This post walks you through the jargons used in the world of Blockchain. It is a simple and yet comprehensive Glossary of the Blockchain language.

A

Altcoins –  It is the abbreviation for “Alternative Bitcoin”. Litecoin is the most prominent Bitcoin.

ASIC – Application Specific Integrated Circuit is a silicon chip designed to mine cryptocurrency specifically.

ATH – All-Time High price of cryptocurrency.

B

Bag Holder – It is used for someone who holds all the altcoins even after pump and dump.

Bearish – Tendency of prices to fall.

Bit – Investors can trade a fraction of bitcoin. A bit is the subunit of Bitcoin. 1 Bitcoin= 1,000,000 bits

Bitcoin –  It explains the concept of Bitcoin as a currency, protocol, and the software.

bitcoin – Lower case b represents the unit of currency.

Bitcoin ATM – Cash point where people can trade cryptocurrency and fiat currency.

Bitcoin Wallet – it is a wallet that stores the public key and the private key physically or in software.

Block – Group of transaction verified by the miners.

Block Explorer – An online tool that allows an investor to explore various cryptocurrency on a blockchain.

Blockchain – A Decentralised public ledger of bitcoins traded till date.

Block Height – Number of blocks mined post the genesis block.

Block Reward – Reward paid to the miners in terms of native cryptocurrency on solving a difficult algorithm problem.

Bullish – Tendency of prices to rise.

C

Chain Blocking – The process of connecting two blockchains to allow transactions between the chains to happen is called chain blocking.

Confirmation –  A bitcoin transaction is validated by the miner every 10 minutes. There should be at least 6 confirmation to ensure that there is double spending.

Consensus – Agreement among various processes for a single data point.

Cold Storage – Place where bitcoin private keys are stored offline.

Cloud Mining – It is the process of buying CPU power from the data centers that mine cryptocurrency on behalf of an investor.

Consortium Blockchain – Blockchain where the process of consensus is controlled by preselected nodes.

Crowdsale – Sale of the right to use online service through an issue of cryptocurrency.

Cryptojacking – Cyberattack in which targeted processing unit is hijacked to mine cryptocurrency.

Cryptography – The branch of mathematics and computer science that deals with cryptocurrency.

Crypto exchange – Website that allows the sale or purchase of cryptocurrency.

D

Digital Signature – Private key used for signing transactions.

Double Spending – Risk that a currency is spent twice.

Decentralised Application – Application that is an open source that uses cryptographic token and stores and records data cryptographically.

E

Ethereum – Ethereum is a blockchain-based decentralized platform for apps that run smart contracts

EVM – Every Ethereum node runs on the EVM to maintain consensus across the blockchain.

F

Faucet –  Website or software that pays in cryptocurrencies in exchange for finishing some tasks.

Fiat –  Currency accepted as a legal tender.

FoMo – Fear of Missing Out

FUD – Fear Uncertainty and Doubt regarding the market.

G

Genesis Block – The first or first few blocks of a blockchain.

H

Hash – It is a fingerprint of any size developed by hashing algorithm by processing any arbitrage amount of data.

Hash rate – It is a unit to measure the power consumption of a bitcoin network to be functional continuously.

Halving –  It is the reduction in reward by half when a certain number of blocks are mined.

HD Wallet – Digital wallet consisting of the private and public key.

Hard Fork – The updation or update on blockchain protocol that is not backward compatible

Hardware Wallet – Hardware system that stores public and private keys.  

HODL– Hold On for Dear Life is the tendency to invest in the cryptocurrency and hold it for the rest of life.

I

ICO – Initial Coin Offering is the sale of cryptocurrency to the general public.

L

Limit Order – It means to buy or sell cryptocurrency ordered by the traders when their price meets their targeted amount.

M

Mining –  It is the process of mathematical calculations performed by the computer on the Bitcoin network.

N

Node – A copy of the ledger operated by a participant of the blockchain network.

P

P2P – Person to Person or Peer to Peer

Private Key – Private Key is the password in the form of numbers or alphanumeric terms that is used to send/ spend bitcoins from one address to another.

Proof of Work – A consensus distribution algorithm that requires an active role in mining data blocks, often consuming resources, such as electricity. The more ‘work’ you do or the more 

Proof of Stake – A consensus distribution algorithm that rewards earnings based on the number of coins you own or hold. The more you invest in the coin, the more you gain by mining with this protocol.

Public Key – It is a number/ alphanumeric code which is derived from the private key to send bitcoins publicly.

Pump and Dump –  Buying and selling a massive amount of currency when prices are lucrative.

S

Satoshi – Smallest unit of bitcoin is called Satoshi. 1 Satoshi= 1/10^8 bitcoin.

Satoshi Nakamoto – An Anonymous identity that invented Bitcoin

Soft Fork –  Updation on blockchain protocol that is backward protocol.

T

Transaction ID – An Alphanumeric string that displays all the details of a transaction i.e. amount sent, to whom it is sent, etc.

To the Moon – When prices are sky-rocketed.

W

Whaler –  it refers to a person or an entity that holds a sufficient number of cryptocurrencies in order to influence the market.

Whitepaper – It is a document that articulates the problem and solution that the blockchain is trying to solve.

X

XBT and BTC –  Abbreviations used for bitcoins.

Feel free to add more, if any, in the comments below!!