Introduction to Cryptocurrency and Blockchain Vocabulary

A set of vocabulary flashcards covering key terms from the lecture on cryptocurrency, blockchain, and related concepts.

Cryptocurrency

A purely digital form of money secured with cryptography and usually independent of government control

Blockchain

A shared, tamper-resistant digital ledger that records all cryptocurrency transactions across many computers

Wallet

Software or hardware tool that stores, sends, and receives cryptocurrency

Cold Wallet

Offline wallet (e.g., hardware device or USB) offering strong protection for long-term storage

Hot Wallet

Internet-connected wallet (e.g., mobile app or browser extension) designed for frequent use but more exposed to hacks

Address

A unique string of letters and numbers used to receive cryptocurrency, similar to an email address for crypto

Seed Phrase

A 12- to 24-word backup phrase that can restore full access to a wallet

Coin

A cryptocurrency that operates on its own native blockchain (e.g., Bitcoin, Ethereum)

Token

A digital asset built on an existing blockchain rather than its own (e.g., USDT on Ethereum)

Altcoin

Any cryptocurrency other than Bitcoin

Exchange

Platform (centralized or decentralized) where users buy, sell, and trade cryptocurrencies

Smart Contract

Self-executing code on a blockchain that carries out actions once preset conditions are met

Gas Fee

Network fee paid to miners or validators for processing transactions or executing smart contracts

Mining

Proof-of-work process where computers validate transactions and earn new coins

Staking

Locking up crypto in a proof-of-stake network to help secure it and earn rewards

Web3

Vision of a decentralized internet where users control data and interact through blockchain-based dApps

DeFi (Decentralized Finance)

Blockchain-based financial services—lending, borrowing, trading—without traditional intermediaries

DAO (Decentralized Autonomous Organization)

Community-run entity governed by token-based voting and smart-contract rules, with no central leadership

DEX (Decentralized Exchange)

Peer-to-peer crypto trading platform that operates via smart contracts without a central intermediary