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5 lesser-known cryptocurrency terms that are used everyday

By Guardian Nigeria
19 December 2021   |   5:33 pm
Like any industry, the cryptocurrency industry has its own set of terms and phrases used daily. However, since this industry is still in its infancy, many people are unfamiliar with these terms.  This blog post will define and explain some lesser-known cryptocurrency terms. You'll be better equipped to participate in the cryptocurrency community by understanding…

Like any industry, the cryptocurrency industry has its own set of terms and phrases used daily. However, since this industry is still in its infancy, many people are unfamiliar with these terms. 

This blog post will define and explain some lesser-known cryptocurrency terms. You’ll be better equipped to participate in the cryptocurrency community by understanding these terms. Let’s get started!

Altcoin
A less-known term in the crypto world is Altcoin, a cryptocurrency other than Bitcoin. Altcoins are traded on online exchanges and have been gaining popularity recently due to Bitcoin’s recent increase in value.  Some popular Altcoins include Litecoin, Ethereum, Ripple, DogeCoin, and Monero.  

NFT
NFT is an acronym for non-fungible tokens and is a term you may have heard in the world of cryptocurrency, even if you’re not familiar with what it means. Cryptocurrency enthusiasts are always looking for new and innovative ways to use blockchain technology, and NFTs are one such example. Essentially, they are digital assets that can be traded or used in other ways on platforms that support them. 

While they are similar to traditional tokens, NFTs are unique in that each one is different from the next. This makes them perfect for representing things like collectibles or items with sentimental value.

Mint
Minting is the process of recording a file to a blockchain. When you mint, you create an immutable record of your data on the blockchain for all eternity. This will allow anyone in the world to access that particular blockchain (the Bitcoin or Ethereum blockchains) to view your information and verify its authenticity. It’s like leaving behind an online digital footprint, except it can’t be erased.  Minting is one way people use blockchain technology to secure their data online and ensure they don’t get hacked or have their identity stolen.

DeFI
DeFi is a term that is being thrown around a lot lately in finance and investment. But what does it mean? In short, DeFi refers to the decentralized implementation of financial instruments and applications.

This means that instead of relying on centralized entities like banks or governments to manage our money and assets, we can use open-source protocols that allow for peer-to-peer transactions. This creates a more democratic and secure system, as there is no need for any middleman to control our finances. DeFi has already started to revolutionize how we think about money and investment, and there are plenty of exciting projects like cryptocurrencies that will continue to change the way we do business. 

HODL
If you’ve been around the cryptocurrency scene for a while, you might have come across the term HODL. But what does it mean? This word originally comes from a person who misspelt “hold” while drunk, and in short, HODLing is holding your coins rather than selling them. Why would someone do that? Well, there are a few reasons. 

Sometimes, people hold their coins because they believe in the project and want to see it succeed. Other times people might hold their coins, hoping that they’ll be worth more in the future. And finally, some people hold their coins because they’re afraid to sell and lose out on potential profits. 
Final Word
All in all, cryptocurrency is a fascinating subject that has the power to change how we interact with one another. Their decentralized nature and lack of governmental control are attractive options for investors who want more independence from centralized banks or governments. There are many terms related to cryptocurrency that might not be familiar. 

We hope this article has helped you better understand some lesser-known words and phrases like Mint, Altcoin, NFT, DeFI, HODL, and blockchain. If you’re interested in trading cryptocurrencies yourself, check out https://dogecoinmillionaire.biz for all of your crypto needs.