Glossary

Blockchain

A distributed ledger of transactions linked in cryptographically secured blocks. Bitcoin and Ethereum run on blockchains.

Crypto Wallet

Software or hardware that stores private keys used to sign transactions. Hot wallets are online; cold wallets stay offline.

DeFi

Decentralized Finance — financial services (lending, trading, yield) built on smart contracts without traditional intermediaries.

NFT

Non-Fungible Token — a unique on-chain asset representing ownership of digital or physical items.

Staking

Locking crypto to help secure a proof-of-stake network and earn rewards. Slashing can occur for validator misbehavior.

Gas Fee

The fee paid to process a transaction on networks like Ethereum. Higher network demand usually means higher gas.

KYC

Know Your Customer — identity verification required by regulated exchanges to comply with anti-money-laundering laws.

Halving

An event that cuts block rewards in half, programmed into Bitcoin's supply schedule roughly every four years.