Crypto Terminology Part 2 || 10% payout to tron-fan-club
Hello dear friends and famz. I trust you're good. I welcome you to my blog once again. Today I will be discussing more about my previous blog on crypto terminologies that traders and investors especially newbies should get aquainted with, this post is the continuation. Let's kindly enjoy the ride together as I unveil more of these terminologies.
FUD is the abbrevation given to fear, uncertainty, doubt it's a kind of panic that traders get caught up in especially when they hear unfavourable news about the market. It's is really not a safe zone to be because once caught up in it,you could make an irrational decision especially as a newbie.
It will Interest you to know that HODL has the same implied meaning as HOLD, it is just a very disrupted and sarcastic way of spelling it. HODL means to hold on to that digital asset even in times of serious price volatility. This term was introduced way back 2013
This is a programmed or predetermined process that divides into two equal half the reward for recording and verifying transaction by miners on a blockchain. It's very peculiar with Bitcoin and according to research,it happens once in every four years.
The full meaning of ICO is initial coin offering it is a viable method of raising fund or capital for crypto project. It is also important to note too that ICO investor doesn't have voting right in that project,they are only entitled to the token.
There was a period when ICO saw massive acceptance and interest from many investors and that was in 2017 and this lasted for few months although many of these ICO turned out to be a hug scam.
What is IEO?
The full meaning of IEO means initial Exchange Offering and like ICO is is a form of fundraising for a new token but the token is powered by an Exchange.According to my research,The first IEO was GIFTO and it was effected on Binance,a popular exchange. The total amount raised was $30,000 in 2018.
The full meaning of KYC is know your customer. This is just a way of getting to know who registers on a platform i.e exchanges. You have to provide some basic information about yourself such as valid I.D card,a scanned passport,your domicile address and the likes.
Market capitalization which is fondly written as market cap gives the result of the current price of a cryptocurrency when multiplied by the entire coin in circulation. As it stands, Bitcoin still maintains the highest market cap in the market.
Mining simply mean the act or process of creating a new coin i.e bitcoin and it is done by solving some complex mathematical problems. If you're able to solve this as a miner,you will be rewarded for adding to the block. It takes an average of 10 mins to get this done.
It is important to state that mining is peculiar to any coin that uses the Proof-of-work mechanism (POW).
Moon is a description given to any asset that has experienced significant growth in price over time . It could even be a sharp rise in price of an asset.
Proof-of-stake is a consensus algorithm that allows validation of block by users based on the number of coins the user has in stake which is usually locked up to secure the network. Users are then rewarded in return for locking up their stake.
This is a consensus algorithm that is used to confirm transaction and also to add a new block to the chain. It is the first algorithm that ever existed because it is the consensus used for Bitcoin mining
Private key is the key that give you access to your fund in your wallet. Public address is that which you use to get coins directly into your wallet while private key is that key only known to you which gives you access to you wallet. A typical private key looks like this...
I hope you have learnt one or two things today from this write up. Understanding these terms and more will help you relate confidently without any form of confusion. You will also do well to do your own research to be well grounded. There is really more to these brief discussions on these terms. Thanks for your time.