Blockchain & Cryptocurrency Glossary

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A blockchain network that decouples consensus and data availability from execution, providing a data availability layer for rollups and other L2 solutions....

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A standard algorithmic transformation used in blockchain oracle systems to reliably convert temperature data between different measurement scales before recording on-chain. These conversions are…...

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The legal frameworks, compliance requirements, and operating rules established by governmental authorities to govern the issuance, distribution, and usage of digital currencies created and controlled…...

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An entity that positions itself as the intermediary between trading parties in financial transactions, assuming the counterparty risk by becoming the buyer to every seller and the seller to every…...

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A digital marketplace operated by a company or organization that facilitates cryptocurrency trading through a centralized order book, custody system, and matching engine. Unlike decentralized…...

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A specialized financial entity that holds securities in immobilized or dematerialized form, facilitates ownership transfers through book-entry settlement, and provides asset servicing for financial…...

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The process of validating that blockchain hardware devices and infrastructure components meet standardized quality, safety, and performance requirements established by recognized authorities. These…...

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A set of standards and specifications designed to create interoperability between different blockchain networks without requiring blockchain-specific implementations. CAIPs define common interfaces,…...

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A decentralized network of nodes that autonomously monitor and execute smart contract functions when predefined conditions are met, without requiring manual intervention or centralized automation…...

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A decentralized oracle network that provides reliable, tamper-proof inputs and outputs for complex smart contracts on any blockchain. Chainlink allows smart contracts to securely access off-chain…...

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A smart contract-based system that verifies and stores block headers from one blockchain within another blockchain, enabling cross-chain communication with cryptographic verification. Chain relays…...

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An event where a blockchain's history is altered when a competing chain becomes longer than the current main chain, causing previously confirmed blocks to be replaced. Chain reorganizations (reorgs)…...

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A malicious attempt to rewrite blockchain history by creating an alternative version of the blockchain that's longer or has more accumulated proof-of-work than the current chain, causing the network…...

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Formal documents that define the governance, roles, responsibilities, and operational rules of a blockchain consortium or DAO. They serve as the foundational legal and procedural framework....

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A cryptographic private key mathematically derived from a parent key in a hierarchical deterministic (HD) wallet structure. Child keys maintain a defined relationship with their parent key, allowing…...

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A Cardano Improvement Proposal that specifies metadata and minting rules for NFTs on Cardano, enabling standardized issuance and discovery of non‑fungible tokens....

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A Cardano Improvement Proposal defining a standard API for web‑based dApps to interact securely with Cardano wallets, handling transaction building, signing, and submission....

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An algorithm for performing encryption or decryption—a series of steps that converts plaintext to ciphertext or vice versa. Ciphers form the foundation of cryptographic security in blockchain systems…...

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The encrypted form of data after it has been processed by a cryptographic algorithm using a specific key. Ciphertext appears as a seemingly random sequence of characters that cannot be understood…...

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A variant of the Emergency Stop Pattern that automatically disables contract functions when predefined thresholds or error rates are exceeded....

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The number of coins or tokens that are actively available to the public and circulating in the open market. It excludes locked tokens (e.g., held by founders/team, reserved for staking rewards, in…...

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A security framework combining concise checklists, threat modeling, and lightweight code review practices to integrate security into agile development lifecycles....

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In a token vesting schedule, the cliff is an initial period during which no tokens are released or earned by the stakeholder. Only after this cliff period expires does the vesting (gradual release)…...

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A vesting schedule where no tokens vest until a specified cliff date, after which a lump sum becomes available....

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Malicious software that monitors and alters clipboard contents—often replacing cryptocurrency addresses with attacker-controlled addresses to steal funds....

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A proof-of-authority consensus algorithm designed for Ethereum-compatible blockchains, where a predefined set of authorized validators (signers) take turns creating blocks in a deterministic sequence…...

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A software development approach where the source code is kept private and not shared publicly. In blockchain contexts, closed source components restrict users and developers from viewing, verifying,…...

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A service that allows individuals to participate in cryptocurrency mining by renting or purchasing mining hardware or hashing power from a remote data center. Users pay a fee to the cloud mining…...

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Fraudulent services that promise cryptocurrency mining returns by selling remote hashpower but either do not perform mining or misappropriate user funds....

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A type of cryptocurrency wallet where private keys are stored online on servers managed by a third-party provider, accessible via web browsers or mobile apps. While offering convenience and…...

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The first transaction in a cryptocurrency block that creates new coins according to the protocol's monetary policy and delivers them, along with transaction fees, to the miner or validator who…...

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A wallet feature allowing users to select specific UTXOs when creating transactions, optimizing fees, privacy, and UTXO management....

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A metric measuring blockchain activity by multiplying the amount of coins in a transaction by the number of days since they were last spent. It highlights dormant coins reactivating....

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A privacy technique where multiple users combine their transactions into a single joint transaction, obfuscating the link between inputs and outputs....

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A decentralized CoinJoin protocol that enables peers to collaboratively create a joint transaction without a trusted coordinator, using cryptographic shuffling of output addresses....

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A method of staking cryptocurrency to earn rewards while keeping the private keys that control the staked coins in a secure, offline (cold) storage environment. This enhances security by protecting…...

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The practice of keeping private keys entirely offline in secure environments—hardware devices, paper, or air‑gapped systems—to protect against online attacks....

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A hardware or offline medium that holds private keys away from any network connection, minimizing exposure to online attacks....

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A wallet that stores private keys offline—such as hardware, paper, or air‑gapped software wallets—minimizing exposure to online threats....

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A token backed by assets—fiat, crypto, or commodities—held in reserve to maintain value stability or guarantee redemption....

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Processes and systems for tracking, optimizing, and liquidating collateral assets used in lending, derivatives, and cross‑chain protocols....

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Techniques to maximize capital efficiency by selecting, allocating, and rehypothecating collateral across multiple protocols and chains....

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A smart contract or off‑chain index that catalogs NFT collections, their metadata schemas, and provenance for discovery and verification....

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A property of cryptographic hash functions meaning it is computationally infeasible to find two different inputs that produce the exact same hash output....

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The percentage fee that a validator or staking pool operator deducts from staking rewards before distributing the remainder to delegators....

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A cryptographic primitive that allows a user to commit to a chosen value while keeping it hidden, with the ability to reveal the value later. Commitment schemes in blockchain enable binding…...

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Portion of a token’s supply reserved for distribution to the broader user base via airdrops, rewards, grants, or community incentives....

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Decentralized applications designed to interoperate via shared smart contract standards, enabling developers to stack and combine functionality like financial Legos....

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The ability of modular blockchain components and cross‑chain protocols to seamlessly interconnect, enabling assets and data to flow between dApps and networks....

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Layer‑2 rollup architectures designed with modular, reusable components—such as sequencing, execution, and data availability layers—that can be independently upgraded and composed....

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