Crypto Glossary

Addresses identify blockchain accounts derived from public keys. Developers use them to send, receive, and verify transactions.

Projects use airdrops to distribute free tokens for promotion or community rewards. Airdrops help developers grow user bases without requiring token purchases.

An All-Time High marks the highest price a crypto asset has reached.

An ATL marks the lowest recorded price of a crypto asset. It signals poor market sentiment or project uncertainty.

Altcoins are cryptocurrencies other than Bitcoin. They offer varied features like faster settlement, privacy, or smart contract support.

An AMM replaces traditional order books with liquidity pools. It enables users to swap tokens directly based on algorithmic pricing.

APIs allow applications to interact with blockchain data and services. They enable functions like querying nodes, retrieving information, and broadcasting transactions.

BFT allows distributed systems to reach consensus despite malicious actors.

A block records validated transactions and metadata on a blockchain. It includes details such as timestamps, hashes, and references to previous blocks.

Block rewards compensate validators or miners for securing the network. They often combine transaction fees and new token issuance.

Block time is the average time it takes to produce a new block.

A blockchain is a decentralised ledger made of linked blocks secured by consensus. It is used to build trustless, immutable systems.

Bridges connect different blockchains, enabling asset or data transfers. Developers use them to create cross-chain dApps or liquidity systems.

Builders refer to developers actively creating on-chain infrastructure, apps, or tooling. The term celebrates technical contributors in Web3 ecosystems.

A bull market is a prolonged period of rising asset prices and strong investor confidence.

A bull run is a sustained period of rising crypto prices driven by demand and investor confidence.

A CBDC is a blockchain-based version of fiat currency issued and controlled by a central bank with programmable logic.

Chain ID uniquely identifies a blockchain network and prevents transaction replay across forks or sidechains.

A checkpoint finalises a block height to prevent reorgs and improve node sync speed.

A cold wallet stores private keys offline to isolate them from network-based threats.

Consensus determines how distributed nodes agree on the blockchain’s current state.

CoreWriter is a Hyperliquid system contract that lets HyperEVM smart contracts send actions to HyperCore — placing orders, transferring spot tokens, staking HYPE, managing vaults.

Cross‑chain protocols enable data and asset transfers between separate blockchain networks.

A cryptographic hash function converts arbitrary input into a fixed-size output that is collision-resistant and irreversible.

A DAO uses smart contracts to coordinate governance and decision-making among token holders without a central authority.

A dApp is a blockchain-based application running smart contracts without relying on central servers.

DeFi is a smart contract-based protocol system that recreates financial services like lending, trading, and yield without intermediaries.

DPoS is a consensus model where token holders vote for a small set of validators who produce blocks and maintain the network.

A DEX enables on-chain peer-to-peer token swaps without custodians using smart contracts and liquidity pools.

A DEX aggregator routes trades across multiple DEXs to find the most efficient pricing and lowest slippage.

An edge node processes data closer to the user to reduce latency and distribute network load, which is relevant for RPC scaling.

An EIP is a formal standard or protocol change proposed by the Ethereum community to improve the network’s functionality.

EIP-3074 introduces invokers that allow EOAs to perform meta-transactions without needing smart contracts.

EIP-4844 reduces L2 transaction costs by introducing ephemeral data blobs to Ethereum blocks.

Encryption protects blockchain communications and data integrity using cryptographic algorithms like elliptic curves or AES.

ERC-1155 enables smart contracts to handle multiple token types—both fungible and non-fungible—under one contract.

ERC-20 is the standard for fungible Ethereum tokens, enabling uniformity in token transfer, approval, and allowance functions.

ERC-721 is the standard for NFTs, enabling unique digital assets via token IDs and metadata.

The EVM is the runtime environment where Ethereum executes smart contracts and processes RPC calls.

A fork alters blockchain protocol rules, which can impact RPC endpoints, data indexing, and node compatibility.

A fraud proof verifies invalid state transitions in optimistic rollups, which is useful for L2 systems integrating with RPCs.

FUD is the spread of negative or misleading information to manipulate sentiment or disrupt markets, often impacting user behavior and platform activity.

A full node stores all chain data and verifies transactions, forming the backbone of RPC infrastructure.

Fungibility ensures that each token unit can be exchanged for another of equal value, critical for token standards like ERC-20.

Gas measures the computation required to execute operations on the blockchain, ensuring resource fairness and anti-spam protection.

Gas limit defines the maximum computation a transaction or block can use, preventing excessive resource use and infinite loops.

Gas price sets the payment per unit of gas, influencing transaction prioritization and miner or validator incentives.

The genesis block is the first block in a blockchain. It contains the initial state, parameters, and token distributions.

Geth is an Ethereum client written in Go that allows developers to run full nodes, interact with the EVM, and expose JSON-RPC endpoints.

GitHub is a version control platform where blockchain protocols, clients, and smart contracts are maintained and openly developed.

Governance refers to the rules and mechanisms, on-chain or off-chain, that determine how protocol changes and upgrades are made.

A governance token grants voting rights on proposals, upgrade paths, and treasury allocations in decentralised ecosystems.

A green candle visualises upward price movement within a time period and is often used in trading dashboards and analytics UIs.

A handler routes and executes JSON-RPC requests, parsing method calls and managing authentication or batching.

A hash is a fixed-length cryptographic output used to verify transaction integrity, block IDs, and data fingerprints.

HIPs are structured proposals used to implement protocol upgrades and design changes across the Hyperliquid ecosystem.

A hot wallet stores private keys online, allowing real-time signing and interaction with blockchain protocols.

HyperCore is Hyperliquid's native execution layer running the on-chain order books, the matching engine, and the margin system under HyperBFT consensus.

Hyperliquid is a high-performance Layer-1 chain built for decentralized perpetuals, offering low-latency finality and builder-centric infra.

An immutable ledger ensures that all confirmed blockchain data cannot be modified or deleted, supporting auditability and integrity.

An indexer extracts raw blockchain data and structures it into queryable formats for frontends, APIs, or analytics services.

An interface in Solidity defines callable functions without implementation, enabling modular contract interaction.

Interoperability enables blockchain systems to share data, assets, and messages via bridges, APIs, or standardized protocols.

IPFS is a peer-to-peer protocol for off-chain file storage where smart contracts reference data via content hashes.

A JavaScript SDK packages blockchain functionality into developer-friendly APIs that wrap underlying RPC calls.

A job queue processes queued blockchain operations such as transaction sending, event polling, or indexing tasks.

JSON-RPC is a stateless, lightweight protocol for making method calls and retrieving data from blockchain nodes.

A JWT encodes and signs authentication credentials for secure session access to RPC endpoints or app APIs.

Key derivation deterministically generates multiple private keys from a single seed using hierarchical deterministic (HD) standards like BIP-32 and BIP-39.

A keystore securely holds encrypted private keys, usually protected by a passphrase, and is used for signing transactions locally.

KYC is a compliance process where users verify their identity (e.g., with ID and address proof) before using regulated crypto services like exchanges or fiat onramps.

A base blockchain protocol (e.g., Ethereum, Bitcoin) that handles consensus, settlement, and transaction execution.

A secondary protocol built atop Layer 1 to improve scalability and speed, typically settling final state back on L1 (e.g., rollups, state channels).

A node that stores only block headers and queries full nodes for data, enabling faster syncing with less storage.

A smart contract holding token pairs used to enable automated swaps without an order book in decentralised exchanges (e.g., Uniswap).

A token distribution mechanism where users lock tokens for a defined period to receive new tokens or staking rights, without permanently losing assets.

A market position that profits if the asset price increases; commonly used in perpetual and futures contracts.

A mainchain is the base blockchain that handles transaction validation and final settlement. It is often paired with sidechains for scalability.

A mainnet is the live version of a blockchain network where real-value transactions are executed and verified by consensus.

Margin trading involves borrowing assets to increase trade exposure, typically managed through on-chain protocols with liquidation logic.

A market maker supplies liquidity by placing buy and sell orders on decentralised or on-chain exchanges.

A market order is a transaction instruction that executes immediately at the best available price on a blockchain-based exchange.

A mining pool aggregates hashpower from multiple miners to increase the probability of block validation and consistent reward distribution.

A mining rig is a specialized hardware setup that performs hash calculations to validate blockchain blocks.

Minting generates new tokens or NFTs by publishing them to a blockchain via smart contract functions.

A mnemonic phrase is a human-readable backup of a wallet’s private key generated from a deterministic seed.

A mobile wallet is an app that stores private keys locally and allows users to sign transactions from their phone.

Multi-chain systems support interoperability and parallel chain deployment, allowing applications to span multiple blockchain environments.

Using smart contracts, a name service maps human-readable identifiers (e.g. ENS names) to blockchain addresses or metadata.

A native token is the primary asset used for gas fees, governance, or staking on a blockchain’s base layer (e.g., ETH on Ethereum).

A network fork occurs when nodes disagree on protocol rules, resulting in a split between compatible and incompatible chains.

Network latency is the delay between sending and receiving RPC calls or block propagation in a distributed system.

An NFT is a unique token standard (typically ERC-721 or ERC-1155) representing digital ownership of individual assets on-chain.

A node is a software instance that participates in a blockchain network by validating, storing, and relaying transactions and blocks.

A non-custodial wallet lets users control their private keys and sign transactions without relying on a third-party service.

A nonce is a value used once per transaction or mining attempt to ensure uniqueness and prevent replay attacks.

Off-chain transactions or processes take place outside the main blockchain network. This reduces gas fees and enhances scalability without altering on-chain state.

On-chain activity involves executing transactions or smart contracts directly on the blockchain. It ensures data transparency, immutability, and verifiability.

Open source software publishes its source code publicly for anyone to inspect, audit, or contribute to. It promotes collaboration and trust in blockchain projects.

Optimistic rollups batch multiple transactions off-chain and post summaries to Layer 1. They assume validity unless challenged with fraud proofs.

An oracle feeds external, real-world data into smart contracts, enabling blockchain applications to react to off-chain events or market conditions.

An order book lists all open buy and sell orders for an asset on an exchange. It enables transparent price discovery and efficient trade execution.

P2P systems allow users to interact and transact directly without central intermediaries. This enhances privacy, censorship resistance, and decentralization.

Perpetual futures are derivative contracts with no expiration, enabling continuous leveraged trading. They use funding rates to anchor prices to spot markets.

Phishing attacks trick users into revealing private keys or credentials. They often involve fake interfaces or impersonation to exploit trust.

A private key allows users to sign transactions and access blockchain wallets. Keeping it secure is essential for protecting crypto assets.

Proof of Stake selects validators based on the amount of cryptocurrency they stake. It replaces energy-intensive mining with economic incentives for honesty.

Proof of Work requires participants to solve cryptographic puzzles to validate blocks. It secures the network through computational difficulty and cost.

A protocol defines the rules that govern blockchain communication, consensus, and transaction validation. It acts as the foundational logic for a network.

A QR code encodes blockchain addresses or transaction data into a scannable format. It simplifies interactions between wallets and dApps on mobile devices.

Quantitative analysis uses mathematical models and statistics to interpret blockchain data. Developers apply it to improve trading strategies or protocol design.

Rate limiting enforces thresholds on the number of RPC or API requests a client can make to prevent spam or abuse.

A reorg replaces recent blocks in a blockchain when a longer valid chain appears, potentially reversing recent transactions.

A rollup batches multiple transactions off-chain and submits a proof to Layer 1, increasing scalability while preserving security guarantees.

An RPC allows developers to execute blockchain functions by sending requests to a node, often using JSON-RPC or HTTPS protocols.

A sequencer orders transactions in rollups before posting them on-chain, reducing latency and ensuring fair execution.

A shard partitions the blockchain network into smaller segments, each handling a subset of transactions to improve throughput.

A sidechain runs parallel to a main blockchain, enabling asset transfers and experimentation with lower risk to the base layer.

Slippage reflects the difference between expected and actual execution price, especially during volatile or low-liquidity trades.

A smart contract runs on the blockchain and automatically executes logic when predefined conditions are met.

A snapshot captures the blockchain state at a specific block height and is often used for voting, token airdrops, or simulations.

A subgraph indexes blockchain data and serves it through GraphQL, allowing developers to power dApp frontends efficiently.

A testnet provides a blockchain environment for testing code without risking real assets or impacting production networks.

Throughput measures the number of transactions a blockchain processes per second, often used to evaluate scalability.

A token represents a blockchain's value, utility, or governance rights and is typically implemented as an ERC-20, ERC-721, or similar standard.

TVL tracks the total value deposited into a protocol, reflecting its adoption, trust, and economic activity.

An unsigned transaction contains instructions for a transfer or function call but lacks a valid cryptographic signature.

An upgradable contract separates logic from storage using proxy patterns, allowing future upgrades without changing contract addresses.

Uptime measures how consistently a node, validator, or RPC endpoint remains online and responsive over a given period.

A validator confirms transactions and adds new blocks in proof-of-stake chains by staking tokens and following consensus rules.

Like the EVM, a virtual machine executes bytecode in a sandboxed environment, enabling smart contract logic on-chain.

Volatility measures the rate and magnitude of price changes, affecting trading strategies, risk management, and protocol design.

A wallet stores private keys and enables users to sign transactions, view balances, and manage assets on a blockchain.

Web3 describes the decentralized internet stack where users interact directly with smart contracts and dApps without intermediaries.

A whitelist restricts contract access or token allocations to a predefined list of addresses for security or compliance.

A wrapped token represents an asset on another blockchain, enabling cross-chain interoperability and DeFi participation.

XRPL is a decentralized blockchain optimized for fast, low-cost cross-border payments and used by RippleNet.

Yield farming deploys capital across DeFi protocols to earn interest, fees, or rewards in exchange for liquidity.

Yul is a low-level, intermediate language for optimizing smart contracts targeting the Ethereum Virtual Machine.

A ZKP proves that a statement is true without revealing the underlying data, preserving privacy while enabling verification.

A ZK-rollup compresses multiple transactions and posts a succinct zero-knowledge proof to L1, ensuring integrity and scalability.