Glossary-A

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Address

In the context of Cryptocurrency, an address is an alphanumeric string of characters representing the public half of a public/private key pair belonging to a specific user. Much like an email address, this identifier can be shared publicly, embedded in links, and presented as a QR code to other users in order to accept funds or assets on the respective blockchain.

A single user may have multiple addresses and their corresponding private keys across multiple blockchains and wallets. Cryptocurrency wallets in the form of software, browser extensions, apps, or hardware devices allow for the management of and access to addresses under a user’s control.

Services like the Ethereum Name Service (ENS) map human-friendly domain names to Ethereum addresses for a fee, allowing them to be more easily shared and remembered.

See also: #ENS, #Public Address, #Public Key, #Wallet Address

Air Gap

A security measure implemented to isolate a device or system physically, not connecting to other devices or the internet, adding another layer of protection between the sensitive data stored therein and potential hackers or malware.

See also: #Cold Wallet, #Hardware Wallet

Airdrop

A distribution method employed by projects or creators to send coins, tokens, or NFTs directly to users’s wallets. This distribution is often a reward for performing certain actions or meeting certain criteria, like completing simple tasks on social media, participating in community discussions or activities, or holding specific digital items during a certain timeframe.

Allowlist

A pre-approved list of accounts, users, or wallets, usually compiled in preparation for the release of an anticipated project. Limiting participation to a select few might be done to reward early adopters, or as an attempt to avoid bottlenecks created by an overwhelming influx of users trying to complete blockchain transactions simultaneously, which can cause technical issues and drive up transaction costs significantly, resulting in a negative experience for many.

Alpha

Slang

Most likely adopted from the practice of designating the initial phase of software testing "Alpha Testing," where the product is only available to internal users. In the context of web3, alpha refers to information regarding crypto products or projects that has not yet been divulged publicly. Informally, it can refer to any matter where there might be information not yet widely known: "What’s the alpha on your new neighbor?"

Alt

Abbreviation - Short for #Altcoin, or in the context of social media, alias account profiles.

See also: #Sock Puppet

Altcoin

Originally used in reference to any cryptocurrency other than Bitcoin, this shortened version of “alternative coins” is often now more subjectively used. Many agree that Ethereum has graduated from this category with its widespread use and significant market cap.

See also: #Fork, #Shitcoin

AML

Acronym - Anti-Money Laundering

Rules, regulations, laws, and practices established and enforced by financial regulatory agencies around the globe to prevent money laundering by criminals. Compliance includes verifying the identity of customers and collecting relevant information from them, as well as monitoring transaction patterns in order to identify and report suspicious activities. AML regulations may vary by country or jurisdiction.

See also: #BitLicense, #KYC

AMM

Acronym - Automated Market Maker

A platform, project, or exchange that eliminates the need for a traditional broker to set the price of an exchange between buyers and sellers by automating the process. This is accomplished by utilizing algorithmic pricing, liquidity pools, and smart contracts.

Decentralized tools that perform tasks related to AMM democratize markets by significantly increasing accessibility to trading cryptocurrencies, tokens, and NFTs. However, issues like insufficient liquidity and deceptive behavior by bad actors can, and often do, result in the loss of funds by participants.

See also: #DEX, #Liquidity, #Slippage

Anchor

Framework for the development of programs or smart contracts on the Solana network.

See also: #Smart Contract, #Solana

Ape

Slang

Popularized by the meteoric rise of the BAYC (Bored Ape Yacht Club) NFT project when it launched, “to ape in” describes the act of rushing to purchase a coin or NFT project without taking time to adequately research or investigate.

Since blockchain assets are often very volatile, many traders of web3 digital assets realize that some purchases are more of a gamble than an investment and do not assign much of a negative connotation to this term.

See also: #NFA, #DYOR, #NFT

API

Acronym - Application Programming Interface

A set of predefined programming standards and protocols that specify how applications communicate with another program. APIs encourage standardization across platforms, blockchains, and tools for a variety of online ecosystems, as well as automation that can provide real-time information to users in friendly formats.

AppChain

Abbreviation - Short for Application-Specific Blockchain.

A secondary or tertiary blockchain built to facilitate the scalability, modularity, and interoperability of a specific application or applications by providing an optimized and tailored environment. This environment is often built atop a primary network in order to take advantage of its security or consensus mechanisms.

See also: #Blockchain Trilemma, #Layer 1, #Layer 2, #Modular Blockchain, #Sidechain

AR

Acronym - Augmented Reality

Arbitrum

An Ethereum layer 2 blockchain network built as a scaling solution to alleviate congestion and reduce transaction fees.

See also: #Ethereum, #Layer 2, #Transaction Fee

Archival Node

A node that stores a complete historical record of a blockchain's data, including all previous states and transactions, but does not necessarily validate blocks.

See also: #Blockchain, #Genesis Block, #Node

ASIC

Acronym - Application-Specific Integrated Circuit

Specialized hardware optimized for performing the calculations required to mine cryptocurrencies utilizing Proof of Work algorithms.

The use of ASICs is sometimes considered controversial, both in and out of web3, due to their high energy use and potential for centralization when concentrated in mining farms.

ATH

Acronym - All Time High

ATL

Acronym - All Time Low

Atomic Transaction

A series of operations, usually carried out by a smart contract, where all operations are treated as a single, indivisible element and can only execute successfully if all operations within the transaction are completed. If any operation within the transaction does not succeed, the entire transaction fails.

See also: #Transaction

Avalanche

An open-source platform including several blockchains built for fast transaction finality and high throughput. Networked blockchains are known as subnets and can define their own token economics, security, and execution logic.

AVAX is the native token of Avalanche.

https://docs.avax.network/

See also: #Subnet

AVAX

Ticker Symbol - The native token of Avalanche.

See also: #Avalanche