Public Unit 4: Vocabulary

To pass this unit, please study the 20 vocabulary words below.
altcoin
a cryptocurrency other than Bitcoin, many just trying to cash in on the whole phenomenon
The majority of early altcoins were just forks of Bitcoin with minor changes to the proof of work (POW) algorithm.
blockchain
a global decentralized "database" or "digital ecosystem" that verifies and maintains the ledger of cryptocurrency accounts
A blockchain is stored and maintained by people across the globe who have special computers designed to mine cryptocurrencies.
Coinbase
a digital currency exchange headquartered in San Francisco and founded in July 2011 by Brian Armstrong and Fred Ehrsam
Coinbase was the largest marketplace for buying and selling cryptocurrency in 2017.
cryptocurrency
a digital asset using secure computer algorithms to secure its transactions, create additional units, and verify transfer
Bitcoin was the first decentralized cryptocurrency to reach public attention.
Ethereum
the name of a blockchain company and network noted for its use of "smart contracts" and a self-named currency
Ethereum is a decentralized platform that is used to run smart contracts.
FOMO (fear of missing out)
a feeling of envy one gets when not buying something that other people are buying
Ripple fever broke out in South Korea because of huge amounts of FOMO among the masses.
fiat
any currency established by a government without inherent value or scarcity such as the US dollar or EU euro
The value of fiat money is tied to governmental authority and trust in market forces.
fintech
innovation that aims to compete with traditional delivery of financial services
This rise of fintech has had a positive impact for society, including increased competition, a reduction in prices, and wider access to financial services.
fungible
interchangeable and replaceable
Monero is fungible, meaning that every unit of the currency can be substituted by another unit
hardware wallet
an offline device designed to safely store a cryptocoin's private keys
Sammy stored his Bitcoin in a hardware wallet to minimize the risk from hacker thieves.
HODL
a mispelling of 'hold' that eventually became a crypto meme or slang
The guy said, "SkyCoin may be mooning right now, but it's still a major HODL!"
ICO (initial coin offering)
an event in which a new cryptocurrency sells advance tokens
ICOs are frequently held by developers of a new technology to raise capital.
market cap
the total number of coins or tokens by the present price.
Market cap is only a good indication of total worth if the coins are spread out and not hoarded by a few individual entities or organisations.
mining
being rewarded with cryptocurrency for providing routine bookkeeping and verification services
Cryptocoin mining is not really a reliable way to make substantial money for most people.
mooning
the term when a crypto coin's market activity and price go way up in a short amount of time
ZoomCoin was mooning for the past 24 hours, but it's likely to fall back to Earth and become another has-been shitcoin.
paper wallet
a printed version of a cryptocoin's private key
The woman did not trust technology so she printed out her paper wallet with 25 Bitcoin on it and put it in her safe.
pump and dump
an attempt by a large coin owner to temporarily raise the price of a bad coin before selling it at a profit
France's MerdeCoin had one major pump and dump left in it before disappearing forever.
satoshi
the smallest unit of the Bitcoin currency recorded on the block chain and a common measurement of the worth of other coins
One satoshi is one hundred millionth of a single Bitcoin (0.00000001 BTC).
shitcoin
a slang term for a worthless cryptocurrency
My friend traded $100 worth of Ether for some Tron (TRX), but I think it's a real shitcoin.
trade volume
the sum of the transactions, including buying and selling
Trade volume gives a good indication of how much a coin or token is actually being used.
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