It is on my mind to gradually develop a glossary of crypto terms, for the general benefit. There are terms I’ve come across in daily surfing. Any help you can give will be valued.
Can anyone help me understand what these mean in the cryptocurrency world?
Alt coins
Cold wallet
FOMO
Fractals in cryptocurrency
Massive adoption
Mining
Node
Predictability in cryptocurrency
Smart contract
Stake a pool
Alt Coins:
Right wing extremist crypto bordering on neonazi.
Cold Wallet:
A computer stored in a freezer to help keep cpu and gpu temps down.
FOMO:
“Fear of Mandarin Oranges” an unhealthy fear of small oranges that originate from mainland China.
Fractals In Crypto:
Slang for the patterns one sees on tradingview.com ADA graphs when micro-dosing on lsd.
Massive Adoption:
When Angelina Jolie goes to a country to adopt more children.
Mining:
The reason why even the crappiest of GPUS cost more than $400 USD.
Node:
Something you should consult a doctor about if found on your body.
Predictability in crypto:
Understanding why Bitcoin drops $1,200 in 5 minutes for no damn reason.
Smart Contract:
If banks and lenders were the Tarasov mob, Smart Contracts are John Wick.
Stake a Pool:
The method in which an entire new generation of millionaires was created.
I only kid. I see that others are writing more accurate responses so I decided to be of no help whatsoever. I hope at least one of them made you laugh!
-Richard
Altcoin: Alternative Coins besides Bitcoin
Cold Wallet: Offline wallet, there are e.g. USB devices
FOMO: “Fear of missing out” - It’s the fear to miss an opportunity while there’s a price increase. After buying crypto, Bitcoin or altcoin, for a high price, there’s often a phase where the price corrects itself. The term FOMO can be used in every life situation.
Fractals in Cryptocurrency: basic repeating (reversal) patterns of five bars or more, they’re used in price predictions
Massive adoption: Massive adoption was a festival planned to invite people to study, work and build in the industry. Unfortunately it was cancelled.
Proof of Work PoW: Protocol that validates transactions with complex cryptographic calculations, which has to be solved from a miner. By solving these calculations the Miner is creating new blocks which have to be controlled by other miners to create consensus.
Mining: Miners validate the transactions by solving the calculations. If they complete a block they are rewarded with a certain amount of cryptocurrency.
Predictability in cryptocurrency: Possibility to predict the price movement of a cryptocurrency. Here’s a link to an abstract that used different algorithms to prove that.
Proof of Stake PoS: Protocol which validates transactions by showing, opening the amount of coins in your wallet. You can validate e.g. 5% of all transactions, of got 5% of all coins. The more you stake the greater are your rewards.
Stake Pool: A pool where you can pledge your stake. You’re putting your stake together to get a higher reward. The stake pool operator also has to provide a stable network.
Node, smart contract and other essential words are explained in the link below.
Can you give me an example of a healthy fear?
Thank you so much. Very helpful. I will post on Whole Human, where I’ve created a crypto space.
( Altcoin: Alternative Coins besides Bitcoin)
Is ADA considered an Altcoin?
Yes, ADA is an altcoin. In my opinion the cryptocurrency with the highest market capitalization is the maincoin. Bitcoins market capitalization lays around 65%. So if e.g. ADA gets the highest market cap it could be considered as maincoin.
You could also say that Bitcoin was the first coin created and every other coin is going to be alternative version of the idea, so Bitcoin is the origin.
Thank you again, Cardano_G.
Naive and new as I am, it seems possible that the Cardano ADA will become the market dominant coin. As I understand, it is unique in that it is a platform and protocol designed to integrate altcoins.
well, yes. …ish.
like ethereum, cardano has the both a currency element as well as a computation element.
unlike ethereum, cardano separates the currency from the computation. (this decoupling is reeealy good from a speed and security standpoint as well as for implementing and integrating future developments)
in cardano you’ll hear the currency element referred to as the settlement layer (SL) while the computational element will be referred to as compute layer (CL).
the computation element (which cardano will have once voltaire release occurs) is what is referred to as a virtual machine/computer. on this folks will be able to run programs (aka smart contracts) and well as create tokens. these tokens would be “alt-coins” that run on cardano. most likely stored on the ledger on SL, and accessed by CL if a smart contract requires some payment transaction to occur, perhaps a fee for executing/running the smart contract for instance.
“alt-coins” that run on ethereum and other platforms will in the future be interoperable, and be able to run/interact with “alt-coins” on cardano.
an analogy i think is useful would be to compare bitcoin to gold (most valuable as one thing, store of value, and if your feeling generous with attributes - a rare and cumbersome medium of exchange), then compare ethereum to oil (use as fuel/energy or create byproducts like plastics etc from the one thing, but you can only use it for either or).
cardano would be like gold aaand oil.
a very convenient and secure medium of exchange from the outset - which then as it ages and gains adoption becomes a store of value. aaall the while still able to function as a world computer unimpeded. keeping in mind the value computation will continue to have moving into the future as it becomes decentralised and ubiquitous.
Wow, this is so helpful. Besides giving useful information by which my wife and I can gain understanding, it stimulates the analytical function of my brain, which has been on vacation for awhile.
May I reprint your comments in the Crypto area of the Whole Human site?
Best regards.