Terminology to know around stablecoins, wallets, and more
Bug Bounty
A reward program for reporting security issues.
Wallet Address
The public identifier of a crypto wallet.
Merkle Tree
A cryptographic structure that enables efficient verification.
Token Burn
The act of permanently removing tokens from circulation.
Execution Layer
The execution logic layer of a modular blockchain.
Settlement Layer
The settlement layer where finalized transactions are recorded.
Modular Blockchain
A blockchain architecture composed of interchangeable modules.
Faucet
A tool that provides free crypto for testnets.
DEX Aggregator
A tool that finds the best price across DEXes.
Market Order
An order that executes at the best available price.
Testnet
A blockchain network used for testing applications.
Stop Loss
An order to sell an asset if it falls to a set price.
Front-Running
An attack where transactions are preemptively inserted.
Limit Order
An order that executes at a fixed target price.
DAO
A decentralized autonomous entity governed by code.
Rebase Token
A token that can change supply to maintain a peg.
Wrapped Token
A tokenized version of an asset from another chain.
Optimistic Rollup
A Layer 2 rollup that assumes transactions are valid unless challenged.
Relayer
A service that passes messages across chains or layers.
Data Availability
Ensuring data posted to a chain is available to verify.
Sequencer
Coordinates and orders transactions in a rollup.
Consensum Mechanism
The method used to reach agreement on a network.
Block Explorer
A tool for searching and viewing blockchain data.
Genesis Block
The very first block in a blockchain network.
Restaking
Reusing staked assets across different protocols.
Wallet Provider
An entity offering wallet creation and management tools.
Oracle
A service providing external data to smart contracts.
MEV
The value extracted from transaction ordering and inclusion.
Validator
A participant who validates transactions in PoS.
Slashing
Penalties applied to validators for malicious behavior.
Epoch
A time segment used in proof-of-stake blockchains.
Nonce
A unique number preventing transaction replay.
Base Fee
The baseline gas cost determined per block.
Gas Limit
The max gas allowed for a transaction or block.
Finality
The point at which a transaction becomes irreversible.
Hard Fork
A permanent split in the blockchain due to protocol changes.
Governance
The process of making decisions in decentralized protocols.
Tokenomics
The economics behind token supply, demand, and incentives.
Rollup
A method to bundle transactions into a single Layer 2 submission.
51% Attack
An attack where a majority of hash power controls the network.
Yield Farming
Earning rewards by contributing assets to DeFi protocols.
Impermanent Loss
Temporary losses from providing liquidity due to price divergence.
Liquidity Pool
A smart contract where users pool tokens for trading or yield.
Slippage
The difference between expected and actual execution price.
Multisig Wallet
A wallet that requires multiple keys to authorize actions.
Cold Wallet
A wallet stored offline to prevent unauthorized access.
Sybil Attack
A type of attack where one entity fakes multiple identities.
Hot Wallet
A wallet connected to the internet for frequent use.
Key Management
The process of storing and maintaining private keys securely.
SVM-Compatible Networks
Networks that support Solana-compatible applications.
EVM-Compatible Networks
Networks that support Ethereum-compatible applications.
Soc 2 Compliance
A compliance standard ensuring secure data practices.
Live Environment
A production-ready environment for end-user deployment.
Sandbox Environment
A testing environment for developers to safely explore features.
MPC Relay
A secure communication network for MPC operations.
3-of-5 Threshold Signature
A structure requiring any three of five parties to sign.
Key Resharing
The process of rotating key shares among parties.
Key Refreshing
The act of updating existing key material for security.
2-of-3 Threshold Signature
A structure that requires two out of three parties to sign.
2-of-2 Threshold Signature
A signing structure requiring two specific parties to approve.
Encryption Proxy Service
A system that encrypts data to enable secure backups.
NFT Gating
Restricting access based on ownership of NFTs.
Token Gating
Restricting access based on ownership of tokens.
Shamir Secret Sharing (SSS)
A method for splitting secrets into multiple recoverable parts.
Rollup-as-a-Service (RaaS)
A service that helps projects launch and operate rollups.
Parallel Execution
The ability to process tasks or transactions in parallel.
Local Fee Markets
Markets where fees are set based on localized demand.
Proof of Stake (POS)
Consensus where validators stake tokens to propose blocks.
Proof of Work (POW)
Consensus where miners solve puzzles to validate blocks.
Proof of History (PoH)
A time-based consensus mechanism unique to Solana.
Policy Engine
A rule engine for defining wallet and transaction policies.
Solana Virtual Machine (SVM)
Solana's virtual machine for executing smart contracts.
RIP-7560
A proposal for permissionless wallet operation customization.
ERC-7579
A registry for wallet plugin compatibility and behavior.
ERC-6900
A modular standard for wallet configuration logic.
ERC-7212
A proposal standardizing session key operations.
Gas Sponsorship
A feature allowing developers to cover user gas costs.
Session Keys
Keys used for short sessions to reduce security risk.
Transaction Batching
Combining multiple transactions into a single batch.
ERC-4337
A standard enabling smart contract wallets and abstraction.
EIP-7702
A standard to enhance account abstraction and login options.
FROST
A flexible multi-party signing scheme designed for efficiency.
DKLs19
A cryptographic signature scheme used in ZK and MPC systems.
Key Reconstruction
The act of rebuilding a private key from its shared components.
Zero-Knowledge Proof (ZKP)
A proof system that reveals no extra information beyond validity.
Distributed Signing
Signing a message without any one party knowing the full key.
Threshold Signature Scheme (TSS)
A cryptographic scheme that distributes signing authority across parties.
Distributed Key Generation
A way to create a private key jointly without revealing individual parts.
Multi-Party Computation (MPC)
A method allowing multiple parties to jointly sign a transaction.
MITM (Man-in-the-Middle)
A cyberattack where an attacker intercepts communications between two parties.
Lattice-Based Cryptography
A cryptographic method believed to resist quantum attacks.
Hash-Based Signatures
Signatures built using hash functions instead of public key cryptography.
Shor’s Algorithm
A quantum algorithm that threatens traditional cryptographic systems.
sr25519
A signature scheme used in Polkadot and Substrate networks.
Ed25519
A signature scheme using the Ed25519 curve for speed and safety.
Schnorr Signature
A multi-signature scheme focused on batch validation and privacy.
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