DeutschThe world of digital currencies and blockchain is young and fast-moving. It can quickly happen that you are confronted with terms and abbreviations that are not equally familiar to everyone. That’s why we at CoinPro.ch have launched our A-Z lexicon with explanations and abbreviations of terms from the crypto world. And the best thing is: new terms and abbreviations are constantly being added, of course.
Airdrop Token – An airdrop describes a process where the programmers of a project give away their own tokens / coins – usually at the start of a project.
ATH – Abbreviation for: “All time high”, in German “Allzeit-Hoch”. That’s where the Bitcoin price was, for example, in December 2017 (see also the price development of Bitcoin).
Bearish – a “bear market” comes from the language of the stock market. Bearish describes the expectation in the crypto market that prices will go down.
Bullish – a “bull market” also comes from the language of finance. Bullish describes the opposite, i.e. the expectation that prices for digital currencies will go up.
DApp – stands for decentralized Apps. Decentralized apps are not offered or further developed by individuals (companies or people). DApps run distributed over a so-called peer-to-peer network, are based on the blockchain and are based on open source software. Many DApps are based on Ethereum.
fomo – Abbreviation for: “Fear of missing out”. People who are afraid of missing an opportunity in the crypto market (due to rising prices) and therefore acquire (even) more cryptocurrencies.
fud – Abbreviation for: “fear, uncertainty and doubt”. This phenomenon also plays with the psyche. It describes a kind of propaganda to unsettle owners or future owners of cryptocurrencies. This provokes non-rational actions.
Halving – Bitcoin Halving (halved). We explain it here.
HODL – Abbreviation for: “Hold On for Dear Life”. A cryptocurrency owner who holds his coins for a very long term – regardless of the price development.
ICO – Abbreviation for: “Initial Coin Offering”. You can find details in this article.
KYC – Abbreviation for: “Know Your Customer” / “know your customer”. This term already existed before the advent of crypto exchanges and ICOs. KYC is a (digital) legitimation check to verify the authenticity of personal data and ultimately identify the person. This is with the aim of counteracting illegal money laundering. Especially in the crypto area, it is also a confidence-building measure towards the authorities, as crypto exchanges are somewhat under suspicion there without justification. The KYC procedure is usually carried out today with digital providers (via webcam, mobile phone and ID).
Market Cap – In the world of cryptocurrencies, the market cap (market capitalization) results from the respective price per coin and the available coins.
Moon – A term from the crypto world that primarily exists in the crypto scene. It describes an extreme price increase of a currency. Is an image for “a coin moving towards the moon”.
OTC – Over the counter – describes the over-the-counter trading of cryptocurrencies. This is carried out directly between two parties without the supervision of an exchange. This type of transaction is generally used in the case of a large transaction amount. But here, too, there are specialized companies that offer an OTC service for larger quantities of cryptocurrencies.
Smart Contracts – translated “smart or self-fulfilling contracts” are originally computer protocols that document, check and process contracts and agreements. The individual phases run automatically, without a so-called intermediary having to intervene manually. The relevant information for this is irrevocably and unchangeably stored on the blockchain.
STO – Security Token Offering – the issuance of security tokens by a company to investors. A security token behaves like a security and enables investors to participate in profits. A security token is more strictly regulated and places higher disclosure and registration requirements on the company, but offers investors significantly more security.
Whale – Whales are big players, people or institutions or companies with substantial capital and also a large number of coins. Whales can quickly influence the young market and the still comparatively small crypto market in both directions by buying or selling crypto coins.
Have we forgotten any important cryptocurrency terms? Just and we will be happy to add it. Info (at) coinpro.ch
