Home cryptocurency bitcoin Get Yourself Acquainted with Crypto Terminologies (1)

Get Yourself Acquainted with Crypto Terminologies (1)

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In the world of cryptocurrencies, newcomers are often baffled by different kinds of crypto terminologies such as: HODL, FOMO, REKT, Whale, FUD etc. You don’t have to worry about that because there is a simple definition for everything.

Read on to enlighten yourself.

BITCOIN
This is the number one cryptocurrency in the world today. It was created by the mysterious “Nakamoto Satoshi” in 2008. Currently, despite the rise in the number of other cryptocurrencies (known as altcoins), it is still the most popular digital asset.

See Also: Cryptocurrency for Beginners (1)

ALTCOINS
It is a crypto terminology derived from the two words “alternative” and “coin”, and used to describe any cryptocurrency that is not Bitcoin.

BITCOIN CASH
In August 2017, Bitcoin witnessed its first “fork” and split into Bitcoin and Bitcoin Cash and functioned as two separate digital currencies. However, few days ago, on November 15, 2018, Bitcoin Cash was forked as well and this gave birth to two different digital currencies “Bitcoin Cash ABC and Bitcoin Cash SV”. These two cryptocurrencies currently function separately.

See Also: Cryptocurrency Fraud: Top 10 Cryptocurrency Mining Fraud Strategy

FORK
This is another crypto terminology A fork makes the creation of alternate version of the blockchain possible and then the split blockchain runs simultaneously on different parts of the network.

A “hard fork” renders previously invalid transactions valid, and vice versa; a “soft fork” renders previously valid transactions invalid, but not the inverse.

FUD
It is a crypto acronym for “fear, uncertainty and doubt”. It is a negative comment against a particular currency or the entire cryptoverse and it is capable of creating instabilities in the market.

HODL
This should not be mistaken for HOLD, although they are related to some extent. It is a crypto terminology which is interpreted as “Hold on for Dear Life”. It is the reverse of FUD. It has become the battle cry of diehard cryptocurrency investors who believe that the investment will come good one day.

WHALES
As the name suggests, they are biggest swimmers in the crypto Ocean. The term is used by crypto traders and speculators to describe other traders who hold large chunk of Bitcoin or any other cryptocurrency. They have significant impact on the market (whether negative or positive) when they buy or sell, so other traders watch for signs of their presence and direction of their movements and act accordingly.

FOMO
It’s an acronym that stands for “fear of missing out”. It’s used in crypto trading and speculation to describe when a trader expects the price of a particular digital asset to rise and decides to heavily invests in it for fear of not missing the price spike.

REKT
It is a crypto terminology used in crypto trading and investment to describe when an investor lost large part, if not their entire portfolio in the market.

Note: This is just a few of the many crypto terminologies that exist. The subsequent part of this series will provide definitions to many other crypto terminologies that will be of benefit to us.

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