Altcoins
Altcoins, short for ‘alternative coins,’ encompass all cryptocurrencies other than Bitcoin.
Crypto Cfds
Crypto CFDs are derivative instruments that allow traders to speculate on the price movements of cryptocurrencies without actually owning the underlying digital asset.
Deflationary Asset
A deflationary asset is characterized by a fixed supply and a diminishing issuance rate, designed to ensure its scarcity and predictable supply.
Funding Rates
Funding rates in perpetual futures markets indicate which side (long or short) is paying the other, suggesting a bullish or bearish bias.
Halving Event
A halving event is a crypto-specific mechanism, such as in Bitcoin, that reduces the rate of new supply creation approximately every four years.
Proof-Of-Stake (Pos)
PoS systems are generally more energy-efficient and can offer faster transaction speeds by having validators ‘stake’ (lock up) their assets to secure the network.
Proof-Of-Work (Pow)
Bitcoin’s Proof-of-Work (PoW) prioritizes maximum security through computational effort and energy expenditure.
Spot Crypto Trading
Spot crypto trading involves the direct purchase and ownership of cryptocurrencies on an exchange, with the asset typically held in a digital wallet.
Stablecoins
Designed to minimize price volatility, stablecoins are typically pegged to a stable asset, most commonly fiat currencies like the U.S. Dollar, on a 1:1 basis.
Token
A token is built on top of an existing blockchain, leveraging that network’s underlying security and infrastructure.