A complete collection of professional terms and terms in the currency circle, a must-read guide for beginners

This guide aims to comprehensively introduce the most common professional terms and nouns in the currency circle in 2025, and to clear the barriers for beginners to enter the world of cryptocurrency. From the basic concepts of blockchain, cryptocurrencies, and altcoins, to more complex topics like tokens, mining, and exchanges, this guide will clearly and concisely explain the meaning, purpose, and relevance of each term.

2025 Complete Collection of Professional Terms and Nouns in the Currency Circle: Beginner’s Guide

Key Points:

• Comprehensive coverage of 2025 The most common professional terms and nouns in the currency circle, providing a comprehensive guide for beginners.
• Elucidate the meaning, purpose and relevance of each term to simplify understanding of the cryptocurrency world.

1. Blockchain

• A distributed ledger technology used to record and track digital transactions.
• Each block contains a set of transactions, the hash of the previous block, and a timestamp.
• The advantages of blockchain include security, transparency and immutability.

2. Cryptocurrency

• Digital assets running on blockchain technology, used as a medium of exchange.
• The nature of cryptocurrency is that it is decentralized and not controlled by banks or governments.
• The most common cryptocurrencies are Bitcoin and Ethereum.

3. Altcoins

• A large number of cryptocurrencies that imitate Bitcoin but have different functions and features.
• Altcoins are generally viewed as having higher risk and reward potential.
• Top 3 altcoins in 2023: Cardano, Binance Coin, Dogecoin.

4. Tokens

• run on a specific blockchain A digital asset that represents access or services to an underlying network or protocol.
• Coins are native tokens that are tied to the blockchain itself.
• Tokens are used for a variety of purposes, including payments, governance, and access to special features.

5. Mining

• The process of verifying and adding transactions to the blockchain.
• Miners use specialized computer equipment to solve complex mathematical problems and are rewarded with cryptocurrency.
• Proof-of-Work (PoW) and Proof-of-Stake (PoS) are common mining algorithms.

6. Exchange

• A digital platform that allows users to trade cryptocurrencies.
• Centralized exchanges are operated by companies, while decentralized exchanges are controlled by users.
• Top 3 exchanges in 2023: Binance, Coinbase, Kraken.

7. Smart contract

• A piece of code that automatically executes the terms of the contract on the blockchain.
• Smart contracts can reduce the need for transactions and increase efficiency and transparency.
• They are widely used in DeFi, supply chain management, and other industries.

8. Decentralized Finance (DeFi)

• Blockchain applications and protocols designed to build intermediary-free financial services.
• DeFi services include lending, trading, and insurance.
• It aims to increase financial inclusion and reduce costs.

9. Non-Fungible Token (NFT)

• A digital asset with unique identifying information stored on the blockchain.
• NFT typically stands for digital collectibles, artwork, or in-game items.
• They create a market for rarity and authenticity.

10. Metaverse

• A virtual world in which people can interact, socialize and conduct economic activities.
• The Metaverse utilizes blockchain and cryptocurrency to promote the virtual economy.
• It promises to be the future of digital experience.

FAQ:

• What is Bitcoin Halving?

  • Bitcoin halving happens every four years, which means the supply rate of new Bitcoins drops by 50%. The halving aims to control inflation and increase the value of Bitcoin.

• What is a Decentralized Autonomous Organization (DAO)?

  • DAO is an organization managed by code without a centralized power structure. They use smart contracts to automate rules and decisions.

• What is Web3?

  • Web3 is the third iteration of the internet and will be defined by blockchain, decentralized applications and user-owned data. It is designed to provide users with more control and power over their digital lives.

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