top of another blockchain, rather than having its own independent network.
V
Validator
A participant on a proof-of-stake network responsible for checking and confirming transactions.
Volatility
How much and how quickly a price moves, in either direction.