Some basic terms you need to know when entering the crypto market

in cryptobonds •  6 years ago 

There will be some newbie who have not defined the terminology for the virtual currency world. So, for newbie to know, Twogap will compile some basic terms to help you know. Study this very well, increase a lot of knowledge of finance, investment for you, fully equipped Knowledge, then you will not fear anything.

CRYPTOCURRENCY: Non-tangible currency generated by mathematical algorithms.

Forms of investment:

Lending: take out a loan and receive interest

Hold: buy speculative hold, when the price is selling, usually people or hold period of 3,6,12 … month.

Trade: speculative surfing, buy at low prices and sell at high prices

Mining: digging coin, by computer systems that configure high-processing algorithms (mainly using CPU ‘computer chips’ and GPUs ‘graphics card chips’.

Professional terms:

Pumb: Strong price increases

Dump: strong discounts

Volume: The volume of a transaction, when a successful purchase or sale, a volume.

ICO: mobilize capital for coin before it is traded.

Block: A block of data that has not previously been stored on that block.

Blockchain: security technology is the electronic money platform.

BTC: Short for Bitcoin Virtual Currency

EXCHANGE: A central platform for exchanging different currencies and assets.

SATOSHI NAKAMOTO: The creator of Bitcoin

WALLET: Wallet to hold coin

ADDRESS: The address specified in each account, used to pay, receive Bitcoin as well as other electronic currency.

ALTCOIN: The term used to refer to other cryptocurrency, see Coinmarketcap.com.

Token: The total amount of capital needed to startup a project is divided into equal parts, called tokens. Each ICO determines the number of tokens offered as well as the total number of coin after the project is successful.

Public Key: A form of data that is public, is the key to your account access, you need to remember and avoid letting others know the Public Key.

Hash Function Hash Function is a computer algorithm that generates a result based on certain data, and this function can not decompile the results from the original data.

Fiat Currency: Not recognized by the government as material value as gold, silver

Platform: Each project will use a blockchain-based platform to support the creation and distribution of its ICO, usually Bitshares, Ethereum, or Omni.

QR Code: code is easily scanned by mobile devices, bitcoin addresses are often used in the form of QR codes, which makes the transaction quick and secure, avoiding mistakes in transactions. .

Reward: When you solve an algorithm, you will be rewarded as the total transaction fee in that block.

Hash rate: This is defined as Bitcoin Bit Rate, 10 Th / s = 10 trillion

Signature: Created for you when a transaction is generated, the signature is sent to the blockchain network and is authenticated by the network members, if true to your public key, the transaction is executed.

Halving: Bitcoin is only limited to 21 million BTCs generated, for every 210,000 blocks, half the reward will be reduced when new blocks are built.

KYC: Know Your Customer is a must know your customers to avoid illegal transactions.

PsP: A payment service provider, accepted for online transactions by Bitcoin.

Crowdsale: Crowdsale is the opening sequence of the Token of an electronic currency during the ICO period

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