- Many new terms and acronyms have developed around crypto and NFTs.
- For example, a PFP project is a profile picture project like Bored Ape Yacht Club. HODL means don’t sell.
- These terms will help you translate NFT content like Twitter feeds.
If you are new to NFTS, some terms can be confusing.
I’m a full-time YouTuber who focuses on demystifying all things Web3, but when I first discovered the Web3 space, it seemed like people were speaking a different language.
Share ? Rug pull? WAGMI? The jargon was a lot to absorb.
So after scouring the internet for hours looking for answers, I’ve put together a list of Web3 definitions so even the most tech-averse people can understand.
Here are 50 terms you need to know
- Parachuting: To send someone free crypto things like NFTs or tokens. It has nothing to do with Apple’s airdrop feature. Sometimes the airdrop gives NFT holders something special. But usually the airdrop is for giveaways or a sketchy marketing tactic.
- Alpha: This is another term for “insider information”. If someone has the “alpha”, they have information that the rest of the market has not yet discovered.
- monkey in: Investing a lot of money in a new cryptocurrency or NFT project without doing the proper research first. It comes from the meme “monkeys together strong”.
- Bearish: The belief that a project will lose value over time.
- blockchain: A type of database. Information is stored in groups (blocks) that cannot be changed after creation. The whole group of groups (chain of blocks = blockchain) is copied to many different computers so that the data is public and secure.
- Blue boat: As close to a “reliable” investment as possible in the NFT space. These NFT projects are well known and generally perceived to have great value. Bored Ape Yacht Club, CryptoPunks, World of Women are considered bluechips.
- Bullish: The belief that a project will increase in value over time.
- Coinbase: A popular platform for buying and selling cryptos.
- crypto wallet: A place (app or physical object) where you can keep your crypto holdings (NFT, Ethereum, etc.) A wallet is needed to buy things (NFT) with crypto. Some popular wallets are Coinbase Wallet and MetaMask.
- Crypto wallet address: A public address that you can give to people so they can send you crypto/NFT. This is usually a long alphanumeric string, but you can also purchase a shorter domain name if you wish. For example, mine is aprilynne.eth.
- Decentralized: Power is distributed among several people instead of going through a single person.
- CAD: Abbreviation of “decentralized autonomous organization”. The votes of the members of this group are automatically counted and used to make decisions. Sometimes actions are taken automatically. The code for all auto actions is publicly available so anyone can make sure everything is working properly.
- DAPP: Short for “decentralized application”, it is an application built on the blockchain. Instead of data being collected/manipulated/sold by Big Brother (*cough, cough, Meta*), all data is publicly stored on the blockchain.
- CHALLENGE: Abbreviation of “decentralized finance”. This basically means the bank but without the fees/approvals for transactions and loans. You can lend, trade, and borrow crypto through a public code that automatically stores/verifies transactions.
- Diamond needles: Holding on to a high-risk NFT despite pressure to sell. Sometimes people use this as justification when one of their NFTs starts losing value. It comes from “diamonds are created under pressure”.
- Doxxed: When the true identities of a team behind an NFT project are revealed. Usually used to build credibility for a project.
- Drop: The initial launch of a new collection or project.
- DYOR: Short for “do your own research”. This is a warning, and honestly pretty good advice, often added to the end of an NFT project review. Its pronounced like the Dior brand.
- ETH DOT (.eth): A personal crypto wallet address that someone can buy. For example, my Ethereum wallet address is aprilynne.eth.
- Ethereum: A popular blockchain used for NFTs often criticized for slow and expensive transactions. Also home to Ether (ETH), the second most popular cryptocurrency.
- To return to: Buying an NFT and reselling it quickly rather than holding it with the intention of trying to make an immediate profit. This is a fairly common but risky strategy.
- Stage: NFTs at the floor price of a collection.
- Floor price: The lowest market price for NFTs within a collection. Often used as an empirical measure of the value of an NFT project.
- Floor sweep: When someone buys all NFTs in a collection at the floor price. Buyers can do this because they believe in the project. Sellers may do this to artificially inflate the floor price of the NFT collection.
- FOMO: Abbreviation of “fear of missing something”. It is an emotional factor that pushes someone to irrationally adhere to a project.
- FUD: Abbreviation for “fear, uncertainty, doubt” and is used to express concerns about the legitimacy/value of an NFT project. For example, someone can enter an NFT Discord server and stream FUD.
- Gas costs: Basically transaction fees for crypto (Ethereum) transactions. The busier the Ethereum network, the more expensive the gas fees. This is one of the most criticized features of the Ethereum network.
- GM: Short for “hello”, it’s a popular greeting on NFT Twitter. It signals that someone is online.
- HODL: A misspelling of “hold” which has become widespread and has earned the acronym “hold on (for) dear life”. The term signals that someone is not selling, despite potential volatility and uncertainty.
- GLF: Abbreviation for “Let’s fucking go”. Usually used to energize an NFT project.
- Market: A platform for buying and selling NFTs. Popular NFT marketplaces include OpenSea, Rarible, and Magic Eden.
- Metamask: A popular crypto wallet. MetaMask has a logo that looks like a fox.
- Metaverse: A virtual world where you have an avatar and you can buy things, play games and even start businesses. Many different companies (*cough, cough, Meta*) are trying to create a metaverse that “wins” and will go mainstream.
- Struck: Take a digital asset and put it on the blockchain to create an NFT.
- mooning: Describes the trend when the numbers increase. This means that prices are rising very quickly.
- NGMI: Abbreviation for “not going to do it.” It is used to grill people and projects that won’t last long in the NFT space.
- OpenSea: A popular NFT market. Currently only supports NFTs on Etherium and Polygon blockchains.
- paper hands: Selling NFTs under pressure. Usually used by “diamond hands” as a roast against people actually selling.
- PFP Project: Abbreviation for “profile picture project”. These are collections launched with the intention of being avatars that people can use as their Twitter profile picture to change ownership.
- Polygon: A blockchain used for NFTs that is popular for its lack of gas fees. Technically built on top of Ethereum.
- Pump and dump: A nefarious ploy to artificially “inflate” (raise) the price of an NFT project before selling everything at once, effectively “dumping” the price while making a profit.
- P2E: Abbreviation of “pay to win”. You get paid in crypto/NFT to play certain types of games.
- Road map: A general public plan for an NFT project. Usually gives an overview of the timing and usefulness of the project.
- rug pullover: An NFT project gone wrong. People lie about an NFT project in order to trick others into buying. Once they collect the money, they drop the project, walk away with the money, and everyone is sad and broke.
- Share: Breaking down a single NFT into smaller pieces, or fragments, so that a group of people can buy and own an NFT that is otherwise too expensive to buy in its entirety.
- Solana: A popular blockchain for NFTs known for its fast and cheap transactions.
- Smart contract: Public code attached to an NFT that runs on its own. Usually how the utility of an NFT is applied. Useful because you don’t have to trust the individual behind a project — you just need to trust the code that you can see and verify yourself.
- Staking: A way to earn passive income by locking your NFTs on the blockchain for a certain period of time. You can earn rewards for this in the form of crypto.
- To the Moon: A celebratory term used when the prices of an NFT project rise higher and higher.
- Utility: Underlying value of an NFT. Utility is the benefits, products, services, benefits or rights associated with owning an NFT. For example, some NFTS offer 30% off future products, private fund membership, access to an online course, access to private events, or brand copyrights.
Aprilynne Alter is an NFT YouTuber and startup founder.