Key Terms A-Z

Airdrop - A free distribution of tokens to wallet addresses. Projects use airdrops to reward early supporters or spread awareness of a new token.

App - Short for application. In web3, an app is software that connects to a blockchain, like a DeFi platform or NFT marketplace.

APR - Annual Percentage Rate. The yearly interest rate you earn on crypto you stake or lend, expressed as a percentage.

Arbitrage - Buying an asset on one platform where it’s cheap and selling it on another where it’s expensive, profiting from the price difference.

Blockchain - A shared digital ledger that records transactions across many computers. Once data is recorded, it’s very hard to change, making it trustworthy and transparent.

Bridge - A tool that lets you move tokens from one blockchain to another. For example, sending tokens from Ethereum to Base.

BTC - The ticker symbol for Bitcoin, the first and largest cryptocurrency by market value.

Chain - See Blockchain.

Cold Wallet - A hardware device that stores your crypto offline, away from internet hackers. Think of it like a safe for your digital assets.

Contract - See Smart Contract.

Crypto - Short for cryptocurrency. Digital money that uses encryption to secure transactions and control how new units are created.

Curve - A popular decentralized exchange (DEX) known for trading stablecoins efficiently. It’s often used in Regen projects for liquidity.

dApp - Short for decentralized application. An app that runs on a blockchain instead of a central server, meaning no single company controls it.

DAO - Decentralized Autonomous Organization. A group of people who come together online to make decisions, using tokens as voting power instead of a traditional leadership structure.

DeFi - Decentralized Finance. Financial services like lending, borrowing, and trading that run on blockchains without banks or middlemen.

Discord - A popular chat platform where many web3 communities gather to discuss projects, share updates, and support members.

Drip - A feature that automatically distributes rewards to your wallet over time, like earning interest daily instead of all at once.

ENS - Ethereum Name Service. A way to turn a long wallet address like 0x1234...abcd into a readable name like yourname.eth.

ETH - The native cryptocurrency of the Ethereum blockchain. ETH is used to pay for transactions and services on the network.

Faucet - A website or tool that gives away small amounts of free crypto, usually to help new users get started or to test a network.

Fiat - Regular government-issued money like US dollars, euros, or pounds. Unlike crypto, fiat is controlled by central banks.

FOMO - Fear Of Missing Out. The anxious feeling when you see others making money and worry you’re missing an opportunity.

Gas - A small fee you pay to make transactions on a blockchain. Gas covers the cost of the computing power needed to process your transaction.

Governance Token - A special token that gives holders the right to vote on decisions within a project, like how funds are used or new features to add.

Hardware Wallet - A physical device that stores your crypto keys offline. It’s considered one of the safest ways to hold crypto.

Hot Wallet - A wallet connected to the internet. Convenient for trading but more vulnerable to hacks than cold wallets.

Identity - In web3, your identity is often tied to your wallet address rather than your real name or email.

Inflation - When a currency loses purchasing power over time because more of it is created. Many cryptocurrencies have a fixed supply to avoid inflation.

KYC - Know Your Customer. A verification process where projects ask for your ID or personal info to comply with regulations.

Layer 2 - A secondary network built on top of a main blockchain to make transactions faster and cheaper. Base is an example of a Layer 2.

Ledger - A record-keeping device or document that tracks transactions. Blockchains are a type of distributed digital ledger.

Lending Pool - A smart contract where people deposit crypto to earn interest, and others borrow from that pool by providing collateral.

Liquidity - How easily an asset can be bought or sold without affecting its price. High liquidity means you can trade quickly at stable prices.

LP Token - Liquidity Provider Token. A token you receive when you add money to a liquidity pool. It represents your share of that pool’s assets.

Mempool - A waiting area for transactions that haven’t been confirmed yet. Think of it like a lobby before your transaction gets processed.

Mint - The process of creating a new token or NFT on a blockchain.

Moon - Slang for when a crypto token’s price goes up dramatically. “To the moon!” means expecting a big price increase.

NFT - Non-Fungible Token. A unique digital item stored on a blockchain that can’t be copied or replaced. Used for art, collectibles, and more.

Node - A computer that connects to a blockchain network and helps maintain it by storing and verifying transactions.

On-Ramp - A service that lets you convert regular money (fiat) into cryptocurrency, making it easier to enter the crypto world.

Oracle - A service that brings real-world data (like weather or stock prices) into a blockchain so smart contracts can use it.

Private Key - A secret password that gives you access to your crypto wallet. Never share this with anyone.

Proof of Stake - A method blockchains use to verify transactions. Instead of mining, validators lock up their crypto as collateral to secure the network.

Public Address - A long string of letters and numbers that identifies your wallet on a blockchain. You can share this safely to receive crypto.

ReFi - Regenerative Finance. Using web3 tools to fund environmental and social projects, like carbon credits or conservation efforts.

Rewards - Tokens or benefits given to users for participating in a project, such as staking or providing liquidity.

Rug Pull - When developers abandon a project and take investors’ money. A common scam in crypto where the team disappears after raising funds.

Seed Phrase - A list of 12 or 24 words that can recover your wallet if you lose access. Write it down and keep it safe - anyone with these words can access your funds.

Smart Contract - A self-executing program on a blockchain that automatically carries out agreed-upon rules when conditions are met. No middleman needed.

Snapshot - A way to record wallet holdings at a specific time. Projects use snapshots to determine who qualifies for airdrops or rewards.

Stake - Locking up your crypto in a protocol to support the network and earn rewards.

Staking - The act of putting your crypto at stake to earn interest or secure a blockchain. Rewards come from transaction fees and new tokens.

Sweep - When a bot or script quickly buys up a large amount of a token, often to manipulate its price.

Token - A digital asset created on a blockchain. Tokens can represent money, ownership, voting rights, or access to services.

Tokenomics - The economics of a cryptocurrency: how many tokens exist, how they’re distributed, and what incentives are built in.

Transaction Fee - A small payment made to process a blockchain transaction. Also called gas fees on networks like Ethereum.

Treasury - A pool of funds controlled by a DAO or project, used to pay for development, marketing, or grants.

Utility Token - A token that provides access to a product or service, like discounted fees or exclusive features.

Validator - A participant in a proof of stake blockchain who verifies transactions and keeps the network secure.

Volatility - How much a crypto price swings up or down. High volatility means big price changes in either direction.

Wallet - A software or hardware tool that lets you store, send, and receive crypto. It holds your keys, not the actual tokens.

Wallet Address - See Public Address.

Web3 - The next generation of the internet, built on blockchain technology. It aims to give users ownership of their data and digital assets.

Whale - A person or entity that holds a large amount of cryptocurrency. Whales can influence markets with their trading activity.

Wrapped Token - A token that represents another cryptocurrency on a different blockchain. For example, WETH is Ethereum wrapped to work on other chains.

Yield - The return you earn on your crypto, usually from staking, lending, or providing liquidity.

Yield Farming - Moving your crypto between different DeFi protocols to maximize your earnings. It involves more risk but potentially higher rewards.

Quick Reference

This glossary covers the essential terms you’ll encounter as you explore web3 and regenerative finance. Keep it handy as you work through the Sarreya programs and the broader crypto ecosystem.

Remember: Never share your seed phrase or private keys with anyone. Start small, do your research, and don’t invest more than you can afford to lose.