Crypto glossary: 181 terms explained
Plain-language definitions of the words you meet on exchanges, in wallets and in DeFi — each with a worked example, the mistakes beginners make and where to learn more.
181 terms
A
- Active addressesActive addresses are the number of unique blockchain addresses that sent or received a transaction during a given period, often counted per day.
- Address poisoningAddress poisoning is a scam where an attacker sends a tiny or zero-value transfer from an address that looks like one you use, hoping you later copy that fake address from your transaction history.
- AirdropAn airdrop is a distribution of free tokens to wallet addresses or exchange users, usually to reward early users, decentralize ownership or promote a new project.
- Algorithmic stablecoinAn algorithmic stablecoin is a stablecoin that tries to hold its peg mainly through code-driven supply changes and incentives rather than full reserves of cash or collateral.
- All-time high (ATH)An all-time high (ATH) is the highest price an asset has ever reached in its trading history, and the opposite, the lowest price ever, is called an all-time low (ATL).
- AltcoinAn altcoin is any cryptocurrency other than Bitcoin, a broad category that includes Ether, Solana, stablecoins, exchange tokens and memecoins.
- AML (anti-money laundering)AML (anti-money laundering) is the set of laws and internal controls that financial firms, including crypto exchanges, use to detect and prevent illegal funds from entering the system.
- Anti-phishing codeAn anti-phishing code is a personal word or phrase you set in your exchange account that the exchange includes in its genuine emails, so you can spot fake messages that do not contain it.
- APR vs APYAPR is the simple annual rate of return or interest without compounding, while APY includes the effect of reinvesting earnings, so APY is higher than APR whenever returns compound.
- ArbitrageArbitrage is buying an asset where it is cheaper and selling it where it is more expensive at the same time, to profit from a price difference between markets.
- Auto-deleveraging (ADL)Auto-deleveraging (ADL) is a last-resort mechanism where an exchange automatically reduces profitable opposing positions to cover a liquidation that the market and insurance fund cannot absorb.
- Automated market maker (AMM)An automated market maker (AMM) is a type of DEX that prices trades with a mathematical formula based on the tokens held in a liquidity pool, instead of matching buyers and sellers in an order book.
B
- Bear marketA bear market is a sustained period of falling prices and pessimistic sentiment, commonly described as a decline of 20 percent or more from a recent high.
- Bid-ask spreadThe bid-ask spread is the difference between the highest price a buyer is willing to pay (the bid) and the lowest price a seller is willing to accept (the ask) for an asset at a given moment.
- Bitcoin (BTC)Bitcoin (BTC) is the first cryptocurrency, a decentralized digital money with a hard cap of 21 million coins that runs on its own proof-of-work blockchain.
- Bitcoin halvingA Bitcoin halving is a pre-programmed event, roughly every four years, that cuts the number of new bitcoins paid to miners for each block by 50 percent.
- Block confirmationsBlock confirmations are the number of blocks added to a blockchain since the block that includes your transaction, and exchanges wait for a set number before crediting a deposit.
- Block explorerA block explorer is a website or app that lets you search a blockchain's public records, including transactions, addresses, blocks and token transfers.
- BlockchainA blockchain is a shared digital ledger, copied across many computers, where transactions are grouped into blocks that are linked in order and are extremely hard to change after the fact.
- Blockchain oracleA blockchain oracle is a service that brings outside data, most often asset prices, onto a blockchain so smart contracts can use it for actions like liquidations, settlements and swaps.
- Bull marketA bull market is a sustained period when prices rise broadly and investor confidence is high, commonly described as a gain of 20 percent or more from a recent low.
C
- Candlestick chartA candlestick chart is a price chart where each candle shows the open, high, low and close price of an asset over one time period.
- CBDC (central bank digital currency)A CBDC (central bank digital currency) is a digital form of a country's official money issued and backed directly by its central bank, not by a private company.
- Centralized exchange (CEX)A centralized exchange (CEX) is a company-run trading platform where you deposit funds into an account and trade crypto through the exchange's order book, with the company holding custody of your assets.
- Circulating supplyCirculating supply is the number of coins or tokens that are publicly available and moving in the market right now, excluding locked, reserved or burned tokens.
- Coin vs tokenA coin is the native asset of its own blockchain, such as BTC or ETH, while a token is an asset created on top of an existing blockchain using a smart contract, such as USDT on Ethereum.
- Coin-margined (inverse) futuresCoin-margined (inverse) futures are futures contracts where margin and profit or loss are in the underlying coin, such as BTC, instead of a stablecoin.
- Cold wallet (cold storage)A cold wallet is a way of storing crypto where the private keys are generated and kept offline, away from internet-connected devices, so remote attackers cannot reach them.
- Convert (instant swap)Convert is an exchange feature that swaps one coin for another at a quoted price in one click, without using the order book directly.
- Copy tradingCopy trading is an exchange feature that automatically mirrors another trader's positions in your own account, in proportion to the amount you allocate.
- Cross marginCross margin is a margin mode where all your open positions share the available balance in your account as collateral, so profits and spare funds can absorb losses before liquidation.
- Cross-chain bridgeA cross-chain bridge is a protocol that moves tokens or messages between two blockchains, usually by locking or burning assets on one chain and releasing or minting matching assets on the other.
- Crypto Earn (savings products)Crypto Earn refers to exchange savings products that pay you a yield for depositing crypto, either flexible with withdrawal anytime or locked for a fixed term.
- Crypto miningCrypto mining is the process of using specialised computers to secure a proof-of-work blockchain by adding new blocks, in exchange for newly issued coins and transaction fees.
- Crypto optionsCrypto options are contracts that give the buyer the right, but not the obligation, to buy (call) or sell (put) a cryptocurrency at a set strike price on or before a set expiry date.
- Crypto walletA crypto wallet is software or a device that stores the private keys controlling your cryptocurrency and lets you send, receive and manage it on the blockchain.
- Crypto-backed stablecoinA crypto-backed stablecoin is a stablecoin issued against crypto collateral locked in smart contracts, usually worth more than the coins created, so the token can stay near 1 USD.
- CryptocurrencyA cryptocurrency is a digital asset that is issued and transferred on a blockchain, secured by cryptography instead of a bank or central authority.
- Custodial walletA custodial wallet is a crypto wallet where a third party, usually an exchange or app, holds the private keys and controls the funds on your behalf.
D
- DAO (decentralized autonomous organization)A DAO, or decentralized autonomous organization, is a community that makes decisions and manages a shared treasury through token-holder voting and smart contracts instead of a traditional management structure.
- Decentralized exchange (DEX)A decentralized exchange (DEX) is a trading platform that runs on smart contracts, letting you swap tokens directly from your own wallet without depositing funds with a company.
- DeFi (decentralized finance)DeFi, short for decentralized finance, is a set of financial services such as trading, lending and earning yield that run on public blockchains through smart contracts instead of through banks or exchanges.
- DeFi lendingDeFi lending is borrowing and lending crypto through smart contracts, where lenders earn interest from a shared pool and borrowers must lock more collateral than they borrow.
- DelistingDelisting is when an exchange removes a token or trading pair, ending trading and usually setting a deadline to withdraw the remaining balances.
- Delivery (quarterly) futuresDelivery futures are crypto futures contracts with a fixed expiry date, such as a weekly or quarterly contract, that settle at a set price when they expire.
- Demo tradingDemo trading is practising on an exchange with virtual funds in a simulated account, so you can learn order types, leverage and futures mechanics without risking real money.
- DepegA depeg is when a stablecoin or pegged token trades meaningfully away from the value it is designed to track, such as a dollar stablecoin falling below 1 USD.
- Deposit network (chain selection)A deposit network is the blockchain you choose to move a coin or token over when you deposit to or withdraw from an exchange, and the sending and receiving sides must use the same one.
- Dollar-cost averaging (DCA)Dollar-cost averaging (DCA) is a strategy of buying a fixed amount of an asset at regular intervals, regardless of price, to spread your entry over time.
- Dual investmentDual investment is a structured exchange product where you earn a fixed yield but may be paid back in a different coin depending on whether the price ends above or below a target price on settlement.
E
- Ethereum (ETH)Ethereum is a programmable blockchain that runs smart contracts, and Ether (ETH) is its native coin used to pay gas fees and to stake for network security.
- Exchange inflows and outflowsExchange inflows and outflows measure how much of a coin moves onto and off centralized exchanges, and netflow is inflows minus outflows over a period.
F
- Fear and Greed IndexThe Fear and Greed Index is a sentiment gauge that combines market data such as volatility, momentum and social activity into a single score from 0 (extreme fear) to 100 (extreme greed).
- Fiat on-rampA fiat on-ramp is any service that turns government money like dollars or euros into crypto, such as a bank transfer to an exchange, a card purchase or a P2P trade.
- Flash loanA flash loan is an uncollateralized DeFi loan that must be borrowed and repaid, with a fee, within the same blockchain transaction, or the whole transaction is cancelled.
- FOMOFOMO, or fear of missing out, is the anxious urge to buy an asset after its price has already risen sharply, driven by the worry that others are profiting without you.
- FUDFUD, short for fear, uncertainty and doubt, describes negative news, rumours or opinions that make people worried about an asset, whether the concerns are valid or not.
- Fully diluted valuation (FDV)Fully diluted valuation (FDV) is a project's value if all of its tokens that will ever exist were already in circulation, calculated as the current price multiplied by the maximum or total supply.
- Funding rateA funding rate is a periodic payment between long and short traders that keeps a perpetual futures price close to the spot price.
- Funding rate arbitrageFunding rate arbitrage is a market-neutral strategy that collects funding payments by holding opposite positions, usually spot long and perpetual short, so price moves largely cancel out.
- Futures basisThe futures basis is the difference between a futures contract's price and the spot price of the same asset, often expressed as an annualised percentage.
- Futures contractA futures contract is an agreement to buy or sell an asset at a set price in the future, which lets you trade price moves with margin and leverage without holding the asset itself.
G
- Gas feeA gas fee is the payment you make to a blockchain network to process a transaction or run a smart contract, paid in the chain's native coin such as ETH on Ethereum.
- Geo-restrictions (restricted regions)Geo-restrictions are the rules that stop an exchange or crypto service from offering some or all of its products to users in certain countries or regions.
- Governance tokenA governance token is a crypto token that gives holders the right to vote on a protocol's decisions, such as fee changes, upgrades and treasury spending, in proportion to the tokens they hold or delegate.
- Grid trading botA grid trading bot is an automated tool that places a ladder of buy and sell limit orders within a price range, profiting from repeated moves up and down.
H
- Hardware walletA hardware wallet is a small physical device that stores your private keys offline and signs transactions inside the device, so the keys never leave it even when it is plugged into a computer or phone.
- Hash rateHash rate is the total computing power that miners use to secure a proof-of-work blockchain, measured in hashes per second.
- HedgingHedging is opening a position that offsets the risk of another position, so that a loss on one is partly or fully balanced by a gain on the other.
- HODLHODL is crypto slang for holding an asset for the long term instead of selling during price drops, originating from a misspelling of "hold" in a 2013 Bitcoin forum post.
- Hot walletA hot wallet is a crypto wallet whose private keys are stored on a device connected to the internet, such as a phone app, browser extension or exchange system, which makes it convenient but more exposed to attacks.
I
- Impermanent lossImpermanent loss is the shortfall a liquidity provider has compared with simply holding the same tokens, caused by the prices of the pooled tokens moving apart after the deposit.
- Index priceThe index price is a reference price for an asset calculated from a weighted average of spot prices on several major exchanges, used to anchor futures pricing.
- Initial marginInitial margin is the amount of collateral you must post to open a leveraged position, usually equal to the position value divided by your leverage.
- Insurance fundAn insurance fund is a reserve an exchange keeps to cover losses when liquidated positions cannot be closed at a price good enough to repay what they owe.
- Isolated marginIsolated margin is a margin mode where each position has its own separate collateral, so a liquidation can only take the margin assigned to that position.
K
L
- Last traded priceThe last traded price is the price at which the most recent trade on an order book was executed, and it is the price you usually see on charts and tickers.
- Launchpad (token sale)A launchpad is a platform, often run by an exchange, where users can buy a new project's tokens in a sale before or as the tokens list for trading.
- LaunchpoolA Launchpool is an exchange program where you lock tokens you already hold, such as the exchange token or a stablecoin, for a set period to earn a new token before or around its listing.
- Layer 1 (L1)A layer 1 (L1) is a base blockchain that processes and finalises transactions on its own network with its own consensus and native coin, such as Bitcoin, Ethereum or Solana.
- Layer 2 (L2)A layer 2 (L2) is a network built on top of a layer 1 blockchain that processes transactions off the main chain and posts the results back to it, giving lower fees while borrowing much of the L1's security.
- LeverageLeverage is using borrowed funds or margin to open a position larger than your own capital, which multiplies both profits and losses.
- Limit orderA limit order is an instruction to buy or sell only at a specific price or better, so a buy limit fills at your price or lower and a sell limit fills at your price or higher.
- Liquid stakingLiquid staking is a way to stake coins through a protocol that issues a tradable token, such as stETH, representing your staked position, so you earn staking rewards and can still use or sell the token.
- LiquidationLiquidation is when an exchange forcibly closes your leveraged position because your margin has fallen below the maintenance margin requirement.
- Liquidation priceThe liquidation price is the mark price at which your leveraged position will be forcibly closed because your margin would fall to the maintenance margin level.
- LiquidityLiquidity is how easily you can buy or sell an asset quickly, in size, without moving its price much.
- Liquidity poolA liquidity pool is a smart contract holding two or more tokens that traders swap against on a DEX, funded by liquidity providers who earn a share of the trading fees.
- Long and short positionsA long position profits when an asset's price rises, and a short position profits when its price falls.
- Long/short ratioThe long/short ratio compares how many traders or how much position size on an exchange is long versus short on a futures market, as a gauge of sentiment.
M
- Maintenance marginMaintenance margin is the minimum collateral you must keep in a leveraged position; if your margin falls below it, the position is liquidated.
- Maker and taker feesMaker and taker fees are the two trading fee rates an exchange charges: a maker fee when your order adds liquidity to the order book, and a usually higher taker fee when your order removes it.
- Margin callA margin call is a warning that your collateral has fallen close to the minimum required for a leveraged position, so you need to add margin or reduce the position to avoid liquidation.
- Margin tradingMargin trading is trading with funds borrowed from an exchange, using your own assets as collateral, so you can open larger positions or short-sell.
- Mark priceThe mark price is a fair-value price an exchange uses to calculate unrealized profit and loss and to trigger liquidations, instead of the last traded price.
- Market capitalizationMarket capitalization is the total value of a cryptocurrency's circulating coins, calculated as the current price multiplied by the circulating supply.
- Market makerA market maker is a trader or firm that continuously places both buy and sell orders on a market, providing liquidity and earning from the spread between them.
- Market orderA market order is an instruction to buy or sell immediately at the best price currently available in the order book, prioritising speed of execution over a specific price.
- MemecoinA memecoin is a cryptocurrency inspired by an internet joke, animal or cultural trend, whose price is driven mainly by community attention rather than a product or cash flow.
- Memo / destination tagA memo or destination tag is an extra code attached to a transfer that tells an exchange which customer account should receive a deposit sent to a shared address.
- MempoolThe mempool is the waiting area where valid but unconfirmed transactions sit on network nodes until a miner or validator includes them in a block.
- MEV (maximal extractable value)MEV, or maximal extractable value, is the profit that block producers and specialised bots can make by choosing, inserting or reordering transactions inside a block, often at the expense of ordinary users.
- MiCA (EU Markets in Crypto-Assets)MiCA (Markets in Crypto-Assets) is the European Union regulation that sets common rules for crypto-asset issuers, stablecoins and crypto service providers across all EU member states.
- Multisig walletA multisig wallet is a crypto wallet that needs signatures from several separate keys, such as 2 of 3, before any transaction can be sent, so no single lost or stolen key can move the funds.
N
- NFT (non-fungible token)An NFT, or non-fungible token, is a unique token on a blockchain that records ownership of a specific item, such as a digital artwork, collectible, game item or membership pass.
- No-KYC exchangeA no-KYC exchange is a platform that lets you trade crypto without verifying your identity, either fully or up to certain withdrawal limits.
- NodeA node is a computer running a blockchain's software that stores, checks and relays transactions and blocks, helping keep the network decentralized and honest.
- Non-custodial wallet (self-custody wallet)A non-custodial wallet is a crypto wallet where you alone hold the private keys or seed phrase, so no exchange or company can move, freeze or recover your funds for you.
O
- OCO order (one-cancels-the-other)An OCO (one-cancels-the-other) order pairs two orders, typically a take-profit and a stop-loss, so that when one of them executes, the other is automatically cancelled.
- On-chain analysisOn-chain analysis is the study of public blockchain data, such as transactions, wallet balances and exchange flows, to understand how a network is used and how holders behave.
- Open interestOpen interest is the total number or value of derivatives contracts, such as futures or options, that are currently open and not yet closed or settled.
- Order bookAn order book is the live list of all open buy orders (bids) and sell orders (asks) for a trading pair, sorted by price, showing how much people are willing to trade at each level.
P
- P2P (C2C) tradingP2P (C2C) trading is buying or selling crypto directly with another user, paying in local money through bank transfer or payment apps while the platform holds the crypto in escrow.
- Perp DEX (on-chain perpetuals)A perp DEX is a decentralized exchange for perpetual futures, letting you trade with leverage from your own wallet while margin, positions and settlement are handled on-chain or on a dedicated chain.
- Perpetual futures (perps)Perpetual futures (perps) are futures contracts with no expiry date that use a periodic funding rate to keep their price close to the underlying spot price.
- PhishingPhishing is a scam where attackers impersonate a trusted exchange, wallet or person to trick you into revealing login details or a seed phrase, or into signing a transaction that hands over your funds.
- Pig-butchering scamA pig-butchering scam is a long-con fraud where a stranger builds trust over weeks, often as a friend or romantic interest, then steers you into a fake crypto investment platform and takes everything you deposit.
- Portfolio marginPortfolio margin is a margin system that sets your collateral requirement based on the combined risk of all your positions, so hedged positions need less margin than they would separately.
- Position sizingPosition sizing is deciding how much to put into a single trade so that, if your stop-loss is hit, you lose only a planned share of your account.
- Post-only orderA post-only order is a limit order that is only allowed to add liquidity to the order book; if it would fill immediately against an existing order, the exchange cancels or adjusts it instead.
- Private keyA private key is a secret number that proves ownership of a crypto address and is used to sign transactions, so whoever holds it can spend the coins at that address.
- Proof of reservesProof of reserves is a report in which a crypto exchange shows that the assets it holds in wallets it controls are at least equal to the balances it owes its customers.
- Proof of stake (PoS)Proof of stake (PoS) is a consensus mechanism in which validators lock up the network's coins as collateral to propose and confirm blocks, earning rewards for honest work and losing part of their stake for breaking the rules.
- Proof of work (PoW)Proof of work (PoW) is a consensus mechanism in which miners use computing power to solve a puzzle, and the first to find a valid answer earns the right to add the next block and collect the reward.
- Public keyA public key is the shareable half of a crypto key pair, calculated from the private key, that lets the network verify your signatures and from which your wallet address is derived.
R
- Real-world assets (RWA)Real-world assets (RWA) are traditional assets such as bonds, gold, real estate, private credit or stocks represented as tokens on a blockchain.
- Reduce-only orderA reduce-only order is a futures order setting that can only shrink or close an existing position and will never open a new one or increase it.
- Referral code (fee rebate)A referral code is a code you enter when signing up to an exchange that links your account to a referrer and can give you a discount or rebate on trading fees.
- RestakingRestaking is reusing already staked ETH, or a liquid staking token, to also secure additional services, earning extra rewards in exchange for extra slashing and smart contract risk.
- Risk-reward ratioThe risk-reward ratio compares how much you could lose on a trade, up to your stop-loss, with how much you could gain, up to your take-profit target.
- Rug pullA rug pull is a scam where the creators of a crypto project suddenly drain its liquidity, dump their tokens or abandon it after attracting buyers, leaving the token close to worthless.
S
- Satoshi (sats)A satoshi (sat) is the smallest unit of Bitcoin, equal to 0.00000001 BTC, so one bitcoin contains 100,000,000 satoshis.
- Seed phrase (recovery phrase)A seed phrase is a list of usually 12 or 24 ordinary words that encodes the master key of a crypto wallet, so anyone who has the words can restore the wallet and spend all of its funds.
- Short sellingShort selling is a way to profit from a falling price by selling an asset you have borrowed, or opening a short contract, and buying it back later at a lower price.
- Short squeezeA short squeeze is a rapid price rise that forces short sellers to buy back their positions, through stop-losses or liquidation, which pushes the price even higher.
- SlippageSlippage is the difference between the price you expect when you place a trade and the average price at which the trade actually fills, usually caused by thin liquidity or fast-moving markets.
- Smart contractA smart contract is a program stored on a blockchain that runs automatically when its conditions are met, letting people trade, lend or issue tokens without a middleman.
- Spot bitcoin ETFA spot bitcoin ETF is an exchange-traded fund that holds actual bitcoin and lets investors gain exposure to its price through a regular brokerage account.
- Spot tradingSpot trading is buying or selling a cryptocurrency for immediate delivery at the current market price, so you actually own the coins once the trade is filled.
- StablecoinA stablecoin is a cryptocurrency designed to keep a steady value, usually 1 US dollar, by being backed by reserves such as cash and treasury bills, by crypto collateral, or by other mechanisms.
- StakingStaking is locking up coins of a proof-of-stake blockchain to help validate transactions and secure the network, in return for staking rewards paid in that coin.
- Stock perpetualsStock perpetuals are perpetual futures contracts that track the price of a share or stock index, letting you go long or short with leverage without owning the stock.
- Stop-limit orderA stop-limit order combines a stop price and a limit price: when the market reaches the stop price, a limit order is placed at your limit price, so it only fills at that price or better.
- Stop-loss orderA stop-loss order is an order that automatically closes your position when the price reaches a level you set, limiting how much you can lose on a trade.
- Sub-accountA sub-account is a separate account created under your main exchange account, with its own balances and positions, used to separate strategies, bots or team members.
- Support and resistanceSupport and resistance are price zones where an asset has repeatedly stopped falling (support) or stopped rising (resistance), because buying or selling interest tends to cluster there.
- Synthetic dollar (delta-neutral stablecoin)A synthetic dollar is a dollar-pegged token backed by a crypto asset plus an equal short futures position, so price moves cancel out and the combined value stays near 1 USD.
T
- Take-profit orderA take-profit order is an order that automatically closes all or part of your position when the price reaches a target level, locking in gains without you having to watch the market.
- Time in force (GTC, IOC, FOK)Time in force is an order setting that controls how long an order stays active and how it handles partial fills, with common options GTC (good till cancelled), IOC (immediate or cancel) and FOK (fill or kill).
- Token approval (allowance)A token approval is a permission you sign in your wallet that lets a smart contract spend a set amount of a specific token from your address, often needed before swapping or depositing in DeFi.
- Token burnA token burn is the permanent removal of tokens from circulation by sending them to an address that nobody can access or by destroying them through a smart contract.
- Token listingA token listing is when an exchange adds a coin to its markets, letting users deposit, trade and withdraw it on that platform.
- Token unlockA token unlock is a scheduled event when previously locked tokens, usually held by the team, investors or a treasury, become free to transfer and sell, increasing circulating supply.
- Tokenized goldTokenized gold is a blockchain token backed by physical gold held in a vault, where each token represents a set amount of gold, often one fine troy ounce.
- Tokenized stocksTokenized stocks are blockchain tokens designed to track the price of a company's shares, usually backed one to one by real shares held by a custodian.
- Tokenized treasuriesTokenized treasuries are blockchain tokens that represent shares in a fund or vehicle holding short-term government bonds such as US Treasury bills, passing their yield to holders.
- TokenomicsTokenomics is the economic design of a cryptocurrency, covering how many tokens exist, who received them, how new tokens are released and what the token is actually used for.
- Total value locked (TVL)Total value locked (TVL) is the total market value of crypto deposited in a DeFi protocol or blockchain's smart contracts, used as a rough measure of its size and usage.
- Trading pairA trading pair is two assets that can be exchanged for each other on a market, such as BTC/USDT, where the first is the base asset you buy or sell and the second is the quote asset used to price it.
- Trading volumeTrading volume is the total amount of an asset traded over a set period, usually shown as the 24-hour volume in coins or in USD value.
- Trailing stopA trailing stop is a stop order that automatically follows the price at a set distance as it moves in your favour, then triggers if the price reverses by that distance.
- Transaction hash (TxID)A transaction hash, or TxID, is the unique identifier of a blockchain transaction, which you can paste into a block explorer to see its status, amount, addresses and confirmations.
- Travel ruleThe travel rule is an anti-money laundering requirement that makes crypto service providers share sender and recipient information when they transfer crypto for customers.
- Two-factor authentication (2FA)Two-factor authentication (2FA) is a login and approval method that asks for a second proof, such as a code from an authenticator app or a security key, in addition to your password.
U
- Unified trading account (UTA)A unified trading account (UTA) is an exchange account mode that lets you trade spot, margin, futures and sometimes options from one balance, with assets shared as collateral.
- Unrealized PnLUnrealized PnL is the profit or loss on a position that is still open, calculated from your entry price and the current price, and it only becomes real when you close the position.
- USDCUSDC is a US dollar stablecoin issued by Circle, designed to stay at 1 dollar and backed by cash and short-term US government securities, with monthly reserve attestations.
- USDT (Tether)USDT, also called Tether, is the largest US dollar stablecoin, issued by Tether, designed to stay at 1 dollar and backed by reserves the company reports in regular attestations.
- USDT-margined (linear) futuresUSDT-margined (linear) futures are futures contracts where margin, profit and loss are all in the stablecoin USDT, so results move in a straight line with the price.
V
- ValidatorA validator is a participant in a proof-of-stake blockchain that locks up coins as collateral and runs software to propose new blocks and vote on whether other blocks are valid.
- VASP (virtual asset service provider)A VASP (virtual asset service provider) is a business that exchanges, transfers, holds or manages crypto for customers and must follow anti-money laundering rules where it operates.
- VIP fee tierA VIP fee tier is an exchange level that gives lower trading fees and extra benefits to users who trade high volume or hold large balances.
- VolatilityVolatility is a measure of how much and how quickly an asset's price moves up and down over a given period, and higher volatility means larger, faster swings.
W
- Wallet addressA wallet address is a string of letters and numbers that identifies where crypto can be sent on a specific blockchain, similar to an account number you can share publicly.
- Wash tradingWash trading is when the same person or group buys and sells an asset to themselves to create fake trading volume and a false impression of demand.
- WhaleA whale is an individual or entity that holds or trades such a large amount of a cryptocurrency that their moves can noticeably affect its price or liquidity.
- Withdrawal feeA withdrawal fee is the amount an exchange charges when you send crypto from your account to an external address, usually to cover the blockchain network fee.
- Withdrawal whitelistA withdrawal whitelist is an exchange security setting that only allows withdrawals to addresses you have saved and approved in advance, blocking transfers to any new address.
- Wrapped tokenA wrapped token is a token on one blockchain that represents another asset one-to-one, such as WBTC representing bitcoin on Ethereum, backed by the original asset held by a custodian or smart contract.