Crypto slangs refer to jargons used in the crypto space by cryptocurrency enthusiasts. The crypto space has really evolved and as expected has come with a lot of new jargons that in most cases sound strange to newbies in the crypto space. If you’re active on crypto twitter, reddit, telegram or even discord, you may have heard someone say something like, ‘just HODL’ or ‘stop spreading FUD’. All these are crypto slangs and while they may mean little to regular persons, they mean a lot to people in the crypto space.
As a crypto enthusiast or investor, it is important to know these slangs so as to take part in meaning discussions relating to crypto. Knowing these will also help any investor follow up and understand trends since trends sometimes drive the market.
Let’s rock and roll!
CRYPTO SLANGS YOU SHOULD KNOW
An address is a randomly generated combination of numbers and letters that are used for sending and receiving cryptocurrencies. Addresses are unique to each person which means that no two persons can have same address. This is similar to making use of an email to send and receive messages.
Altcoin is a shortened form of alternative coin. This is used to refer to every cryptocurrency other than bitcoin. Since we have lots of cryptocurrencies in existence, it is impossible to mention all of them when making a point either in an article or discussion. This led to the use of the slang, ‘altcoin’ to generally refer to all cryptocurrencies that aren’t bitcoin.
DAPPS refer to decentralized applications that are used in the world of decentralized finance. These applications are called decentralized because no single entity has control over transactions. The transactions are completely controlled by smart contracts without any interference from third parties.
DeFi is a shortened form of decentralized finance. Decentralized finance refers to a financial system that removes all interferences banks and other financial institutions have over money and other financial products and services. Decentralized finance is self executing with the aid of smart contracts codes.
This is an acronym for fear, uncertainty, doubt. This simply means spreading doubt about a particular token or project in an attempt to drive the price downwards. It is one of the most popularly used crypto slangs as daily we come across statement like, ‘stop spreading fud‘ across twitter, telegram and other crypto related social media.
FOMO is an acronym that means ‘fear of missing out’. This as the name implies is that feeling developed when you see hype gathering around a project or token. Since investors love to make profits, they do not want to miss out on the next big project and this in some cases pushes investors to make unwise investments.
Gas refers to the unit that measures the amount of computational effort required to execute specific operations on the blockchain. The term was first associated with the Ethereum blockchain but is now used regularly across the crypto space.
This is not a misspelling as many people may think. It is an acronym which means ‘hold on for dear life’ and it is frequently used among crypto enthusiasts who can be seen or heard on countless occasions encouraging their friends or followers as the case may be to hodl a particular currency that they strongly believe in.
Mining is a process through which certain blockchains approve transactions by minting new coins. This is majorly associated with cryptocurrencies using a consesnsus mechanism known as proof of work for verification of transactions. Besides buying cryptocurrencies from decentralized and centralized exchanges, cyptocurrencies can also be earned through mining.
Staking is a way through which many blockchains verify their transactions by allowing participants to earn crypto in return. This is usually done to support the blockchain network in question and to help in verification of transactions. Staking is done through a staking pool which is similar to an interest-bearing savings account.
Non Fungible Tokens (NFTs) are assets on a blockchain with unique data that differentiates them from each other. NFTs are also cryptocurrencies on the blockchain but unlike traditional cryptocurrencies, there can only be one original form of a particular NFT.
Satoshi is one of the household names in the entire crypto space. This is obviously because of the founder of Bitcoin who is known by the name Satoshi Nakamoto. In honor of the anonymous Bitcoin founder, early adopters of bitcoin decided to name the smallest unit of bitcoin after its founder. One bitcoin equals 100 million satoshis.
Whales are investors who own a relatively large amount of a particular token. It is one of the most popularly used crypto slangs. There is no official amount needed to be considered a whale but when it comes to bitcoin, 1,000 coins is the most commonly used figure.
Whales in most occasions can manipulate the price of a particular token. They can pump the price when they buy and they can also dump the price when they sell.
15. PAPER HANDS
Paper hands refer to investors who are easily shaken by market volatility or FUD. These investors have zero tolerance and exit a trade at the slightest sign of risk.
16. DIAMOND HANDS
Diamond hands refer to investors who HODL even amidst market volatility and FUD. These kind of investors are not easily shaken and continue to believe in a particular project or token even when prices fall or project does not meet up with expectations.