2

2FA (two. Factor authentification, TFA, two step verification)

A two factor authentication uses a combination of two components e.g. PIN and debit card to confirm and validate a users identity.
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5

51% attack (fiftyone percent attack)

51% attack is the term used for an orchestrated attack on a distributed ledger system, where the systems miners control the majority (50%+) of the system.
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A

Accelerator

An accelerator is a time-limited program aimed at supporting startup companies with their business operations. Accelerators often include educational and instructor-based support programs and usually lead up to a public event or pitch for the startup.
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Accidental fork

An accidental fork is derived as a result of certin circumstances occuring such as as an error in the code during platform or program updates, where blocks within the blockchain are not consistent with previous ones.
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Address

An address is an identifier created via the hashing of a public key and aims to detail/discern the digital address from which digital assets can be transferred to and from as well as where smart contracts can be stored.
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Airdrop

An airdrop is the distribution of new coins. An airdrop can occur during the course of a new project. It is a form of advertisement to bootstrap a new cryptocurrency network. Through an airdrop, coins can be put into the hands of potential users in an easier fashion. Oftentimes, when a user is airdropped coins, the user will only have to complete a certain minor tasks in order to claim these. An example of a website specifically dedicated to airdrops is Airdropking.
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Algorithmic Trading

Algorithmic trading is a trading method which makes use of automated algorithms and pre-programmed trading instructions, such as time, price, and volume to execute tranches of a larger order over time.
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All Time High (ATH)

When a coin reaches it’s highest price point, the coin is said to be at an “All Time High” (ATH)
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Altcoin

The term altcoin is used to describe digital assets in the form of coins that are not Bitcoin. The origin of such terminiology comes from the fact that Bitcoin was the first cryptocurrency; all other cryptocurrencies are therefore “alternatives” to Bitcoin. The term “altcoin” is also commonly used to refer to digital assets known as “tokens” but not as coins. The best known example of this are ERC-20-tokens that exist on the Ethereum Blockchain.
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Altfi

Altfi is a term used to discern forms of finance that have originated outside the traditional financial instruments offered by banks, financial institutions and capital markets. Crypto’s are a form of Altfi.
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AML (anti-money laundering)

AML stands for Anti Money Laundering and refers to measures designed to combat money laundering. AML refers to anti-money laundering measures, laws (Anti Money Laundering Act = AMLA) and ordinances (Anti Money Loundering Ordinance), which are aimed at combating and preventing money laundering and terrorist financing. Because measures can only have an international and cross-national impact, the FATF (Financial Action Task Force) develops standards and recommendations which are followed by numerous countries. Switzerland’s legislation also largely complies with the international recommendations of the FATF.
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Angel Investor ( business angel)

An angel investor is an individual or group of inviduals who provide funds in the early stages of a business. Startups are the usual recipients of funds from angel investors, with such investors usually offered equity ownership in exchange for their funds. Angel investors can also be a good source of knowledge and contacts for businesses in their early stages.
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Anonymization

Anonymization is the act of altering data in a manner in which the identifiers or identity of the owner of the data is anonymized so that the owners privacy is upheld.
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Antminer

Antminer is a popular ASIC, which was developed by Bitmain. In popular parlance an Antminer could be described as a very special processor or hardware that is particularly relevant when mining Bitcoin (see below).
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API

An application programming interface (API) is an interface or communication protocol between different parts of a computer program intended to simplify the implementation and maintenance of software. An API may be for a web-based system, operating systemdatabase system, computer hardware, or software library. An API specification can take many forms, but often includes specifications for routinesdata structuresobject classesvariables, or remote callsPOSIXWindows API and ASPI are examples of different forms of APIs. Documentation for the API usually is provided to facilitate usage and implementation. More recently, the term has been often used to refer to a specific kind of interface between a client and a server, which has been described as a “contract” between both – such that if the client makes a request in a specific format, it will always get a response in a specific format or initiate a defined action.[1] This is a specialized form of API, sometimes defined as a Web API. Read more: https://en.wikipedia.org/wiki/Application_programming_interface
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API (Application Programming Interface)

An API is a set of functions and protocols that are used in the building of an application software, An API can define the methods of communication required between different components of software and provides access to data of a given operating system, application etc. An API can facilitate the development of computer programs via the provision of building blocks which can then be assembled by the software/program developer.
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Arbitrage

Because cryptocurrencies trade all around the globe, they are listed on different exchanges, which means they can have different prices on different exchagnes at the same time. If these price differences are actively exploited, this is referred to as arbitrage trading. Technically, aribitrage can be seen as risk-free trading after transaction costs are deduced.
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ASIC

ASIC stands for Application Specific Integrated Circuit. ASICs are devices that have been developed specifically for mining crypto currencies. Even the leading currencies (Bitcoin, Ethereum) can be mined with ASICs. ASICs have been criticized for detracting from decentralization, thus some projects (e.g. Monero) try to make their coins incompatible for ASIC devices (=ASIC resistant).
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ASIC Miner

ASIC mining is the process of mining cryptocurrencies via the use of ASIC technology. ASIC technology can speed up production processees and operates at a more efficient and faster manner than if regular a laptop/desktop was used. Effectively, ASIC systems are manufactured with the purpose to provide a more efficient and faster production in the mining process.
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Ask

If market participants are willing to sell their coins at a certain price, this price is called the “Ask” price (=offered price).
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Atomic Swap

An atomic swap is when a token is exchanged between two coins on different blockchains. This does not require a stock exchange, the exchange takes place at a pre-determined rate and is completely peer-to-peer.
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B

B2B

B2b stands for “Business to Business”, referring to corporate relations between companies
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Backtest

In a trading strategy, investment strategy, or risk modeling, backtesting seeks to estimate the performance of a strategy or model if it had been employed during a past period. This requires simulating past conditions with sufficient detail, making one limitation of backtesting the need for detailed historical data. A second limitation is the inability to model strategies that would affect historic prices. Finally, backtesting, like other modeling, is limited by potential overfitting. That is, it is often possible to find a strategy that would have worked well in the past, but will not work well in the future.[1] Despite these limitations, backtesting provides information not available when models and strategies are tested on synthetic data. Backtesting has historically only been performed by large institutions and professional money managers due to the expense of obtaining and using detailed datasets. However, backtrading is increasingly used on a wider basis, and independent web-based backtesting platforms have emerged. Although the technique is widely used, it is prone to weaknesses.[2] Basel financial regulations require large financial institutions to backtest certain risk models. Read more: https://en.wikipedia.org/wiki/Backtesting
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Badge

Badges are rewards for activity and achievements in the MachinaTrader ecosystem. Badges display in your user profile and indicate, to other users, your degree of activity, experience and achievement. Some badges are one-time only rewards while other badges can be upgraded. Read about Badges in the Knowledge Base.
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Bagholder

Bagholder is a term for owners of coins who hold on to them even though the value has declined since acquisition. The term is to be understood as derogatory.
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Bear market

The bear symbolizes declining prices. A bear market describes a marekt where prices are on the down. Someone who is bear-ish is aperson, who expects prices to fall. In a bearish market prices decline.
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Bid

Bid is the price at which market participants are willing to buy a coin. The bidder’s price is called the “Geldkurs” in German speaking countries.
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Binance

Binance is a global cryptocurrency exchange that provides a platform for trading more than 100 cryptocurrencies. Founded in China, the company moved its servers and headquarters from China to Japan in September 2017 in anticipation of the Chinese government’s ban on cryptocurrency trading. The company opened offices in Taiwan on March 4, 2018. CEO Changpeng Zhao had previously established Fusion Systems in Shanghai in 2005; the company built high frequency trading systems for brokers. In 2013, he joined Blockchain.info as the third member of the cryptocurrency wallet team. He also worked for less than a year at OKCoin as CTO, a spot trading platform between Fiat and digital assets. In March 2019, the Exchange also launched a decentralized trading platform called Binance DEX on its own blockchain Binance Chain. On 7 May 2019, Binance revealed that it had been the victim of a “large-scale security breach” in which hackers had stolen 7,000 Bitcoin worth around USD 40 million.
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Bitcoin

Bitcoin is a decentralized network for direct value transfer (peer-to-peer). The concept was designed in 2008 by an unkown group or individual under the pseudonym of Satoshi Nakamoto. The Bitcoin white paper, which was distributed in October 2008, contained a description of the implementation of a digital currency based on blockchain technology. It describes a payment system in which its participants can transfer values peer to peer without the help of an intermediary. The technological basis was a complex combination of several already developed components, which were necessary for the creation of a payment system. The combination of these components solved a fundamental IT problem that had previously prevented a software-based payment system (see: double spending). A cryptographic puzzle called Proof-of-Work made it possible to check and process payments without a central authority. All transactions are kept on independent computers in a distributed public accounting system. As the oldest and most important cryptocurrency in terms of market capitalization, Bitcoin today a censorship-resistant, decentralised peer-to-peer payment processing network with a limited supply. Its base layer value transfer resembles that of gold, which is why Bitcoin is sometimes also called digital gold. On top of the base layer protocol, there is a second layer protocol called Lightning, which allows for much cheaper and faster transactions.
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Bitcoin (Maximalist)

Bitcoin Maximalists are people, who see Bitcoin as the ultimate cryptocurrency and give other currencies little or no permission to exist. For Bitcoin Maximalists all other cryptocurrencies are so-called shitcoins.
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Bitcoin Cash

Bitcoin Cash (BCH) is a hard fork from Bitcoin that came into existence on August 1, 2017 and has increased the block size to 8 MB. The aim was to improve the scalability of Bitcoin’s underlying technology. On 16 November 2018, BCH was itself again subjected to a “hard fork”. Since then, two more blockchains, BCH (originally BCHABC) and BCH SV exist separately.
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Bitcoin Mining

Bitcoin mining is the act of releasing and creating more Bitcoins. This is don via the verfication and addition of transactions on the blockchain. When a new block is added to the blockchain, a reward is provided for the computational work done by unscrambling and matching the hashes of the previous and new blocks.
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Bitcointalk

Bitcointalk is the largest discussion forum for cryptocurrencies.
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Bitfinex

On this cryptocurrency exchange fiat money can be exchanged for crypto coins and tokens.
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Bitmain

Bitmain sells hardware that can be used for mining.
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Bitstamp

Bitstamp is a crypto currency exchange where Fiat can be exchanged for Crypto.
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Bittrex

Bittrex is a US-based crypto-currency exchange designed with security and scalability in mind. The exchange provides individuals and businesses a world class experience to buy and sell cutting-edge cryptocurrencies and digital tokens. Based and fully regulated in the USA, Bittrex is the go-to spot for traders who demand lightning fast trade execution, stable wallets, and industry-best security practices. Whether customer is new to trading and cryptocurrencies, or a veteran to both, everybody will find it useful. [1]
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Blasé

A bubble occurs when the price of a commodity significantly exceeds the value of the product. Bubbles can burst at a certain point, which brings down the inflated prices.
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Block Height

A block height or the height of a block is a metric used to detail the sequentially added blocks in a given blockchain between any random block and the gensis block.
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Block Producer

With some blockchains, only a few nodes can publish a block. These nodes are then called block producers.
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Block Reward

The block reward is the reward/compensation a miner can receive for undertaking the computaional work required for creating and adding blocks to the blockchain.
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Block Reward

Block Reward is the number of coins a miner receives for publishing a valid block on to the blockchain.
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Block Size

The block size is a value that indicates the quantity of data stored in a given block on the blockchain.
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Block(chain)

A block is a collection of transactions published by a so-called miner, i.e. attached to the blockchain. The goal of each miner is to publish a valid block to receive block rewards or fees. The block size and block time differ depending on the cryptocurrency. Blocks are the components of the blockchain that are protected from hacks and double donations/spending by design. The blockchain owes its name to its linked blocks. If someone wants to hack an old block, he must first hack all new blocks. As a result: The older a block is, the higher the probability that it will remain a permanent block inside the blockchain. Some Altcoins do not use a blockchain and secure their network differently – for example via a DAG like Hashgraph or IOTA.
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Blockchain forensics (Analysis)

Blockchain analysis is a process of checking, identifying, modeling, and visually representing data in a cryptographically distributed ledger, also known as a blockchain. The goal of blockchain analysis is to find useful information about the different actors. The analysis of public block chains such as Bitcoin and Ethereum is often performed by private companies. In particular, it is attempted to determine whether criminal activities can be associated with blockchain transactions.
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Blockexplorer

A block explorer is an online blockchain browser that displays the data of individual blocks and transactions in a specific blockchain. The application can retrieve transaction histories and address balances. Often different block explorers exist for single blockchains. In a sense a blockchain explorer can simply be described as a browser for the blockchain.
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Blockfolio

Blockfolio is an app that allows you to track and compare the exchange rates of different cryptocurrencies.
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Blocklattice

Blocklattice is a data structure that promises some advantages over the blockchain. One of these advantages is, for example, the faster transaction processing for a lower fee. The blocklattice works fundamentally differently than the blockchain, the data structure is used e.g. by the cryptocurrency Nano.
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Blocktime

Block time defines the time it takes to mine a block. Both in bitcoin blockchain and ethereum blockchain, there is an expected block time, and an average block time. In bitcoin, the expected block time is 10 minutes, while in ethereum it is between 10 to 20 seconds.
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Blox

Blox is an app to track and compare the current exchange rate of different cryptocurrencies.
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Bounty

Some ICOs used to pay users for their support (translations, promoting ICO, finding bugs). This payment is often called a bounty.
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Breakout

A breakout is a sharp and sudden price increase. In rare cases, a breakout can also mean a sharp and sudden drop in prices.
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Bull market

The bull symbolizes growing prices. A bull market describes a market where prices are on the up. Someone who is bullish is a person who expects prices to rise. In a bullish market, prices increase.
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Burn Reserve

A burn reserve details the tokens which have not been distributed during an ICO and as a result, will be “burned” in order to prevent a dilution of the tokens offered on the ICO.
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Burning (Coin Burn)

Coin burning is the process of permanently removing coins (tokens) from the circulating supply, thereby reducing the overall supply. A burn function to destroy coins/tokens leads to permanent destruction of them. It is no longer possible to restore coins/tokens after destruction. In most cases such coin-burns are executed via smart-contracts.
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Buywall

The buywall can be displayed graphically as a high vertical wall on the bid side in a depth chart. It also indicates a high demand for cryptocurrencies at a certain price.
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C

Candlestick chart

candlestick chart (also called Japanese candlestick chart) is a style of financial chart used to describe price movements of a securityderivative, or currency. Each “candlestick” typically shows one day, thus a one-month chart may show the 20 trading days as 20 candlesticks.[1] Candlestick charts can also be built using intervals shorter or longer than one day. It is similar to a bar chart in that each candlestick represents all four important pieces of information for that day: open, close, high, and low. Being densely packed with information, it tends to represent trading patterns over short periods of time, often a few days or a few trading sessions.[2] Candlestick charts are most often used in technical analysis of equity and currency price patterns.[citation needed] They are visually similar to box plots, though box plots show different information.[citation needed] Read more: https://en.wikipedia.org/wiki/Candlestick_chart
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Casper

Casper is an update to extend the Ethereum Blockchain. The update is intended to change the consensus mechanism of the Ethereum Blockchain from POW to POS.
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CBDC

CBDC (Central Bank Digital Currency) is the generic term for digital currencies issued by central banks. A distinction is made between the following categories: Traditional CBDC These are essentially the current fiat currencies (physical banknotes and coins) which are converted into a digital currency. Issued by the central bank of the countries and distributed by the commercial banks – a well-known concept, therefore, where citizens do not have a direct account with the central bank. CBDC directly from the central bank This is a concept that the Riksbank is dealing with (project phase), which differs significantly from the “traditional CBDC concept”: every citizen would have an account with the central bank where they could deposit and withdraw their digital money. Hybrid CBDC Could be just one currency, e.g. the PBOC project, or a little more unconventional as the concept Mark Carney spoke of (a possible new lead currency composed of several currencies).
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CC130 Crypto Currencies Index

The CCI30 Crypto Currencies Index is an index dedicated to tracking the 30 largest cryptocurrencies. The 30 largest cryptocurrencies on the CC130 are based on market capitalization.
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Centralized Ledger (Centralized Ledger, General Ledger)

A central ledger is a single archive dedicated to keeping the records of transactions made by a(n) entity(ies). A central ledger is usually controlled by an individual or by a clearly defined group of individuals.
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Charlie Lee

Charlie Lie is the founder of the cryptocurrency Litecoin.
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Circulating Supply

Circulating supply refers to the quantitiy of coins that are, at present, in cirulation within the market e.g. held in the hands of the public. Furthermore, if tokens have been pre-mined, the circulating supply of these tokens will equate to the hard cap post an ICO.
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Coin Burn

A coin burn describes irretractable process of sending cryptocurrency tokens to a publically-held address from which the tokens cannot be recollected. This is because the private keys of the publically-held address is not obtainable.
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Coinbase

Coinbase is a large cryptoexchange and accepts fiat money. Coinbase is regarded as beginner-friendly.
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Coinbase transaction

A coinbase transaction is the first transaction in a block. Miners use it to collect the block reward, and any additional transaction fees.
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Coinmarketcap

Coinmarketcap (coin market capitalisation) is the current price multiplied by the number of tokens. There is also a cryptocurrency website coinmarketcap.com.
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Cold Storage

Cold storage can be a paper wallet or a hardware wallet. Cold Wallet stands for the fact that the private key never comes into contact with the Internet. Unlike hot wallets, cold wallets are intended to store greater amount of coins. https://en.bitcoin.it/wiki/Cold_storage
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Colored Coin

A Colored Coin is a metaphor that aims to describe a set of procedures used to represent and manage real-world assets/traditional assets via the use of bitcoin and blockchain technology.
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Complementary Currency

A complementary currency holds no status as a fiat-ensured legal tender, however it may complement fiat currencies. is a currency which is not a legal tender i.e. Berkshare in the U.S.
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Confirmation(s)

Confirmation describes a function in the blockchain protocol that prevents double spending. If a transaction is sent to a network in a valid block, the transaction receives a confirmation. The more number of confirmations increases, the higher the validity of a transaction because of the acception by several nodes in the network. Exchanges, for example, wait for 3-5 confirmations for Bitcoin until they are credited to the recipient account. This way exchanges want to make sure that the can minimize the possibility of a double-spending attack on transactions wired through them.
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CPU

CPU stands for Central Processing Unit and describes the processor, i.e. the hardware component of a normal computer.
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Craig Wright

Craig Wright used to be a well-known Bitcoin Cash proponent. He also says about himself that he is Satoshi Nakamoto (the founder of Bitcoin), but cannot prove this. Now that he forked his own version of Bitcoin, he is now the supporter of Bitcoin SV.
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Crash

A very sharp drop in prices is called a crash.
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Crowdfunding

Crowdfunding is a specific form of crowdsourcing, where the funds for an enterprise are, oftentimes raised, via internet campaigns. Examples of a crowdfunding wesbite include Gofundme or Patreon.
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Crypto (currency)

A crypto is the short form for a cryptocurrency
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Crypto Index (CRIX)

Cryptocurrency Index (CRIX) is an index that is subject to 20 components from crypto markets.
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Crypto Protocol

A crypto protocol describes the underlying set of rules upon which technologies such as Dapps are housed.
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Cryptocurrency (Math based currency)

A cryptocurrency is a > digital currency in which > encryption techniques are used to control the generation of units of currency and verify the transfer of funds, operating independently of one single central unit. Cryptocurrency businesses oftentimes raise money through > ICOs.
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Cryptokitties

Cryptokitties is a App on the Ethereum Blockchain.
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Custodian

A custodian is a person or entity who has responsibility for taking care of assets.
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Custody-Solution

By definition, a digital value can be stored without the help of an intermediary. However, the custody of crypto currencies for institutional investors is difficult to implement. Due to the regulatory nature of their business, the regulations require strict custody methods. Risks such as the security of digital assets, counterparty risk but also transaction efficiency must be taken into account in order to meet the requirements of the relevant supervisory authority. Typically, funds work with qualified and licensed custodians who have processes in place to securely hold digital assets. Access is often regulated by multi-signatures (multisig). The custody platforms have various access and protocol forms, the latter to comply with compliance/audit regulations.
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Cypherpunk

A cypherpunk is an individual who actively calls for the widespread use of cryptography and technologies that facilitate increased privacy, for. socio-political change. Much of the blockchain and bitcoin movements were subject to such Cypherpunks.
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D

Dan Larimer

Dan Larimer is a programmer who founded Bitshares, Steemit and EOS.
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dApp

dApp stands for Decentralized Application. It describes an app that can be controlled via Smart Contracts and is hosted on a public blockchain.
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Darknet

The Darknet is a component of the Internet, but can only be searched by special software. It provides more anonymity, which makes control and oversight more difficult for legislators.
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Daytrader

If one tries to make a profit by actively trading cryptocurrencies, one speaks of a day trader. The day trader usually only holds the currency for a short time (a few hours) before selling it for another currency.
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Decentralized

In decentralized systems, users are connected via P2P. A central authority with privileges does not exist. Any person can join this decentralized network and ideally it is almost impossible to hack (Ideally so, emphasis on DAO hack). True decentralized networks are trustless.
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Decentralized Application (DAPP)

A Dapp is an application that runs on a decentralized P2P network e.g. Ethereum.
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Decentralized Autonomous Initial Coin Offering (DAICO)

The DAICO describes a process of decentralized capital investment. Here, investors maintain their ownership of their requested capital from a given project, by approving certain milestones e.g. TAP’s
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Decentralized Autonomous Organisation (DAO)

Organizations with no strict hierarchical leadership. Ideally, these sorts of organizations are based on a public blockchain in some way or another. The most popular example was “The DAO”.
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Decentralized Exchange (DEX)

The vast majority of crypto exchanges are currently central exchanges. The overwhelming majority of trading volumes are currently generated on these exchanges. Similar to traditional stock exchanges, they are managed by a single company. Trading and custody takes place on their closed server system. Since the custody of cryptoassets is particularly risky, the idea of decentralized exchanges is interesting in principle. On decentralized exchanges, the crypto assets are held directly by the investor in his own wallet and are only transferred when a transaction is concluded with another market participant. The investor therefore remains the owner of his assets. The advantages of security are, however, currently still clouded by a slower speed. Due to the complexity that the configuration of a decentralized trading place entails, the usual stock exchange characteristics such as marketmaking or stop loss orders are more difficult to implement. Uniswap could be a game-changer here. The field of decentralized exchanges is developing rapidly. Hybrid solutions are also being sought in some cases. In addition to existing decentralized exchanges such as IDEX, OpenLedger DEX and Forkdelta, to name but a few, Binance has also recently become active with Binance DEX.
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DeFi

DeFi stands for “Decentralized Finance” and refers to the ecosystem of financial applications developed on the basis of blockchain systems, a particular example is Ethereum. DeFi can be defined as the movement that promotes the use of distributed networks and open source software to develop different types of financial services and products. The idea is to develop and operate open and permissionless financial DApps on the basis of a transparent and trustworthy framework. Currently, the three largest features of DeFi: Creation of monetary banking services (e.g. issuance of stablecoins) Provision of peer-to-peer or pooled credit and lending platforms Enable advanced financial instruments such as DEX, tokenization platforms, derivatives and prediction markets. Within these three areas, there are several types of DeFi services. Some examples of products and use cases are financing protocols, software development tools, indexing, subscription payment protocols and data analysis applications. Decentralized financing has many advantages over traditional financial services. By using intelligent contracts and distributed systems, the delivery of a financial application or product becomes much less complex and secure. For example, many dApps are developed on the Ethereum blockchain, which offers reduced transaction costs and lower entry barriers. In summary, the DeFi movement is moving traditional financial products into the open source and distributed world, eliminating the need for intermediaries. The total cost of ownership is reduced. However, it remains to be considered that the market around DeFi is still young. Risks can exist in the regulatory area, but also in the still young infrastructure.
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Delegated Proof of Stake (dPOS)

Delegated Proof of Stake was proposed by Dan Larimer as an alternative to the more elaborate Proof of Work algorithm. dPOS is a special type of Proof of Stake.
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Delta

Delta is a popular cryptocurrency price tracking app
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Democratization of Finance

Democratization of finance is a term used to describe the process by which financial services, products and knowledge become egalitarian thus, available for public use.
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Depth Chart

A depth chart is a visualization of the bid and ask offers.
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Difficulty

This term is mostly used in combination with the Hashrate. It indicates which hashrate is needed to mine a block in a certain period of time.
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Digital Asset

A digital asset is an asset that has been securitized in a digital form e.g. via a token
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Digital Asset Array (DAA)

A digital asset array is a bundle of digital
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Digital Currency

A digital currency is a form of currency that has no-phsyical form and which is only able to be. trasmitted via electronic means. The electronic proporty of digital currency allows transactions to to made almost immediately and allows for ownership of currencies to be transferred borderlessly.
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Digital Payment

A digital payment is a computer-based transaction of monies that have been authorized electronically on an electronic device e.g. via a wallet or credit cards.
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Digital Security

A digital security is a digital form of security where ownership of an asset can be verified and noted with the use of distributed ledger technology.
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Digital Security Offering (DSO)

A DSO is a security offering that has been undertaken, verified and noted using distributed ledger technology.
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Digital Wallet

A digital wallet functions like a normal wallet, by stoing payment, authentication and other information electronically. Thus, a digital wallet allows its owner to make electronic transactions. Digital wallets can be used to purchase goods and services on-line via a computer or mobile phone. Some digital wallets also allow money to be transferred between other digital wallet holders.
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Dip

A drop in the price is called a dip.
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Directed Acrylic Graph DAG

This is a supposed scaling method for blockchain, however, a DAG is not even an actual blockchain. Rather, a DAG consists of a so-called “tangle”. The most prominent project based on this technology is IOTA.
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Distributed Ledger Technology (DLT)

The term distributed ledger technology describes a technique that is used to document certain transactions. A “distributed cash journal” is a database that is shared and synchronized across multiple locations, institutions or regions. The subscriber at each node of the network can access the records shared in that network and have an identical copy of them. The decentralized structure prevents or quickly detects unauthorized changes. All information on it is usually stored cryptographically secure and accurate. Access is guaranteed by keys and cryptographic signatures. The blockchain, which bundles transactions into blocks that are connected to each other and then sends them to the nodes in the network, is probably the best known type of distributed ledger technology. The Bitcoin protocol is based on it.
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Double Spending

Double spending is a phenomen that, until Satoshi Nakamoto solved it, allows individuals holding cryptos to spend the same coin two times. If double spending had not been solved, the concept of using cryptos would have been invalidated.
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Double-spending Attack

A double-spending attack is an attack directly on a cryptocurrency system e.g. a 51% attack.
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Downtrend

A downtrend is a bearish trend. This means prices tend to become ever lower.
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Dump

A dump occurs, when an investor or a trader sells so much of a given coin that its price drops significantly. This can turn somebody, who holds onto this coin into a bagholder.
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E

Early Adopter

Early adopter is the term for a person who uses new technologies early on. If someone had an early interest in ether or bitcoin, that person was an early adopter in this case.
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Encryption

Encryption is the act of encoding a piece of information e.g. a message, into an “encrypted” form, where the message cannot easily be discerned by anyone but the authoring parties of the message.
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Enterprise Ethereum Alliance (EEA)

The EEA is an alliance of organizations intent upon creating standards that would facilitate the harmonization of Ethereum applications.
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EOS

EOS is a competitor of the Ethereum network. EOS offers free and fast transactions as well as smart contract functionality.
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ERC

ERC is an acronym for Ethereum
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ERC-1400

ERC-1400 is a suggested standard for security tokens in order for issuers, investors, KYC providers, digital wallets, crypto-exchanges, regulators and software developers to work together using a shared and identical framework.
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ERC-20 Token

The ERC-20 Token is a standard program code that is often used to create tokens within the Ethereum blockchain as part of a smart contract. It was also often used for ICOs. The tokens can then be used in all wallets as long as they are compatible with Ethereum. You only need Ethereum tokens to pay the transaction fees for sending the tokens.
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ERC-721

ERC-721 is a pseudo-standard for nonfungible tokens which comprises of a set of rules for non-fungible Ethereum tokens. The purpose of which is so developers are able to predict nature. of the functionlity of tokens within the Ethereum system.
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ETF

An ETF usually tracks a specific index 1:1 and therefore offers the investor the same risk/return profile as the underlying asset. ETFs are passive investments, with a low management fee and are traded without issue or redemption premium. In Switzerland, ETFs are subject to the Federal Act on Collective Investment Schemes.
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Ether

Ether is a cryptocurrency token that can be moved between accounts and can be utilized as a form of compensation for nodes on Ethereum when certain computer computations are undertaken.
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Ethereum

ETH is the ticker symbol of Ethereum. Ether is the second largest cryptoasset in terms of market capitalization. The founder of Ethereum is Vitalik Buterin. Ethereum is also the largest platform asset and most ICOs were launched on the Ethereum blockchain. In addition, many dApps and smart contracts are available, but must be written on the ETH blockchain in the Solidity programming language. Furthermore, the block time is faster than that of the bitcoin. The currency of the Ethereum blockchain is Ether. The Ethereum white paper was published in late 2013, and the project was officially announced at a Bitcoin conference in early 2014. Vitalik Buterin, co-founder of Ethereum, began designing the protocol due to some limitations in the Bitcoin protocol. Ethereum was officially launched in mid-2015 with the informally stated goal of supporting “unstoppable applications”. The Ethereum Foundation, established in 2014, is an Ethereum-focused non-profit organization dedicated to research, development of core protocols and growth of Ethereum ecosystems. The Ethereum Foundation managed the Ether Crowdsale in July 2014. The current Ethereum Blockchain (ETH) was separated from the original Ethereum Classic Blockchain (ETC) in a hard-fork on July 20, 2016. This “hard-fork” was initiated after an error in the Smart Contract of the Decentralized Autonomous Organization (DAO) of Ethereum, which resulted in 3.6 million ethers being stolen. Since then, both block chains have been continued under their respective names.
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Etherscan

Etherscan is an Ethereum Blockchain Explorer, a software that allows you to search the Ethereum blockchain for transactions.
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Exchange Traded Product (ETP)

Exchange Traded Products (ETPs) are types of securities that represent underlying assets, an index or other financial instruments. ETPs trade on traditional stock exchanges in the same way as shares. However, the prices of ETPs are derived from the underlying investments they represent. In Switzerland there are already issuers of ETPS tracking cryptoassets. The issuer of the ETPs ensures custody and pricing. ETPS listed on the SIX are secured, non-interest-bearing bearer bonds. They replicate the performance of an underlying asset on an unchanged or indebted basis. These financial products are not investment funds and are therefore not subject to the Swiss Federal Act on Collective Investment Schemes (CISA). In most cases, the collateral (securities or precious metals) is deposited with a third party.
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Exit Scam

An exit scam is a fraud that is completed when a fraudulent actor makes a subsequent “escape”. Such exit scams have increasingly occurred in the “ICO Hype” 2017. Investors are lured by profit expectations to contribute money to an ICO. Once the money has been collected, the founders of the project disappear and the investor is left with a worthless token.
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F

Faucet

Coins are issued free of charge via a crypto faucet. This happens until the faucet is completely empty. The prerequisite to use the Faucet is to solve easy tasks. (Example: Captcha). There are cryptocurrencies which are completely distributed over such captcha faucets.
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Fiat Ramp

A Fiat ramp is a gateway that allows users to make payments of fiat monies to a respective account. These Fiat monies can then be used to purchase crypto-assets.
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Fiatmoney

Fiat currencies are monies issued by the state, such as the euro, dollar or yen. The FIAT currency has no intrinsic value, it is not covered by a physical commodity such as gold or silver. However, it serves as a means of exchange and is prescribed as legal tender. Most modern paper currencies are fiat currencies, including the US dollar, the euro and other major global currencies. The word “fiat” comes from Latin and is often translated with the decree “it shall be” or “it shall be done”.
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Financial Inclusion

Financial inclusion is the process of making financial products and services affordable to lower-income households in a correct and transparent manner. The notion behind financial inclusion is to service demographics that are either completely or partially underbanked.
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Finney

Finney is a denomination of Ether and a popular measurement unit of Gas. 1 Ether = 1’000’000’000’000’000 Finney
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First-Mover Advantage (FMA)

A first-mover an advantage that a business can have by becoming the first significant player to enter a new market. This. advantage generally results in higher revenues and profits in relation to businesses entering the market at a later stage.
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Flappening

The Flappening is a term referring to an event when Litecoin regains its leadership over Bitcoin Cash in terms of market capitalization.
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Flash crash

A flash crash is a very sharp drop in price that only lasts for a few minutes and then returns to the previous price level. Such flash crashes are usually triggered by trading algorithms within a few milliseconds.
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Flippening

If a coin overtakes another coin in its market capitalization, this is called flippening. If one coin flips Bitcoin itself at some point, it is called “The flippening”.
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Fluffypony

The famous Monero developer Riccardo Spagni carries the name Fluffyponny as a synonym.
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FOMO

FOMO is the abbreviation for Fear of missing out, the fear of missing something, especially huge price spikes in Bitcoin or other cryptocurrencies.
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Fork

In a fork, a new version splits off from the existing blockchain in order to function as a separate network from now on. Often a blockchain is “forked” when new consensus rules are to be implemented via a change in the source code. Either because of an error in the programming code or because an update is considered necessary. A further distinction is made between “Hardfork” and “Softfork”. In a hardfork, the newly created blockchain is operated independently of the original blockchain. Bitcoin Cash (BCH) is a prominent example of a hardfork. In a softfork, the new blockchain is accepted by the majority of miners and users as the new blockchain. The old blockchain is no longer maintained. This variant is often used for “updates” of the code.
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Forking

Forking is the process of creating two different strands of code, which lead to a fork or a forking on the original code.
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FUD

FUD consists of three building blocks: fear, uncertainty and doubt. If people or investors suspect that a project is not legitimate, it can often happen that they sell their coins as a result. The initiators behind the spread of the whole thing are called FUDster. FUD often turns out to be placed Fakenews.
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Fullnode

A fullnode is a node that has downloaded and checks the whole blockchain for its integrity.
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Fungibility

Fungibility is the peculiarity that coins cannot be assigned to a previous owner and are therefore easily interchangeable; this is the case with Monero, for example.
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G

Galactic Credits

Galactic Credits (aka “credits”) are non-fungible tokens that are spendable in the MachinaTrader ecosystem (only). Read about Galactic Credits in the Knowledge Base.
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Gas

To send tokens on the Ethereum or NEO platforms, you need gas. It’s a form of transaction fee you need to initiate smart contracts. Before each transaction you have to decide for a gas limit, the more complicated the calculation is, the higher the required gas limit. Note: The transaction is not faster.
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Gas Limit

A Gas limit is the maximum amount of Gas an individual user is ready to spend on the Ethereum network for a particular transaction.
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Gas Price

The Gas price is the price of a Gas unit denominated in Ether on the Ethereum network.
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Genesis Block/Account

A Genesis block is the first block of a blockchain. The accounts of the first owners of a coin are also called Genesis accounts.
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Git

Git was developed by Linus Torvalds and is an open source version control. Git chronologically notes. changes that have been to a given file or a budle of files in order for developers to recall earlier versions of the code.
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Github

Github allows you to upload computer code to a website and work together on it.
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GPU

GPU is the abbreviation for Graphics processing unit and is a hardware part in a normal computer. GPUs are more powerful than CPUs and are therefore occasionally used for mining, primarily for coins that are ASIC-resistant; for exmaple Monero.
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Gwei

1 Gwei denotes 0.000 000 001 Ether. The gas price is paid in Gwei and if it is increased, the speed of an Ethereum transaction increases.
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H

Halving (Bitcoin)

The Bitcoin Blockreward is halved every 4 years, which leads to lower inflation. In May 2020 the time has come again. The fee miners receive to secure the network in the form of newly created Bitcoins is halved to 6.25 Bitcoin per block. This is laid down in the Bitcoin protocol. This fee is halved every 4 years, hence the term “halving” (sometimes also the term “halvening is used). Thus the number of newly created Bitcoins is reduced until the maximum amount of 21 million Bitcoins has been reached in 2140 and no more Bitcoins are created. The Bitcoin is a limited digital good, similar to silver or gold. See our article (Bitcoin, a currency with clear rules). When Bitcoin was launched in 2009, the initial reward for mining was 50 BTC. In November 2012 it was 25 BTC and by July 2016 it was 12.5 BTC. As with other types of assets, the Bitcoin price depends on supply and demand. Due to “halving”, fewer Bitcoins come into circulation and supply becomes scarcer. The issuing speed and the inflation rate, respectively, are increasingly reduced. In the medium term, this fact should basically have a positive effect on price.
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Hardcap

The volume of the maximum number of coins that an ICO will create or sell is called a hardcap. Once the hardcap has been reached, no further tokens can be created to be offered through the ICO. The hardcap at Bitcion is accordingly 21 million BTC.
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Hardfork

A hardfork is a permanent deviation from the previous version of the blockchain. Nodes that run on earlier versions will no longer be accepted by the latest version. This essentially creates a fork in the blockchain: one path follows the new, updated blockchain, the other path follows the old blockchain. For example, a hardfork can be implemented to correct important security risks found in older versions of the software, add new features, or reverse transactions. A prominent example of this is the Ethereum hardfork which was performed due to the “DAO Hack”.
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Hardware Wallet

A hardware wallet generates private keys offline. Since the wallet is not connected to the Internet, the storage is one of the most secure. In contrast to paper wallets, these can easily be used in everyday life.
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Hash (rate)

The hash(rate) is a mathematical function.
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Hash Function

A hash function is a one-way algorithm used to map data of an arbitrary size onto data of a fixed size.
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Hashed

Hashed is an element of a data set that has been transformed using a hash function.
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Hashgraph

Hashgraph is a distributed ledger technology that functions as an alternative to blockchain. Hashgraph can perform superior to blockchain. by utilizing a mechanism for deriving a consensus based on a system of virtual voting algorithm coupled with a gossip protocol.
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High Frequency Trading

HFT is a form of trading using sophisticated systems to transact a large number of orders at extremely high speeds.
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HODL (Hodler)

Hodl (often written as HODL) is a slang term in the cryptocurrency community. The term refers to the circumstance of keeping a crypto currency for a long time instead of selling it. The meme was created by a Reddit contributor in December 2013. One user expressed his frustration about the then current Bitcoin price decline in a post. In this context, he wrote that he would not sell the Bitcoins anyway and would continue to hold them. Instead of hold the user wrote hodl and so the whole internet meme started. From this is derived that someone, who keeps his cryptocurrencies for a long time, is called “HODLER”.

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Hotwallet

A hotwallet is in contrast to a coldwallet a wallet which can be used for everyday use. The Private Keys are not permanently separated from the Internet.
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Howey Test

The “Howey Test” refers to a 1946 case involving the sale of shares in a citrus grove, which the SEC is now using as a precedent to determine whether a digital currency behaves like a security. The SEC thus distinguishes between utility and security tokens. The latter are regarded as securities and are therefore automatically subject to the legislation governing the distribution of securities.
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Huobi

Huobi is one of the largest crypto exchanges.
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Hyperleder Fabric

Hyperledger Fabric is an open source modular platform basedo n blockchain technology designed for business use.
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I

ICO Advisor

An ICO Advisor is an individual who’se job is to advise a coin-based project during the various stages that contitute an ICO. This includes advice on legal matters, business operations, tokenomics, marketing and technology.
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Immutability

Immutability becomes a feature of data when it is stored on the blockchain. As a result of this immutability, the blockchain contains a record of transactions that permanent and inerasable. However,particular events such as a 51% attack can pose a threat to immutability.
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Incubator

An incubator is an organization that accelerates the development of new and > startup companies by providing entrepreneurs with an array of targeted resources and services such as office infrastructure and management training. Through their network of contacts incubators often provide new paths to funding from > Angel Investors, > venture capital firms and other investors. The services provided by incubators are usually developed and orchestrated by the incubator management.
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Initial Coin Offering (ICO)

An ICO is an initial coin offering. It is considered to be a cryptoequivalent to an IPO. Instead of shares in a company, ICO coins get issued for investors.
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Initial exchange offering (IEO)

An initial exchange offering (IEO) – or ICO as a service (IaaS) – is a process in which > cryptocurrencies are sold via a > crypto exchange: The exchange takes the position of the issuing project in the offering process and after the project has provided the newly mined cryptocurrencies to the exchange, the exchange collects funds (e.g. > Ether , > Bitcoin, > Fiat money etc.) from contributors and allots the newly mined > coins or > tokens to the contributors.
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Initial Public Offering (IPO)

IPO is the abbreviation for Initial Public Offering. This was seen as the traditional equivalent of an ICO. In an IPO, the investor does not receive any coins, but shares in the company. IPOs are strongly regulated and only a few people have sufficient financial means to participate.
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Initial Token Offering (ITO)

An Initial Token Offering is highly similar to an ICO. However, an ITO usually is subject to projects built on the Ethereum blockchain.
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Institutional Money

The money of industrial investors, i.e. banks, companies or investment funds, is called institutional money.
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Interoperability

If different functions can be executed across different blockchains, this capability is called interoperability.
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IOTA

The name IOTA derives from IOT. The asset wants to penetrate the Internet of Things. However, the technology is not based on the blockchain, but on a tangle.
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J

John McAfee

John McAfee advertises cryptocurrencies quite regularly and is one of its biggest known shills. His investment tips are highly questionable and should be taken with caution. Edit: John is cool, however, we personally like not to use guns while talking about crypto.
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K

Know Your Customer (KYC)

Know your customer is a legitimacy check of certain new customers for the prevention of money laundering, which is especially prescribed for credit institutions, insurance companies or crypto exchanges. Minimum international standards for the identification of new customers have been created with the aim of combating money laundering, criminal activities, economic crime and terrorism. These rules are intended to prevent money from being moved back and forth, for example via dummy companies. With the KYC, it is therefore necessary to check who the customer is, what the business model looks like and where the financial flows come from before opening an account for new customers.
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Konsens

Konsens is the German word for consensus. If different parties agree on the current status of the transaction sequence, this is referred to as having a consensus/Konsens
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Kraken

Kraken is a cryptocurrency exchange that allows trading crypto with fiat money.
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Kryptowährung/Crypto currency

Cryptocurrency is a collective term for every project that uses coins or tokens and uses cryptography for security reasons.
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L

Ledger (Wallet)

Ledger is the company that manufactures hardware wallets like the Ledger Nano S. This is used to store coins.
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Ledger Nano

The Ledger Nano is a popular USB device that can store your Coins safely.
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Libra

Libra is a digital currency proposed by the American social media company Facebook. The project, currency and transaction processing will be entrusted to the Libra Association, an organization founded by Facebook subsidiary Calibra and various other payment, technology, telecommunications, online marketplace, venture capital and non-profit organizations. The currency and the network do not yet exist. The launch is scheduled for 2020.
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Lightning Network

The Lightning Network is an “off-chain” or “second layer” scaling solution for cryptocurrencies. The most prominent project is the Bitcoin Lightning Network, with which transactions are possible within seconds using “Lightning Nodes”. The Bitcoin Lightning Network is currently still in a very early stage.
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Lightweight Node

A Lightweight Node is an element of a network built on distributed ledger technolgoy that allows simple and limited functions that contribute to the authentification and validation on the network.
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Liquidity

The more liquid a market is, the less effect a purchase or sale has on the price. Normally, a high trading volume also leads to high liquidity. The liquidity of an asset also says something about how easily the asset can be sold on the open market.
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Litecoin

Litecoin is a > blockchain based > cryptocurrency following the > P2P principle and resulting from an opensource software project that was published on Gibthub in 2011. The intervals between > mining > blocks is shorter than with > Bitcoin and due to the usage of different > algorithms > FPGA and > ASIC devices are harder to deploy for Litecoin mining than for Bitcoin mining.
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Long position

A long position generates profit when the market price increases.
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Lykke

The Lykke exchange is a semi-decentralized exchange for cryptocurrencies and fiat. The company’s subsidiaries, which are licensed as financial companies, provide broker and trading services for clients. All possible asset pair types are tradable: fiat fx to fiat fx, fiat fx to crypto, and crypto to crypto. Lykke, as a company, provides liquidity, issuance services, and consulting. The commissions and fees for Lykke are essentially zero.
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M

Machine Learning

Machine learning (ML) is the scientific study of algorithms and statistical models that computer systems use to perform a specific task without using explicit instructions, relying on patterns and inference instead. It is seen as a subset of artificial intelligence. Machine learning algorithms build a mathematical model based on sample data, known as “training data“, in order to make predictions or decisions without being explicitly programmed to perform the task.[1][2]:2 Machine learning algorithms are used in a wide variety of applications, such as email filtering and computer vision, where it is difficult or infeasible to develop a conventional algorithm for effectively performing the task. Machine learning is closely related to computational statistics, which focuses on making predictions using computers. The study of mathematical optimization delivers methods, theory and application domains to the field of machine learning. Data mining is a field of study within machine learning, and focuses on exploratory data analysis through unsupervised learning.[3][4] In its application across business problems, machine learning is also referred to as predictive analytics. Read more: https://en.wikipedia.org/wiki/Machine_learning
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Mainnnet

A Mainnet is the network, which is mostly used once a project has proved itself on a test network.
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Market capitalization

The market capitalization is defined by the current price multiplied by all tokens.
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Masternode

Masternodes are a type of full nodes. They usually have more functions, but usually you have to fulfill certain conditions to run a master node. In addition, not every cryptocurrency has a master node. One that does have masternodes is Dash for example.
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Mempool

Mempool is the abbreviation of Memory Pool, which contains a list of all Blockchain transactions that have been sent to the network but are not contained in any block yet.
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Merkle Tree

A Merkle Tree is a computer science concept that is used in some cryptocurrencies. The root is also called Merkle root or top hash.
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Metamask

Metamask is a browser extension that can be used as an Ethereum Wallet. In addition, you can easily interact with Smart Contracts within the browser.
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Mineable

A coin that is distributed or secured by mining is called a mineable.
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Miner

A miner can be a person that engages in the activity of mining crypto currency coins. OR it can also be a computer that is configured to mine crypto currency.
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Mini Futures

Mini futures belong to the category of leverage products, which also includes warrants. While warrants are influenced by many factors, mini futures are more transparent and independent of volatility and time value. With these products, the performance of the underlying asset can be speculated with leverage and without maturity restrictions. The leverage changes with every movement of the underlying. In the case of mini futures, the investor buys a participation in the underlying asset, whereby he only has to finance a small portion. The remainder, the financing level, is paid by the issuer. The bank charges interest on the debt capital made available. The products have no expiry date, but are equipped with a security barrier, the stop-loss mark. When it is reached, the issuer smoothes out the instrument and pays a balance. This amount can be zero in the worst case. The barrier thus ensures that the maximum loss is limited to the price paid for the mini futures. These leverage products are not only offered on equities, but also on commodities, currencies, indices and various cryptocurrencies. Investors thus have a broad field in which to place leveraged products on different markets depending on their risk appetite.
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Minimum Viable Product (MVP)

A minimum viable product is a very early version of a given product, which only has sufficient features to satisfy and entice the earliest of adopters. A MVP also allows the product developer to collect feedback for future developments on the product.
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Mining (Pool)

Mining is a process in which transactions for various forms of cryptocurrencies are added to the digital blockchain ledger. A miner conducting the mining process competes with other crypto miners that have complicated mathematical tasks to solve using cryptographic hash functions associated with a block of transaction data. The first miner who solves the task is rewarded by being able to authorize the transaction. In return for the service (electricity) provided, he receives a share of the respective cryptocurrency. In order to compete with other crypto miners, a computer with special hardware is required (see also -> Asic). Theoretically everyone can become a miner, but for most it is not worth it, because the financial expenditure in the form of electricity and hardware is high. Therefore many so-called “Mining Pools” have emerged. There the billing services of the participants are bundled and the wages for the mining are shared.
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Mining Fee

The Mining Fee is a transaction fee that is paid to miners.
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Mining Rig

A mining rig is a computer system speficially designed to carry out mining operations, thus is primarily used with ASIC technology.
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Monero

Monero is a cryptocurrency makes anonymous transactions possible.
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Money Laundering

Money laundering is the process of the conversion of criminal money in seemingly “legitimate” assets.
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Mooning

Mooning is the process of a > token or > coin undergoing an extreme price hike, it’s “going to the moon”. The price goes up to astronomical levels. It may be the first phase of a > pump and dump scheme.
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MT

MT is short for MachinaTrader, the coolest trading platform in the known universe.
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Multichain

A multichain is a platform that connects a variety of blockchain technologies. Thus, it allows for differing distributed ledger technologies to become compatible. i
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Multisignature

A Multisignature Wallet is based on several Private Keys. A single Private Key is not sufficient to send or sign a transaction from such a wallet.
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MW

MW is short for MachinaWare, the home of MachinaTrader and the name of a selection of some of the coolest dudes on the planet.
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Myetherwallet

Myetherwallet is a popular website, which offers a connection to the Ethereum Blockchain. You can create a private key online and use the website’s interface to enter your created wallet. The site also supports ERC20 and is one of the most popular Ethereum Wallets.
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N

Nano (Ledger)

Nano is the name of a cryptocurrency that enables free, fast and environmentally friendly transactions. The Nano Ledger is a hardware wallet.
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Non-Fungible

Non-fungible is a quality of an asset which symbolizes that the given asset can no longer be exchanged for another asset of a similar or identical asset class without any significant loss occuring to the owner of the asset. In order for a token to have a non-fungible quality, the token must hold some unique information.
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Non-Fungible Token

An NFT is a > non-fungible > token, i.e. a token that bears some unique information; NFTs are therefore oftentimes considered collectable tokens
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O

Offchain

Offchain is the name given to all transactions that are not stored in the blockchain.
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Onboarding (Client Onboarding)

Onboarding is the act of of including a new and additional client to an already existing client-base of an organization. Onboarding involves assisting the new clients to familarize themselves with the products, services and processes on offer. In the case of financial services, onboarding often is subject to AML as well as KYC procedures.
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Onchain

Every transaction written to the blockchain is called onchain.
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Open API

An open API is a publicly available > API that provides third-party developers with the necessary information to access a proprietary system in order to build applications communicating with this system.
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Open Source

Open source is a principle subject to opennes in which the source code of software is made available to everyone and for any purspose e.g. modifications, inspections and distributions by the copyright holder.
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Over the Counter (OTC)

OTC stands for “Over the Counter”. If a large amount of coins is sold or bought outside of an exchange, it is called over the counter. If you want to trade a large number of coins in the absence of liquidity, this can be the best method. Also the price usually does not change with this kind of deal.
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P

P2P

P2P is a quality of a decentralised system detailing the notion that all participats within the system are on equal footing and subject to equal priviledge. In relation to blockchain, P2P describes a network where all participants are equipotent nodes.
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Paper Wallet

A paper wallet is a piece of paper on which the private key or seed words are written. Paper wallets are incredibly safe, but very unsuitable for everyday use. Paperwallets are classified as cold wallets.
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Parachain (Parallelizable Chain)

A parachain is a simpler form of > blockchain, which builds on the security features provided by a > relay chain rather than providing its own. One key feature of a parachain is that the computations it performs is inherently independent of the relay chain.
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Payment Gateway

A payment gateway is a merchant service that authorizes payment processing (credit card, debit card, Paypal, > cryptocurrencies etc.) for retailers of any kind, e.g. online businesses, physical stores, restaurants etc.
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Plasma

Plasma is a combination of different methods to make the > blockchain more scalable.
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Plug-In

In computing, a plug-in (or pluginadd-inaddinadd-on, or addon) is a software component that adds a specific feature to an existing computer program. When a program supports plug-ins, it enables customization. Read more: https://en.wikipedia.org/wiki/Plug-in_(computing)
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Poloniex

Poloniex is one of the larger American cryptocurrency-to-cryptocurrency trading platforms. It was launched in January 2014. According to CryptoCompare, which among other things publishes a ranking of cryptocurrency trading platforms, Poloniex earned a score of AA for trading platform quality, placing it second among the 211 platforms it reviewed worldwide in June 2019.[1]
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Ponzi Scheme

A Ponzi Scheme is a scam in which victims are persuaded to invest in ICOs, “cryptocurrencies” or companies when they are not conducting legitimate business, but are only making profits by finding new lenders or, in this case, victims of fraud. The system is based on exponential growth and can only implode over time, once no new investors are found. Initial investors are then left broke.
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Premine

A premine is when a developer sends a certain number of coins to his own address before official launching the blockchain to the public. This can be seen as fraud, but also as a means to pay or refinance the development or the listing.
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Privacy Coin

The category “Privacy Coins” includes cryptocurrencies that hide data about their users. “Privacy coins are characterized by the fact that they hide the sender’s address, the recipient’s address and the transaction amount during the execution of each transaction. This is done by implementing a number of complicated cryptographic techniques in the respective protocols.
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Private Key

A private key is a complex form of cryptography that allows a user to access a cryptocurrency. A private key is an integral part of cryptocurrencies. When dealing with cryptocurrencies, a user usually receives a public address and a private key for sending and receiving coins or tokens. The private key consists of an alphanumeric character string. In order to sign transactions and thus also to carry them out, one must be in possession of the corresponding private key. The owner of the private key has control over the corresponding coins and can freely dispose of them. If the private key is lost, the coins can no longer be accessed.
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Private Sale

Private sale is a sales process where tokens or cryptocurrencies are tendered towards specific group of investors, as opposed to being sold to the populous.
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Proof of Burn (POB)

Proof of burn is a method used in the context of > coin burn to proof that a specific number of coins or tokens were irrevocably burnt by sending them to an address from which they cannot be retrieved.
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Proof of Concept (POC)

In project management a PoC is a significant accomplishment which demonstrates that the realization of a certain method, concept or idea is feasible.
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Proof of Keys (POK)

The proof of keys is a movement calling for investors to remove all their coins and tokens from a third-party e.g. crypto-exchanges, banks and other third-party service providers at a specific date. The event aims to push service providers to provide evidence that they hold the crypto funds that they claim to store for the client and as a result, have access to the users’ private keys.
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Proof of Stake (POS)

Behind a proof-of-stake (POS) is a consensus algorithm. The amount of coins you have is directly related to the fact that you are allowed to publish a block. In contrast to proof-of-work, this method itself is environmentally friendly and there is no mining. Instead there is staking which means that one is staking one’s own coins in order to vouch for the correct blockchain. Stakes are delegated to validators that create blocks. If one stakes coins to a malicious validator, a staker can lose all of part of his staked coins.
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Proof of Work (POW)

Proof of Work is a consensus algorithm to reach a global consensus. The algorithm is used by Bitcoin and some other currencies. In contrast to the Proof-of-Stake approach miners calculate hashes using a lot of energy.
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PSD2

PSD2 is the second Payment Services Directive, set forth by the European Union. PSD2 aims to improve protection for consumers who use online payments and to ensure cross-border payments are more secure.
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PSP

A PSP is a firm that offers other business services for accepting > electronic payments and thus establishes a connection between shops and financial institutions such as banks and credit card firms, but also > cryptocurrency > payment gateways.
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Public Key

A public key is the opposite of a private key, because it can be shared publicly without any problems. Transactions are often sent to the public key, you just have to keep in mind never to confuse private & public key with each other. The public key is basically like the address of a mailbox, but you can open it with the private key.
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Pump

In the case of a pump, some whales drive up a low capitalized or low liquid coin immensely within a short period of time. Because of high demand the price rises for a short period of time.  
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Pump and Dump (PND)

Pump and Dump is a scam, which consists of Pump (price driven up by high demand for low liquid coins) and Dump (price collapses again as demand vanishes). As soon as the price rise starts, uninitiated investors start to invest in the coin. The inaugurated investors now start selling off their previously bought coins. This now leads to a price drop, the informed investors have sold at a good price and the uninformed ones lose large sums or even the entire investment in the worst case.
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R

Race Attack

A race attack is a particular form of attack subject to double-spending, by exploiting information asymmetries. The attacker (payer) launches the attack by supplying a payment transaction to a victim ( the vendor) as we as the network in which the attack is being orchestrated. If the victim is unfortunate enough to realise the attack before the network rejects the malicious transaction as a double-spend, the victim will likely not receive any form of payment.
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Reddit

Reddit is an American social media platform that provides some very popular discussion forums and also acts as a news aggregator.
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RegTech

RegTech is a new domain within the financial industry that aims to utilize technolgy to make regulatory processes more efficient.
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Regulatory Sandbox

A regulatory sandbox is a supervised space that is open to both authorized and unauthorized companies. The space provides a set of regulations that facilitate innovators to trial their products in an environment void of some or all legal restrictions.
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Rekt

When there is nothing left of an investment and all money has (almost) disappeared, this state is called a rect (-> destroyed).
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Relay Chain

The relay chain is a > blockchain that lends security to attached > parachains and ensures secure message-passing between them.
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Retail Dump

Venture capitalists and other accredited investors invest into a project beforehand. Once the project hits the market and public investors start to invest, the intitial investors dump their coins onto the market causing the price to collapse.
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Return on Investment (ROI)

The profit calculation in percent is indicated as ROI and measures the profit in relation to the initial investment.
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Reverse Convertible

Reverse convertibles are among the most popular products in this country (WHICH COUNTRY?). They are often used in the category “yield optimization”. Investors expect the market to trend sideways or rise slightly. Reverse convertibles contain a coupon which corresponds to the maximum yield. If the Underlying closes below the Exercise Price on the Maturity Date, the Investor receives the Denomination proportionally reduced to the negative price performance. If it closes above this level, the investor receives the nominal value. In any case, the coupon is paid out at the end of the term.
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Rewards System

The MachinaTrader Rewards system allows users to earn various spendable and non-spendable tokens on the platform. The tokens are: Galactic Credits, Roids and Wizdom. Another reward that is publicly visible is the Badge – earned through accumulating Roids and Wizdom through specific activities and and achievements. Read more about the Rewards System in the Knowledge Base.
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Ripple

Ripple is the currency of the network also called Ripple. In terms of market capitalization, Ripple is one of the most important cryptos.
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Roadmap

A roadmap is a plan that defines goals and specifies an exact sequence for them.
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Roger Ver

Roger Ver is CEO of Bitcoin.com, co-founder of the Bitcoin Foundation and a strong supporter of Bitcoin Cash.
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Roids

Roids are non-fungible, non-spendable tokens that can be collected. Roids are awarded each time you earn a badge or upgrade an existing badge. Read about Roids in the Knowledge Base.
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S

Satoshi (Sat’s)

1 Satoshi = 0 .00000001 BTC
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Satoshi Lite

Satoshi Lite is the nickname of Litecoin founder Charlie Lee.
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Satoshi Nakamoto

Under the pseudonym Satoshi Nakamoto the Bitcoin White Paper was published in October 2008 and the first version of the reference implementation Bitcoin Core was published in January 2009. Which person or group of persons hides behind this pseudonym is still unknown today. Since the appearance of the name in 2008, several people have been mistaken for Nakamoto or have claimed his identity. However, no one has been able to prove this so far. No personal data is known about Satoshi Nakamoto. Satoshi appeared in virtual space under his pseudonym. He then created the Bitcointalk forum and published the first message under the pseudonym satoshi. He also created a website with the domain name bitcoin.org and continued working on the Bitcoin software. On January 3, 2009, Satoshi promoted the first Bitcoin block, the so-called “Genesis block”. The first Bitcoin block contains a headline from the British magazine “Times” of the same day: “Chancellor on brink of second bailout for banks”. On 12 January 2009, the first transfer via the Bitcoin network was completed. It was the first transaction with Bitcoin between two computers. Hal Finney, a developer and cryptographic activist, received 10 Bitcoins from Satoshi Nakamoto. Some observers consider it possible that Hal himself was Satoshi Nakomoto. Hal died in 2014 from an illness. During 2010, Satoshi Nakamoto worked with other developers to modify the Bitcoin protocol. He was involved in the Bitcoin community and corresponded frequently with them. He then handed over the keys and codes to Gavin Andresen and transferred domains to members of the community. By the end of 2010, he had stopped working on the project. On his P2P Foundation profile, Nakamoto is recorded as a man of Japanese descent born in 1975. However, due to the perfect English used in notes and messages around the Bitcoin software and the time of day of Satoshi’s activities, this is doubtful.
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Scaling

Many cryptocurrencies have problems to execute many transactions within a short time and keep them cheap as well. This should be solved as intelligently as possible, which is why there are many scaling solutions, first as well as second-layer solutions.
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Scam

The English translation for fraud or rip-off, which was unfortunately true for many ICOs.
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SEC

SEC is the abbreviation for the Securities and Exchange Commission. It is an American (stock exchange supervisory) authority which, among other things, ensures that investors are protected against potential fraud.
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Security Token

A security token is an investment mechanism that shares identical characteristics of a traditional security, i.e. the security token is purchases in the anticipation of future profits in the form of dividends, revenue share or price appreciation.
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Security Token Offering (STO)

An STO is an event at which a > security token is offered at a set price before being offered on an exchange, similarly to an > IPO in traditional finance; discounts may apply at this time; STOs are subject to country-specific regulations.
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Seed ( words,phrase, backup, recovery)

A seed phrase, seed recovery phrase, or backup seed phrase is a list of words containing all the information needed to restore a wallet. The wallet software usually generates a seed phrase and instructs the user to write it down on paper. If the computer or mobile phone on which the wallet software was stored is no longer accessible, the same or compatible wallet software can be downloaded and wicht the seed phrase the cryptoassets can be restored again.
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Segregated Witness (Segwit)

Segregated Witness, or also SegWit, is an update of the Bitcoin network, which provides more space in blocks and thus simplifies the compatibility between Bitcoin and Lightning Network.
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Sell Wall

If many sales orders are placed at a certain price, this is referred to as a sales wall.
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SHA-256

SHA-256 is the hash function used in Bitcoin, which encrypts wallet names among other things.
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Sharding

If a chain is divided into several separate shards, this is called sharding.
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Shill

A Shill is a person who advertises (pays for) a crypto currency. The goal of such a Shill is to trigger FOMO.
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Shitcoin

The useless coins are colloquially called shitcoins, Bitcoin enthusiasts often call all other coins, except Bitcoins, shitcoins.
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Short position

If a position is short, it generates a profit when price declines.
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Short Squeeze

If there is a rapid increase in a price due to a lack of supply and excess demand, this is referred to as a short squeeze. This is caused by people who have an open short and are forced to buy back their coins in order to minimize their own losses. This makes the price go higher and higher.
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Sidechain

A sidechain is connected to a mainchain, but still a separate blockchain variant.
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Simple Agreement for Future Tokens (SAFT)

The SAFT is an agreement which conveys rights for tokens before the development of the tokens functionality. SAFT ensures that the delivery of the tokens to a given investor, once the functioning application of the token is fully developed.
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Smart Contract

A Smart Contract is computer code designed to facilitate, verify or enforce digitally the negotiation or performance of a contract. Smart Contracts enable the execution of credible transactions without third parties. These transactions are traceable and irrevocable. Different cryptocurrencies have implemented types of Smart Contracts. At the end, smart contracts are just an “if-then”-statment. Smart contracts enable trustworthy transactions and agreements between different anonymous parties to be carried out without the need for a central authority, a legal system or an external enforcement mechanism.
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Softcap

The minimum that an ICO wishes to collect in capital is also called a soft cap.
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Softfork

If the rules of a blockchain changes its backwards-compatibility, this is called a softfork. No new blockchain is created because all the miners follow the upgrade.
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Softwallet

A software wallet is a digital wallet that exists as an application on a computer and usually utilizes hot storage technolgy.
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Solidity

Solidity is used to write Smart Contracts, so it is also called a contract-oriented programming language.
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Spooning

If a token is copied to another blockchain, this is called spooning.
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Spread

The difference between supply and demand price is called the spread.
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Stable Coin

A cryptocurrency which is deposited with a collateral and therefore should have less volatile properties than conventional cryptocurrencies. They aspire towards a stable price. Many stablecoins are linked 1:1 with certain fiat currencies, such as the US dollar or the euro. They can be traded on cryptoexchanges, often as a currency pair against the largest cryptocurrencies. Stablecoins can also be linked to other types of assets, such as precious metals or other cryptocurrencies. There are also projects that use a basket of assets as a price base. Facebooks Libra should have these features. Stablecoins show a low volatility, but have an additional counterparty risk compared to pure cryptocurrencies.
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Staking

Staking, unlike mining, is a process that is applied to cryptocurrencies whose blockchain operates according to the Proof of Stake protocol. Staking is the process of holding tokens, for example in a cryptocurrency wallet, to support the operations of a blockchain network. It is used in many blockchains based on PoS or one of its other variants. Cryptocurrencies that are staked are locked and cannot be used for transactions unless they are unstaked.
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State Channels

State channels are considered secure transactions amongst distributed ledger technology users that do not occur on the blockchain. As a result, these channels reduce the use of on-chain activities. State channels are used on the Raiden Network or Lightning Network.
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Supply

Corresponds to the supply, i.e. the number of coins circulating on the market.
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Szabo

Szabo is a denomination of > Ether and a popular measurement unit of > Gas. 1 Ether = 1000000000000 Szabo.
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T

Taker Fee

Taker fees are charges that occur when a market participant makes a market limited order that is executed immediately against a limit order that already exists on an orderbook. This occurs becase the action removes liquidity from the market. On cryptocurrency exchanges, the taker fee is often found to be higher than the opposing maker fee.
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Tangle

The technology used by IOTA as an alternative to the blockchain is called Tangle.
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Technical Analysis

Technical analysis is an observation of historical price movements of an asset. These observations are used to discuss possible future forecasts. Technical analysis is a frequently used instrument when trading a wide variety of assets. This tool is particularly popular when trading cryptocurrencies, as pricing is based exclusively on the supply and demand of market participants and the market behavior seems to be very technical and self-fullfilling. As different as the approaches to analyze a price development may be, there are a few common denominators: Principles of Technical Analysis The only basis for decision-making is the price trend. This reflects historical investor behavior. It reflects moods and decisions, rational and irrational decisions. A forecast is created from historically recurring patterns. The current price is the equilibrium between supply and demand of all market participants. An important factor that reflects all opinions and decisions. The Technical Analysis deals exclusively with price developments. Fundamental data do not play a role. Nevertheless or precisely because of this, the technical analysis of prices is not an exact science. Due to the mass of indicators and formations and their correlations, price charts can be interpreted in many ways. Even the selected time interval can provide different results on the possible future price trend. Price movements are not purely random. Trends emerge. It is preferably traded with the trend (trend is your friend). The chances are better to earn money with the trend than against a dominant trend. The trading volume confirms, confirms a trend. Technical analysis only works with active trading activity, i.e. with meaningful price movements. Technical analysis does not predict the future The approaches of technical analysis and its interpretations are diverse and extensive. There is a huge selection of approaches and approaches. One should therefore not strictly cramm the approaches, but personally find out the best approach for oneself. An introduction to technical analysis can be found here. Rules that you should follow when trading can be found here.
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Telegram

Telegram is a messenger app similar to Whatsapp, which is very popular in the crypto currency world.
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Testnet

New functions for the Mainnet can be tested in a test net, where the tests take place in a safe environment.
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Tether

Tether is a crypto currency that tries to represent the value of the US dollar. Tether is probably the best known stable coin.
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This is it, gentleman

This is it, gentlemen” is term used to describe positive things that are occuring at present. erm used to describe positive things that are occuring at present.
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Tickersymbol

Ticker symbols are usually three-digit abbreviations within the Exchanges which are to represent the name of the respective currency. Well-known examples are BTC, ETH, XRP, LTC…
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Timestamp

A timestamp is a piece of information that identifies the time at which a given event is electronically recorded. On the blockchain, timestamps indicate the chrinological order of the blocks, marking the exact time in which a given transaction has occured. Effectively, a timestamp can prove that and when a transaction has occured.
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Timestamping

Timestamping is the act of proving that, at a spefic point in time, an event has occured. On the blockchain timestamping offers a particularly trustworthy and transparent way of knowing when a new block has been added to the chain. Timestamps also have an immutability quality.
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Token

Token are mostly Smart Contract generated coins which do not have their own blockchain.
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Token Basket

A token basket is a collection of that have been created and bundles together via a smart contract on the Ethereum network. Token baskets facilitate the investing in a collection of digital assets as opposed to investing in single assets.
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Token Contract

A token contract is a smart contract on the Ethereum network.
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Token Gravity

Token gravity is a concept that details how tokens can be expected to movie within a given digital ecosystem.
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Tokenisation

Various digital currencies are based on blockchain technology. It enables transparent and unchangeable accounting (engl.=ledger) of property and transfer of tokens or crypto currencies. These tokens can also be used to represent ownership of objects and possessions in the real world. For this purpose, a central office (e.g. an institution in the form of a trustee or auditor) can connect the tokens of the block chain with the objects in the real world. After careful examination of the origin, the condition and other important elements such as insurance, an independent evaluation of the object is carried out. As soon as everything turns out to be satisfactory, the values can be represented on the blockchain via the tokens. On trading platforms, these tokens can be traded and thus access to a fractional ownership of the tokenized object is guaranteed. Tokenization has the potential to revolutionize the real economy. Thus, the blockchain can improve the liquidity and transparency of large value properties, such as first-class real estate or famous works of art. The owner of these properties can raise funds by partially tokenizing their assets. Tokenization democratizes access to investment opportunities traditionally reserved for wealthy investors. In this way, token owners can own a fraction of an asset. The possibilities are practically unlimited. In addition to securities, illiquid assets can also be tokenized. In many places there are still no clear legal requirements to bring traditional financial instruments to the blockchain. The “crowdsales” of tokens (ICO’s), with which risk capital was raised, are currently being replaced by security token offerings in Switzerland and Germany. A solution that already takes investor protection, prospectus requirements and other regulatory requirements into account. Example tokenization of future professional sports income A recent Forbes report shows the almost unlimited possibilities of tokenization. The NBA player Spencer Dinwiddie of the Brooklyn Nets has tokenized 40% of his three-year NBA contract, which is endowed with 34.4 million USD. The ERC20 investment token “$SD8” (its initials and shirt number) is issued by Spencer’s company DREAM Fan Shares. But his future plans are much bigger than just tokenizing his contract. His vision is to create a platform on which other professional athletes can tokenize their contracts. The ERC20 token will be issued under Reg D, which means that it will only be available to accredited investors. The minimum investment is USD 150,000. This is a reasonable step as it does not raise any regulatory issues. The ERC20 contract is designed to give investors a certain interest rate on their investment. In addition, you have a call option for every success achieved in Spencer’s career. For example, if his team makes it into the playoffs and earns additional money or other contractual bonuses, this revenue will be included in the ERC20 valuation. But the really big profits that investors are speculating on would come in the second or third year when Spencer receives an offer from another team with a higher contract value. On the other hand, it is in Spencer’s interest to receive part of his salary in advance. It is probably more advantageous for him to offer investors a low interest rate compared to the interest rate he would have to pay for a loan or mortgage. For the time being, the association, the NBA, has vetoed it. But it has already been shown what is possible with tokenisation.
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Tokenomics

Tokenomics is an umbrella term that inlucdes the words “token” and “economics”. Tokenomics concerns the economics behind an underlying token and sets forth when, what amount of tokens will be issued, burned and what use such tokens can be expected to have. Tokenomics dictates the framework for the supply and demand of tokens.
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Transaction Fee

A transaction fee is nothing more than the fee for a transaction. These can be individual and adjust the priority of the transaction. The higher the transaction fee, the faster a transaction is processed by the network.
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Transaction Speed

The transaction speed reflects the time it takes for an individual transaction to complete.
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Trezor

Trezor is one of the most popular hardware wallets, in this case Trezor is the name of the product.
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Trustless

Kyrptos is called trustless when you don’t have to trust anyone to make the system work.
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U

Unbanked

Unbanked is a phenomen that concerns people who do not have access or do not use banks or financial institutions.
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Underbanked

Underbanked is a phenomen that concerns people who do lack sufficient access to mainstram financial services and products that are usually offered by retail banks. Thus, such people are reliant on cash and checks as a means for funding various payments as opposed to bank related methods e.g. credit/debit cards.
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Uptrend

An uptrend is a bullish phase.
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Utility Token

A utility token is > token issued in order to fund the development of an IT systems and/or business model and can typically be used to later on purchase goods or services created by the issuer of that token and can thus oftentimes be seen as usage rights.
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V

Vesting

Vesting is a term used to describe the fact that an asset is fully under the ownership of an investor. Crypto projects often use long-term token release vesting schedules for token sale investors. This effectivley locks an investor into their given tokens for a lengthy period of time.
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Vitalik Buterin

Vitalik Buterin is the co-founder of Ethereum. He published the whitepaper at the age of 19.
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Volume

The volume indicates the total quantity traded.
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W

Wallet

A cryptocurrency wallet is a tool with which you can interact in a blockchain network. It is ofentimes also called the browers of the blockchain era. Wallets can generate the necessary information to send or receive cryptocurrencies via the blockchain. Among other things, this information consists of one or more pairs of public and private keys. The private key allows access to cryptocurrencies, regardless of which wallet is used. As long as someone is in possession of their private key (or seed phrase), access to cryptocurrencies is guaranteed, even through different or new wallets. In general, there are 3 types of wallets: Software Wallet Hardware wallet Paper Wallets Depending on the function mechanism, a distinction is made between “hot” and “cold wallets”. Wallets in which the private key is stored outside the device and not connected to the Internet are considered “cold wallets”. Hotwallets instead are hooked up to the Internet. Hardware wallets are generally the most secure alternative. Paper wallets, on the other hand, consist of a “wallet” where the private key is printed on a sheet of paper.
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Wash Trade

A wash trade occurs when a trade is made on exchange that is used to manipulate the market e.g. An investor can simultaneously buy and sell an identical financial instrument in order to create an overblown and misleading activity in a market. Wash trades occur frequently on crypto-exchanges to inflate trading volumes.
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Weak Hands

If an investor sells directly in the event of a price collapse, this is called “weak hands”.
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Whale

Whale is the name given to individuals or institutions that possess large amounts of money or cryptocurrencies and use them in commerce to increase or decrease prices.
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Whitelisting

Whitelisting is the process of explicitly allowing specific identified investors to participate in a token sale.
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Whitepaper

Documents that explain technical aspects, intentions or strategies of a project. Whitepapers” were often the only description of an Initial Coin Offering (ICO).
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Widgets

Widget (GUI), a control or content element in a graphical user interface – an element of interaction, such as a button or a scroll bar.
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Wizdom

Wizdom is a non-spendable token that is earned as a user progresses through the MT University. By accumulating Wizdom, a user be awarded MY UNiversity grades.
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WordPress

WordPress sample glossary entry
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X

XRP

XRP is the short form for the cryptocurrency Ripple used on exchanges
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