THE AIRDROPBUZZ LEARNING LIBRARY
Crypto, Web3 &
Airdrop Glossary
Understand the terms.
Know what you are agreeing to.
NEW TO CRYPTO?Start with these 10
103 terms
Plain English. Practical context.0-9
0x prefixBlockchain basicsA prefix that marks hexadecimal notation. Ethereum addresses commonly begin with 0x.
In practice
An address beginning 0x may belong to several compatible networks.
Keep in mind
The prefix alone does not identify the network.
A
Address poisoningWallets & securityA scam that places lookalike addresses in transaction history to encourage a mistaken transfer.
In practice
A tiny unsolicited transfer makes an attacker address appear in your history.
Keep in mind
Verify the entire destination through a trusted source, not recent transactions.
AirdropAirdrop participationA distribution of tokens to eligible participants, sometimes requiring a claim or prior activity.
In practice
A project may allocate tokens to wallets that used its application before a snapshot.
Keep in mind
Participation can cost money and does not guarantee a reward.
AllocationTokens & distributionThe quantity or share of tokens assigned to a participant, group or purpose.
In practice
An eligible account might receive an allocation that unlocks over several months.
Keep in mind
An allocation is not necessarily immediately transferable.
AllowlistAirdrop participationAn approved list of accounts or addresses permitted to participate in a particular action.
In practice
A campaign allows only previously registered wallets to claim.
Keep in mind
Being allowlisted does not prove that a campaign is trustworthy.
AltcoinCommunity languageA broad market label for cryptocurrencies other than Bitcoin.
In practice
People may call a network coin or an application token an altcoin.
Keep in mind
The label says nothing about quality, utility or risk.
AMMDeFi & transactionsAn automated market maker uses rules and liquidity pools to quote and execute swaps.
In practice
A swap exchanges one pool asset for another without a traditional order book.
Keep in mind
Thin liquidity and price movement can make execution expensive.
APRDeFi & transactionsAnnual percentage rate expresses a yearly rate without assuming earnings are compounded.
In practice
A quoted APR helps compare rates with the same calculation assumptions.
Keep in mind
Rates can change; token incentives may lose value.
APYDeFi & transactionsAnnual percentage yield expresses a yearly rate that includes an assumed compounding effect.
In practice
Reinvesting rewards can make an APY differ from the corresponding APR.
Keep in mind
A displayed APY is not a guaranteed future return.
B
BlockBlockchain basicsA batch of transaction and related data accepted under a blockchain network ruleset.
In practice
A transaction explorer shows the block that included a transfer.
Keep in mind
Inclusion may precede finality.
BlockchainBlockchain basicsA ledger whose linked blocks are maintained under a network consensus process. Access and decentralization vary.
In practice
A public chain lets you inspect transfers without asking a bank.
Keep in mind
Not every blockchain is public, permissionless or equally decentralized.
Block explorerBlockchain basicsA service for looking up public blockchain transactions, addresses and contracts.
In practice
Paste a transaction hash into the correct network explorer to check its status.
Keep in mind
An explorer listing is not an endorsement of a token.
Block heightBlockchain basicsThe position of a block in a chain, counted from its starting block.
In practice
Eligibility rules may name a snapshot block instead of a calendar time.
Keep in mind
The same height on two networks refers to different blocks.
BridgeDeFi & transactionsA mechanism for moving assets or messages between networks, often using locks, burns or representations.
In practice
A user bridges an asset before using an application on another network.
Keep in mind
Bridge contracts, operators and withdrawal processes introduce additional risks.
BurnTokens & distributionRemoving tokens from spendable circulation through a protocol action or an inaccessible destination.
In practice
A token contract may expose a function that reduces its recorded supply.
Keep in mind
A burn does not by itself guarantee a higher price.
C
Centralized exchangeDeFi & transactionsA trading platform operated by a company that usually controls deposited assets.
In practice
An exchange account can show a balance without a personal onchain wallet transfer.
Keep in mind
Withdrawals depend on the operator, its rules and applicable restrictions.
ClaimAirdrop participationThe action of requesting or receiving an allocation through a campaign specified process.
In practice
An eligible participant uses an official portal to collect unlocked tokens.
Keep in mind
Check the domain and requested permissions; never provide a recovery phrase.
CliffTokens & distributionAn initial waiting period in a vesting schedule before an amount becomes available.
In practice
An allocation may have a three-month cliff followed by gradual releases.
Keep in mind
Read the actual schedule rather than assuming the whole allocation unlocks at the cliff.
CoinTokens & distributionUsually a blockchain native asset, used for purposes such as fees or network security.
In practice
ETH is native to Ethereum; an ERC-20 token is issued through a contract.
Keep in mind
Ticker symbols can be copied by unrelated assets.
Cold walletWallets & securityA wallet setup whose signing keys are kept offline rather than routinely exposed to internet-connected software.
In practice
An offline signing device can authorize a transaction prepared elsewhere.
Keep in mind
Offline keys do not protect you from approving a harmful transaction.
ConsensusBlockchain basicsThe process a network uses to agree on valid history and state.
In practice
Nodes follow rules to decide which blocks they accept.
Keep in mind
Different mechanisms make different security and trust assumptions.
Contract addressBlockchain basicsThe network-specific address at which a deployed smart contract can be accessed.
In practice
Check a token contract address against the issuer official documentation.
Keep in mind
A matching name or logo does not establish contract identity.
CustodyWallets & securityWho controls the keys or authorization needed to move assets.
In practice
A custodial platform signs withdrawals; a self-custody user controls their signing setup.
Keep in mind
Self-custody also means responsibility for backups and permissions.
D
DAOBlockchain basicsA group coordinating decisions or resources with blockchain-based rules and governance processes.
In practice
Members vote on a proposal to fund a community initiative.
Keep in mind
Voting power and operational control may still be concentrated.
dAppBlockchain basicsAn application that uses smart contracts or decentralized infrastructure for part of its operation.
In practice
A swap website sends your signed transaction to a blockchain contract.
Keep in mind
The interface, hosting or admin controls may remain centralized.
DecentralizationBlockchain basicsThe distribution of control across participants instead of a single decision-maker or failure point.
In practice
Independent node operators can reduce reliance on one infrastructure provider.
Keep in mind
A decentralized label does not establish how control is actually distributed.
DeFiDeFi & transactionsFinancial applications using blockchain contracts for activities such as swapping, lending or borrowing.
In practice
A lending protocol accepts collateral and applies borrowing rules through contracts.
Keep in mind
Contract, collateral, oracle and liquidation risks remain.
DEXDeFi & transactionsAn exchange that uses blockchain mechanisms to execute asset trades rather than a conventional custodial order system.
In practice
A wallet signs a token swap that settles onchain.
Keep in mind
Decentralized execution does not guarantee a safe token or interface.
Diamond handsCommunity languageSlang for someone unwilling to sell despite large price movements.
In practice
A community calls a long-term holder diamond hands.
Keep in mind
Holding through losses is not automatically a sound decision.
DYORCommunity languageDo your own research: independently check claims, evidence, permissions and risks.
In practice
Compare a campaign announcement with its official rules before joining.
Keep in mind
The phrase is not evidence and does not excuse misleading promotion.
E
EligibilityAirdrop participationThe conditions an account or wallet must meet to participate or receive a reward.
In practice
Rules may combine activity, a snapshot, location and an identity check.
Keep in mind
A checker result can be provisional; read final terms.
ERC-20Tokens & distributionA common Ethereum-compatible interface for fungible token balances, transfers and spending allowances.
In practice
A wallet can support many tokens through the same standard interface.
Keep in mind
Standards compatibility does not establish issuer legitimacy.
EVMBlockchain basicsThe Ethereum Virtual Machine executes contract instructions under Ethereum-compatible network rules.
In practice
An EVM-compatible network can run many Ethereum-style smart contracts.
Keep in mind
Compatibility does not mean identical security or identical assets.
F
FaucetAirdrop participationA service that distributes small amounts of an asset, commonly testnet tokens for experimentation.
In practice
A developer requests test ETH before trying an application.
Keep in mind
Test tokens usually have no intended monetary value; do not buy them for promised rewards.
FDVTokens & distributionFully diluted valuation estimates value using a token price and a fully diluted supply assumption.
In practice
FDV can exceed circulating market capitalization when much of the supply is locked.
Keep in mind
It is not a prediction or proof that all supply can sell at that price.
FinalityBlockchain basicsThe point or level of assurance at which an accepted transaction is not expected to be reversed under network assumptions.
In practice
A service waits for finality before crediting a deposit.
Keep in mind
Confirmation requirements differ by network and service.
FOMOCommunity languageFear of missing out: pressure to act because others appear to be benefiting.
In practice
A rising token chart creates urgency to buy without checking the project.
Keep in mind
Urgency is not a reason to skip verification or a budget.
ForkBlockchain basicsA divergence in blockchain rules or history; some forks are temporary, while rule changes may create lasting splits.
In practice
A protocol upgrade changes which blocks participating nodes consider valid.
Keep in mind
Not every fork creates a new tradable asset.
FUDCommunity languageFear, uncertainty and doubt: a label communities use for worrying narratives or claims.
In practice
A rumour about a project prompts concerns in a chat group.
Keep in mind
Do not dismiss documented security problems as FUD.
G
GasDeFi & transactionsA unit measuring computational work required by an Ethereum-style transaction. The gas fee is the cost paid for that work.
In practice
A complex contract action can use more gas than a simple transfer.
Keep in mind
A failed executed transaction may still consume gas.
Gas limitDeFi & transactionsThe maximum gas an Ethereum-style transaction is allowed to consume.
In practice
A transaction that runs out of gas fails after consuming its allowance.
Keep in mind
Increasing the limit does not fix a malicious contract.
Gas priceDeFi & transactionsThe price paid per unit of gas, often quoted in gwei on Ethereum.
In practice
Total execution fees depend on gas used and the effective price per unit.
Keep in mind
Fees change with demand; the same action can cost different amounts.
GovernanceBlockchain basicsThe process by which a protocol or community proposes and decides changes.
In practice
Token holders may vote on a parameter update.
Keep in mind
A vote may be advisory, concentrated or subject to additional admin powers.
H
Hardware walletWallets & securityA physical device designed to keep signing keys isolated and authorize actions on the device.
In practice
You review a destination on the device before signing a transfer.
Keep in mind
Verify the device display; recovery words must stay secret.
HODLCommunity languageCrypto slang originating from a misspelling of hold, often meaning to keep an asset through volatility.
In practice
A holder says HODL during a market decline.
Keep in mind
It is slang, not a risk-management strategy.
Hot walletWallets & securityA wallet whose signing environment is connected to the internet for convenient use.
In practice
A browser wallet signs an everyday transaction.
Keep in mind
Device compromise and malicious permissions can expose assets.
I
Impermanent lossDeFi & transactionsA liquidity-provider position underperforming holding its underlying assets as their relative prices change.
In practice
A pool rebalances your token amounts when one asset rises against the other.
Keep in mind
Fees may not offset the loss; withdrawal can realize it.
K
KYCAirdrop participationKnow your customer checks used by some services to verify identity and meet compliance obligations.
In practice
A campaign may require identity verification before distribution.
Keep in mind
Only submit personal documents through a verified process you understand.
L
Layer 1Blockchain basicsA base blockchain network with its own consensus and settlement rules.
In practice
Ethereum and Bitcoin are examples of base-layer networks.
Keep in mind
Assets and addresses must be checked against the intended network.
Layer 2Blockchain basicsA network or system that scales a base chain while relying on it for some security or settlement functions.
In practice
A rollup processes activity and submits information to Ethereum.
Keep in mind
Withdrawal delays, upgrade control and security assumptions vary.
LiquidationDeFi & transactionsForced reduction or closure of a position when required collateral or margin conditions are not met.
In practice
Falling collateral prices push a loan below its required safety threshold.
Keep in mind
Borrowing to farm rewards can lose collateral.
LiquidityDeFi & transactionsHow readily an asset can be bought or sold without materially moving its price.
In practice
A small order can move a thin market much more than a deep one.
Keep in mind
A quoted token balance is not proof that it can be sold.
Liquidity poolDeFi & transactionsAssets supplied to a contract for uses such as swaps or lending.
In practice
Liquidity providers deposit two assets into a swap pool.
Keep in mind
Deposits may face contract exploits, changing composition and withdrawal constraints.
M
MainnetBlockchain basicsA production blockchain network where assets and transactions can have real economic consequences.
In practice
Switching from testnet to mainnet changes which ledger your wallet uses.
Keep in mind
Check network details before sending real assets.
Market capitalizationTokens & distributionA valuation estimate calculated from market price and circulating supply.
In practice
Two tokens with the same price can have very different market caps.
Keep in mind
Market cap is not money held in reserve or available exit liquidity.
Merkle proofAirdrop participationA compact cryptographic proof that an item belongs to a particular committed dataset.
In practice
A claim contract checks a proof that a wallet belongs to an allocation list.
Keep in mind
A valid proof does not establish fairness or legitimacy of the list.
MintTokens & distributionCreating or issuing new units of a token or another blockchain asset.
In practice
An NFT contract records a new token when a mint succeeds.
Keep in mind
Check who retains minting authority and what supply limits exist.
MultisigWallets & securityAn authorization arrangement that requires multiple approved signers to execute an action.
In practice
A treasury requires two of three signers before transferring assets.
Keep in mind
Compromised signers or unsafe modules can still put funds at risk.
N
NFTTokens & distributionA non-fungible token is an individually identifiable blockchain token, often associated with an item or access right.
In practice
A membership pass uses a unique token ID.
Keep in mind
Owning the token does not automatically transfer artwork copyright.
NGMICommunity languageNot gonna make it: informal pessimistic slang about a decision or outcome.
In practice
A chat calls an impulsive trade NGMI.
Keep in mind
It is opinion, not evidence or a forecast.
NodeBlockchain basicsA computer running software that participates in a blockchain network, for example by validating and relaying data.
In practice
A full node independently checks blocks against protocol rules.
Keep in mind
Node types differ; not every node produces blocks.
NonceBlockchain basicsA number used to distinguish or sequence messages; Ethereum accounts use a transaction count for transaction ordering.
In practice
A pending transaction can prevent a later nonce from being processed first.
Keep in mind
Nonce meanings differ between protocols and cryptographic contexts.
O
OffchainBlockchain basicsActivity or information handled outside the blockchain ledger.
In practice
A campaign stores social-task points in its own database.
Keep in mind
Offchain records depend on the operator and are not automatically verifiable onchain.
OnchainBlockchain basicsActivity or state recorded on a blockchain network.
In practice
A settled token transfer appears in the network transaction history.
Keep in mind
A public transaction does not reveal every offchain agreement behind it.
OracleDeFi & transactionsA mechanism that supplies external information to blockchain contracts.
In practice
A lending protocol uses an oracle price to assess collateral.
Keep in mind
Stale or manipulated data can cause losses even if contract code executes correctly.
P
Paper handsCommunity languageSlang for someone who sells quickly, especially during volatility.
In practice
A community uses the phrase when holders exit after a price drop.
Keep in mind
Exiting an unsuitable risk is not automatically a mistake.
PhishingWallets & securityImpersonation designed to steal secrets, money or authorization through deceptive messages and websites.
In practice
A fake claim portal asks for recovery words.
Keep in mind
Never enter a recovery phrase into a claim or support form.
PointsAirdrop participationAn account-based score a project assigns for specified activity or contributions.
In practice
A task dashboard credits points after checking participation.
Keep in mind
Points are not tokens, cash or a guaranteed future allocation.
Private keyWallets & securitySecret cryptographic material used to authorize actions for an associated account.
In practice
Wallet software uses a key to produce a transaction signature.
Keep in mind
Anyone who obtains a usable key may control its assets.
Proof of stakeBlockchain basicsA consensus approach in which validators commit stake and follow protocol rules to help secure the network.
In practice
A validator may earn rewards or face penalties for its behavior.
Keep in mind
Staking involves operational, protocol and sometimes service-provider risks.
Proof of workBlockchain basicsA consensus approach where miners expend computation to propose blocks meeting a difficulty target.
In practice
Bitcoin miners search for valid block hashes.
Keep in mind
A game calling points mining does not imply device proof of work.
Public keyWallets & securityCryptographic information associated with a private key, used in signature verification and sometimes address construction.
In practice
A protocol may derive a receiving address from a public key.
Keep in mind
An address and a public key are not universally the same thing.
Q
QuestAirdrop participationA campaign task such as trying a product, answering a quiz or completing community activity.
In practice
A project awards account points after a verified tutorial task.
Keep in mind
Completing tasks does not establish reward eligibility unless the rules say so.
R
ReorganizationBlockchain basicsA change to a blockchain accepted history when some recently accepted blocks are replaced.
In practice
An explorer can show a transaction moved to another block after a reorg.
Keep in mind
Recent inclusion may be less reliable than finalized settlement.
Revoke approvalWallets & securityRemove or reduce a previously granted token-spending permission.
In practice
You set an unused spender allowance to zero through a trusted tool.
Keep in mind
Revocation cannot recover assets already transferred and may require gas.
RollupBlockchain basicsA scaling system that processes transactions outside a base layer and submits data or commitments to it.
In practice
A rollup batches many actions before publishing information to Ethereum.
Keep in mind
Proof systems, data availability and upgrade permissions differ.
Rug pullWallets & securityAn abusive project exit or action that leaves participants unable to recover value, often after liquidity or control is misused.
In practice
An operator removes liquidity after attracting buyers.
Keep in mind
An unreachable website alone is not proof of fraud.
S
Seed phraseWallets & securityA recovery word sequence used by many wallets to derive signing keys.
In practice
Restoring compatible wallet software can recreate accounts from the recovery words.
Keep in mind
Never share it, screenshot it into cloud storage or enter it in a claim site.
SignatureWallets & securityCryptographic authorization or evidence that a message was signed by an account signing key.
In practice
A website asks for a signed login message instead of an onchain transaction.
Keep in mind
Some gas-free signatures authorize spending; read exactly what is being signed.
SlippageDeFi & transactionsThe difference between expected execution and the price actually obtained.
In practice
A swap executes at a worse rate after the market moves.
Keep in mind
High slippage tolerance can expose you to poor execution.
Smart contractBlockchain basicsProgram code deployed to a blockchain that executes according to network rules when invoked.
In practice
A claim contract checks conditions before transferring an allocation.
Keep in mind
Code can contain bugs, admin powers or harmful logic.
SnapshotAirdrop participationA record of account or network state at a specified point used to apply eligibility rules.
In practice
A campaign checks past wallet activity and an offchain points record.
Keep in mind
Later activity may not count; a snapshot does not itself confirm rewards.
StablecoinTokens & distributionA cryptoasset designed to track a reference value such as a currency, using a particular reserve or stabilization model.
In practice
A dollar-tracking token aims to trade near one US dollar.
Keep in mind
Stablecoins can depeg and carry issuer, reserve and redemption risks.
StakingDeFi & transactionsCommitting assets to participate in proof-of-stake security, directly or through a service.
In practice
A validator commits stake under the network rules.
Keep in mind
Some products use staking loosely for unrelated yield programs; inspect the mechanism.
SybilAirdrop participationOne actor presenting as multiple independent participants, often to influence a system or collect repeated rewards.
In practice
A campaign screens clusters of accounts it believes share an operator.
Keep in mind
Screening can make mistakes; follow the published appeal process.
T
TestnetBlockchain basicsA separate network for testing software and interactions without using the production ledger.
In practice
A developer tries a contract with test tokens before mainnet deployment.
Keep in mind
Testnet activity does not guarantee a later airdrop.
TGETokens & distributionToken generation event: a project term for a token issuance or launch milestone.
In practice
A schedule may describe a percentage of an allocation available at TGE.
Keep in mind
TGE does not necessarily mean claims, listings or withdrawals are open.
TokenTokens & distributionA digital unit recorded under a blockchain protocol or contract, with rights and uses defined by its design.
In practice
An application issues a fungible token through a smart contract.
Keep in mind
A ticker, logo or token balance does not establish value or legitimacy.
Token approvalWallets & securityA permission allowing another address or contract to spend specified tokens on an account behalf.
In practice
A swap may ask for an allowance before exchanging your tokens.
Keep in mind
Unlimited approvals and some signed permits can expose future balances.
TokenomicsTokens & distributionThe design of a token supply, distribution, incentives, utility and release rules.
In practice
A distribution chart separates community, treasury, team and investor allocations.
Keep in mind
A chart does not verify reserves, demand or future performance.
Transaction hashBlockchain basicsAn identifier used to look up a transaction on a particular network.
In practice
A withdrawal receipt includes a hash you can check in an explorer.
Keep in mind
A submitted hash alone does not prove successful execution.
U
UnlockTokens & distributionWhen a previously restricted allocation becomes available under its release conditions.
In practice
A vesting contract releases another portion of an allocation.
Keep in mind
Unlocked does not automatically mean claimed, liquid or sold.
V
ValidatorBlockchain basicsA participant that performs protocol validation duties, with the exact role depending on the network.
In practice
A proof-of-stake validator attests to blocks according to network rules.
Keep in mind
Running a validator is different from simply holding tokens.
VestingTokens & distributionA schedule or set of conditions that gradually releases an allocation.
In practice
A recipient receives part now and the remainder through later releases.
Keep in mind
Check whether the schedule is enforced onchain and whether it can change.
VolatilityCommunity languageThe degree to which an asset price varies over time.
In practice
A token price can change sharply between receiving and selling it.
Keep in mind
Reward quantities are not guaranteed cash values.
W
WAGMICommunity languageWe are all gonna make it: a community expression of shared optimism.
In practice
A group uses WAGMI to celebrate a project milestone.
Keep in mind
Optimism is not evidence of returns or future success.
WalletWallets & securitySoftware or hardware for managing accounts and authorizing blockchain interactions; assets are recorded on the network.
In practice
A wallet displays balances and requests confirmation before signing.
Keep in mind
Wallet connection, signatures and token approvals are different actions.
Wallet addressWallets & securityA network-specific account identifier used for receiving assets or interacting with accounts.
In practice
You share a receiving address, not a recovery phrase, to receive a token.
Keep in mind
Verify network and full address; public addresses can expose transaction history.
Web3Blockchain basicsAn approach to online applications using blockchain-based ownership, accounts or coordination, with varying degrees of decentralization.
In practice
A user signs into an application with a wallet-controlled account.
Keep in mind
A Web3 label does not remove operator control or security risks.
WhaleCommunity languageAn informal label for a participant controlling a relatively large position or transaction size.
In practice
A large transfer draws attention in a small token market.
Keep in mind
A transfer does not by itself establish buying, selling or intent.
Wrapped tokenDeFi & transactionsA token representing another asset under a particular custody, bridge or contract mechanism.
In practice
A representation lets an asset be used in an application with a different interface.
Keep in mind
Redemption and backing depend on the specific mechanism.
Y
Yield farmingDeFi & transactionsMoving or supplying assets to protocols to seek fees, interest or incentives.
In practice
A participant deposits into a pool that distributes incentive tokens.
Keep in mind
Losses, changing rates, fees and token dilution can exceed rewards.
Z
Zero-knowledge proofBlockchain basicsA cryptographic proof that can establish a statement without revealing the underlying private information beyond what the statement exposes.
In practice
A system proves a rule was satisfied without publishing every input.
Keep in mind
A ZK label does not make an entire application private.
No matching terms
Try a shorter word or another topic.
KNOW THE LANGUAGE. CHECK THE DETAILS.
Ready to explore a real campaign?
Read its rules, costs and eligibility before taking part. Points and participation do not guarantee tokens.