What is GM? Rekt and rugpull?

    When you are new to crypto its obvious that all the jargon, crypto slangs and finance terms may seem overwhelming.

    In this list you will find all the crypto terms that you must know if you plan to take a plunge into crypto and Web3 at some point.

 

Following are the most common and important crypto terms that you must know

 

  1. 51% attack – This attack means that an individual has gained more than 51% control of the network. For anyone to pull off this attack, he or she will need a powerful computer that can process energy that is enough to get more than 50 percent control of the network. This kind of an attack has happened on Litecoin Cash, Bitcoin Gold and Ethereum Classic.
  2. Airdrop:  A crypto project rewards some people who have interacted with their product at some point. Earlier, ICOs would just roll out an airdrop campaign asking people to engage with their official social media platforms like Twitter, Instagram and submit screenshots of it in order to qualify for the free token drop.
  3. Altcoins: Also called Alts or alternative coins. Any coin that is not Bitcoin is an altcoin.
  4. Automated Market Maker: A boon for modern day DeFi apps, an automated market maker simply works on the demand and supply for cryptocurrencies. The price of a crypto goes low when the demand is less and when there are more traders (more demand) the value of the asset urges. Besides the demand and supply equilibrium also depends on the overall liquidity amount. Unlike traditional market makers that charge a higher fee and at times may not be available for releasing enough liquidity, AMMs eliminates the painstaking process by automating the whole market making system.
  5. Cryptocurrency: It is a digital token that uses encryption for users to use it securely without having to deal with any central agency like a bank. Unlike traditional currency like USD, INR, EUR, cryptocurrency can be moved from one place to another.
  6. Cryptography: It is a special branch in computer science that is used to establish secure ways of transferring any kind of information. (You can read more on cryptography here)
  7. Contract address: This is the main account of a crypto or a token project. All interactions like selling, buying, renting, rewarding network participants are routed and processed through the contract address of the token.
  8. Dollar Cost Averaging: It is a investment method used by individuals to ensure that they invest in an asset at intervals irrespective of the price. This allows them to accumulate assets over a period of time. To understand the overall accumulated value of an investment, the investor looks through the ledger and calculates the average buying price. If you are an Indian the Dollar changes to Rupee. The formula remains the same.
  9. ETH: The official ticker for Ether cryptocurrency. Eth is the native token of Ethereum blockchain. 
  10. FUD: A term used in crypto groups and communities. FUD stands for Fear, Uncertainty and Doubt.