A glossary of common terms in Crypto, and terms unique to Axion
A string of characters and numbers that represent a destination where crypto can be sent to or from.
A term used to define all crypto assets other than Bitcoin. Alt simply stands for Alternative.
All-Time-High - An acronym referring to the all-time high price of an asset.
All-Time-Low - An acronym referring to the all-time low price of an asset.
Purchase and sell the same asset in different markets to profit from price differences.
Comprehensive analysis of code with the intent of discovering bugs or security breaches. Audits can also be done for the economics or legal aspects of a project
Founded & released in January 2009, Bitcoin is the first digital currency of its kind & ground zero for the entire crypto world as we know it. You can earn Bitcoin simply by staking Axion!
A block is a data file used for recording and storing permanent transactions pertaining to a specific network. A block records some or all of the most recent transactions in chronological sequence. This data is a permanent record such that a block acts like a page of a ledger or record book. Once a block is filled a new block is added which ensures that once written, the records cannot be altered or removed. A block can be thought of as a link in an ever-growing chain of cryptocurrency transactions that are collectively known as a blockchain.
A numeric representation showing the number of the current block being hashed.
A blockchain is a type of database or ledger, that is stored electronically on a computer system in the form of data files called blocks. These blocks allow for the sending and receiving of cryptocurrency transactions. These blocks are strung together in a “chain” comprising millions of blocks that are constantly being added as transactions are processed. The blockchain is decentralized allowing public access to the data that is freely accessible to anyone and beyond the reach of a single controlling government, agency, or group.
Big Pay Days are a valuable reward mechanism that was built into the Axion ecosystem to incentivize longer stakes. There are 50 billion AXN tokens allotted to the Big Pay Days over five years for stakes that are locked for the required amount of 350 days or more.
Token BuyBacks are a function of our auction contract. When someone bids ETH into our auctions, a portion of that ETH is instantly used to purchase either AXN or wBTC from Uniswap, which is then used to reward stakers.
Something that is controlled by a single authority or managed in one place. Examples of centralized finance include banks and Federal Reserves or centralized data like that owned and managed by big tech companies.
Centralized exchanges most commonly facilitate trades between users by maintaining an order book: a collection of buy and sell orders posted by individual traders. Orders are requests to buy or sell a certain amount of a specific cryptocurrency at a certain price. CEXs aggregate orders from their users and then use special software to match and execute the corresponding buy and sell orders.
Used to describe a cryptocurrency wallet that is not connected to the internet, and thus cannot be used to process transactions without first being reconnected (and turning into a “hot wallet”). Cold Wallets are more secure and less prone to unauthorized use.
In the blockchain, all transactions must be validated by 6 or more independent nodes in order to be considered “confirmed.” This validation process proves that the action was truly intended by its submitter, preventing unauthorized transactions from being posted to the blockchain.
A consensus is a fault-tolerant mechanism that is used in the blockchain to achieve the necessary agreement amongst all the decentralized processors that are computing transactions for the network. Simply put, all nodes must agree on verified transactions, reaching a consensus.
A form of digital currency that is secured by cryptography, making it nearly impossible to counterfeit due to the resiliency and distributed ledger that is called the blockchain. Axion is a type of Ethereum-based cryptocurrency.
Decentralized Autonomous Organization. A DAO is a group of people or organizations that are unified in purpose such that they act as one organizational body.
Decentralized APPlication. A DAPP operates in such a way that it is not tied to a central governing application or database. Its main benefits are immutability, accountability, anonymity, bandwidth, and the user maintaining total control over their personal data.
Owned by no one entity, government, organization, group, person, or community. Ownership is spread out to anyone and everyone wants to join. True decentralization is possible with cryptocurrencies.
Decentralized Finance. Meaning no one entity like a bank or government can control or have access to an individual’s finances.
Deflationary items are limited in supply and thus high in demand, resulting in an upward price/valuation movement.
Shorthand for Degenerate. Degen trading or Degen mode is when a trader does trading without due diligence and research, aping into signals and FOMO into pumps. A Degen Trader does not know about metrics like FDV or TVL, nor do they care. They will buy because the asset logo looks cute, or because the slogan is memorable, or because some twit-famous anime girl on the internet says she's looking into crypto, and the first two shill comments get more likes than others. Essentially, a degen trader buys into an asset not because they see the value, rather they do so with the belief that others will join in after them and speculate on the price swings.
Decentralized EXchange. DEXs allow cryptocurrency holders to exchange with each other directly, on a peer-to-peer basis, without needing to trust an intermediary or centralized exchange to create the transaction.
DLT refers to the technological infrastructure and protocols that allow simultaneous access, validation, and record updating in an immutable manner across a network that’s spread across multiple entities or locations.
Direct Message. A message that is sent directly from one user to another on a messaging application such as Discord.
A non-crypto slang that is often used in the crypto community when investors were frequently getting scammed by illegitimate ICO projects. DYOR was used to remind investors that they are responsible for their own investment decisions.
ERC-20 tokens are a type of cryptocurrency written for and running on the Ethereum network. Axion is a type of ERC-20 token.
ERC-721 tokens are smart contracts used primarily to verify the “digital uniqueness” of the piece of data it holds, such as a picture. Used primarily for NFT’s.
Ethereum (shortened to ETH) is the second-largest cryptocurrency following Bitcoin based on market capacity. It was released in July of 2015 and gained widespread adoption due to its ability to run code on the blockchain in the form of “smart contracts.”
Fiat currencies are currencies that are backed by political/governmental institutions and reinforced by their global trading strength. Fiat currencies are primarily used to pay for goods or services and are centralized around the governments that control them.
Fear Of Missing Out. The phenomenon by which someone will choose to participate (or invest) in something, not because of sound reasoning or logic, but because they feel they will “miss out” if they do not participate. FOMO often leads to regret.
Fear Uncertainty and Doubt. It is used to refer to very dark and unsettling times regarding the future of something. Someone who spreads FUD (FUDding) is often doing so without any supportive evidence or the ability to back up their claims and is often just spreading rumors with the purpose of discouraging others.
Gas refers to the method of payment (often in fractions of a token) that is given to the processing nodes that are computing transactions on the blockchain. Also referred to as Network Fees, the price by which you pay to have your transaction processed on the network.
The gas limit is the maximum amount of Gas that a transaction will consume before ‘failing’, used as a safeguard to make sure that a user does not spend more on Gas than they would like.
A digital repository and code hosting platform for software that allows for version control and collaboration. Here is Axion’s GitHub.
The share rate of the Axion token that converts Axion into Shares during the staking process. The higher the share rate, the fewer shares you receive when you stake.
Gwei is a very small unit of the Ethereum network’s Ether (ETH), represented as 1 Billionth of an Ether. Gwei is a useful unit to measure network transaction fees, also known as Gas.
A hardware wallet is a special type of cryptocurrency wallet which stores the user’s private keys in a very secure manner, preventing these private keys from being hacked or stolen. A transaction cannot be submitted to the blockchain without first being authenticated by the hardware device itself, preventing fraud or unauthorized use. See Ledger or Trezor.
A hash is a function that converts an input of letters and numbers into an encrypted output of a fixed length. A hash is created using an algorithm and is essential to blockchain management in cryptocurrency.
An intentionally misspelled version of HOLD, often referred to colloquially as someone who invests with no intention of selling, no matter how high or low the price fluctuates.
A hot wallet is a tool that allows a cryptocurrency owner to receive and send tokens by remaining connected to the internet, unlike a cold wallet. They are inherently less secure because they can be accessed via the internet itself.
An ICO is a method used to raise funds for a cryptocurrency conducted on the project owner’s website.
Before the ICO, the project team behind a cryptocurrency will publish a whitepaper explaining the concept of the project. Potential investors can read the whitepaper and evaluate the project before investing. A whitepaper serves the same function as a prospectus published before an IPO.
An Initial DEX Offering (IDO) is a crowdfunding technique that allows cryptocurrency projects to launch their native token or coin through a decentralized exchange (DEX). The IDO model is the infamous successor to ICOs, which allows projects to launch on their own to raise money for growth and development.
Unlike ICOs, IDOs offer projects a quick and affordable way to distribute their tokens and raise funds while providing investors with a higher level of security. Furthermore, most IDOs require participants to sign up in advance by joining the whitelist via a website or social media platform. The Axion Launchpad offers IDO launches.
Like an ICO, an IEO is another fundraising model. However, IEOs take place on controlled cryptocurrency exchanges.
The project owner seeks out a cryptocurrency exchange that will list their coins. A coin listed on a well-known exchange gives potential investors a certain degree of confidence. However, a project seeking to secure a listing on a large exchange will be significantly more expensive. The exchange takes a listing charge and even a portion of token sales.
An IGO is a fundraising model for cryptocurrencies and tokens in the NFT gaming space. IGOs take place on launchpads like Gamestarter (GAME) and Gamefi (GAFI).
Before the public has access, IGO investors will have access to newly issued tokens. This method has the same rewards and risks as purchasing newly released cryptocurrencies and tokens. Although a user can purchase the coin at a highly attractive price, there are no guarantees of how much it will rise in value once it is made available to the public.
Not susceptible to any altercation, change, manipulation, or editing after its original creation. In the blockchain, once a block is processed, it is immutable and thus cannot ever be changed. This is why transactions on the blockchain are permanent, meaning they cannot be erased or undone. Because of this, it is always good to verify transactions before submitting them to be processed! The Axion Token Contract is Immutable.
When one of the assets in a liquidity pool goes up in value compared to the other, the dollar value of the assets provided by a liquidity miner is lower compared to just holding the initial deposit. If one of the assets doubles in price while the other stays the same, the impermanent loss is around 5.7%.
An increase in the price level of a good relative to its economic standing. When the general price level rises, each unit of currency buys fewer goods and services and thus becomes weaker over time.
Interest, represented in % APY (or Annual Percentage Yield) is the amount your investment is paid back over time.
Know Your Customer. A set of rules laid out by the government for companies to obtain a certain amount of information from their participants, used for fraud and tax detection.
Also called a second layer; it is a protocol that is built on top of another protocol in order for operations to be performed to the first layer, or manipulate the parameters of the first layer from within the second layer. Layers can continually be added, though they tend to become more complex with each additional layer.
Ledger is a type of Hardware Wallet used to store cryptocurrencies in a highly secure manner. With a Ledger, transactions must be approved by physically clicking buttons on the device itself, which ensures that hackers cannot withdraw cryptocurrency without access to the physical device and its protective password.
When used in the sense of ‘Liquid BTC’, we mean this BTC is available to withdraw or spend immediately, it's not staked.
Liquidity is the ability of a coin to be easily converted into cash or other coins. Axion uses significant liquidity stored on an exchange like Uniswap to allow for simpler transactions and price stability. Liquidity also represents the health of the token, the more liquidity the more there is available for trade.
Also known as “software mining,” where network participants can submit their liquidity in the form of contributing equally matching ETH and AXN to the Uniswap liquidity pool, in return for real-time bonuses in AXN tokens.
A core component of the Axion token, Longer Pays Better means that an investor will get significantly more return on their investment (ROI) in the form of higher APY and Bitcoin rewards by staking their investment for as long as possible, up to a maximum of 15 years. The longer the stake, the greater the shares an investor receives, thus the better rewards.
Mainnet is when a blockchain protocol, such as Ethereum, is fully developed and deployed, allowing real transactions to be broadcast, verified, and recorded on the blockchain.
MetaMask is a type of software hot wallet that allows for easy trading, swapping, and integration into websites that allow for wallet addresses to be read. MetaMask does not store cryptocurrencies for you, it merely allows you to load or generate secret keys into the software that are then read by or submitted to the blockchain.
Mining is the process in which computing nodes compete with each other to verify and publish transactions on the blockchain. A successful transaction process yields payment to the node that was the first to process the transaction block to the blockchain. Often called the “block reward.”
Opposite of immutable. Meaning it is liable or susceptible to change by being edited, adjusted, or otherwise manipulated. Mutable blocks on the blockchain would mean transactions could be reverted at best, or at worst the funds in question could be redirected to an unauthorized address.
Non-Fungible Token. An NFT is a unit of data on the blockchain where each NFT can represent a unique digital item and thus are not interchangeable. NFTs can represent digital files such as art, audio, videos, items in video games, and other forms of creative work.
A computer/device that connects to a cryptocurrency network and helps strengthen the network’s resilience by adding its processing power to the overall group.
A number only used once. A pseudo-random number, generated in order to satisfy the parameters required by the mining and hashing algorithms as a part of the security check.
Software or protocols that are available to the public at no cost and can be used by anyone.
Once our auctions have ‘sold out’, if more bids are placed and the price becomes higher than simply buying on Uniswap, we class the auction as ‘overbid’.
A very secure way of storing crypto in a wallet that is stored “offline” by writing the secret keys down on a piece of paper and unloading those keys from any software or hardware wallets until they need to be used again.
Income that is generated passively, without any doing on the investor’s part. Healthy passive income should be the desire of any investor, such that enough passive income generation means never having to work at a job!
The fees or deductions from the value of a stake that has not been withdrawn within the withdrawal period (typically 2 weeks).
The private key is a specific string of words that is used to unlock a crypto wallet. Think of a private key as the key to a house. Whoever has the key can enter the house and add or remove any items from the house that they wish. Just as you would not share your home key with a stranger, Private Keys should be treated with the utmost caution and should NEVER be given away to anyone, and should especially not be photographed or otherwise stored on a computer. Write a private key down on multiple pieces of paper and store
Proof of stake is a type of consensus mechanism by which a cryptocurrency blockchain network achieves distributed consensus. In PoS-based cryptocurrencies, the creator of the next block is chosen via various combinations of random selection and wealth or age vs sheer processing power in a Proof of Work (PoW) type of consensus.
Rewards are what you earn from Staking Axion, in the form of more AXN or even wBTC (Bitcoin).
Ropsten Ethereum, also known as “Ethereum Testnet” is a testing network that runs the same protocol as Ethereum but is used for testing purposes before deploying on the main network (Mainnet).
The mysterious pseudonym/entity that created and released the first iteration of Bitcoin, Blockchain, and Distributed Ledger technology to the world.
In honor of Satoshi Nakomoto, a Satoshi is the most micro-unit of splitting a bitcoin, representing 0.00000001 of a Bitcoin.
A colloquial terminology used to refer to crypto projects that are either poorly constructed, scammy or fraudulent, dead-end investments, or fakes. It is generally advisable to avoid or ignore these types of coins.
Shares of ownership of Axion, given in exchange for Axion tokens. Shares generate interest and produce rewards in the form of Bitcoin and are proportionally distributed based on the amount of Axion staked and the duration of the stake term.
Slippage is the difference between the expected price of a trade and the executed price of that trade. It is more likely to happen when there is a higher level of volatility, such as breaking news that forces unexpected trends in the market.
Smart Contracts are the product of software that is run on the blockchain itself, resulting in an unalterable agreement that has specific logic operations akin to a real-world contract. Once signed, it can never be altered. Smart Contracts are easily verifiable and authenticated because of their persistence on the blockchain.
Someone who has an active stake in Axion (represented by a number of Shares)
The Share Percentage is how much of the Share Pool you own. If the pool has 1,000,000,000 shares in it, and you own 10,000,000 shares yourself, you own 1% of the Share Pool.
Where AXN investors utilize their AXN tokens to earn shares by executing time-locked deposits, which in turn awards rewards over a period of time.
Examining and predicting price movements in the financial markets, by using historical price charts and market statistics.
An online ecosystem (such as the Ropsten test network) where developers can freely interact with the code of a blockchain to experiment around with it before launching to the Mainnet.
Tokens are a framework that bridges the physical and digital realms of value. ERC-20 tokens, for example, allows for interaction + access with Ethereum’s decentralized DAPP ecosystem, carrying both value and processing components all on the blockchain.
A combination of Token and Economics. Used to address the metrics and token role within its ecosystem.
The absolute maximum amount of a cryptocurrency that can be produced or “minted.”
Refers to Traditional Finance and traditional concepts related to our current banking systems throughout the world.
The fee (often referred to as Gas) a user pays to have their transaction processed. By paying miners to process a transaction, it ensures security and competitiveness to the ecosystem that keeps it ever developing and ever supported. The network would fall apart without gas fees due to the immense power requirements needed to process transactions.
The unique ID that is assigned to a transaction. The TxID is used to access a specific transaction block and the information it holds. When submitting a transaction on MetaMask, a TxID is generated, allowing a user to check the status of the transaction on a website such as etherscan.io.
Trezor is a type of Hardware Wallet used to store cryptocurrencies in a highly secure manner. With a Trezor wallet, transactions must be approved by physically clicking buttons on the device itself, which ensures that hackers cannot withdraw cryptocurrency without access to the physical device and its protective password.
Uniswap is a popular decentralized automated market maker, allowing users to interact with its liquidity pools to trade many types of Ethereum-based tokens for other tokens.
VCA auctions are special events in the Axion ecosystem happening on Tuesdays and Fridays where 1 Billion Axion tokens are available to buy. All investors who participate on those days immediately get 10% of their bid returned as liquid Bitcoin, with 85% of the auction value being distributed to active stakers as Bitcoin.
The digital equivalent to a real-world wallet used to store cryptocurrencies. Readily available software allows users to store their cryptocurrencies on the blockchain and be accessed through their crypto wallet. Wallet types vary, including types like paper wallets, web wallets, desktop wallets, hardware wallets, and mobile wallets.
Wrapped Bitcoin (wBTC) is an ERC-20 token that represents Bitcoin (BTC) on the Ethereum blockchain. Ethereum and Bitcoin are not compatible tokens as they run on entirely different types of networks. So wBTC allows Bitcoin to enter the Ethereum network and be used in Ethereum wallets, dapps, and smart contracts.
The term used to refer to an investor who carries a very high net worth of crypto. A whale typically owns sufficiently enough of a cryptocurrency such that their decisions as to what to do with it on the open markets would directly and noticeably impact the assets trading price should they sell or buy. Whales generally move into and out of crypto projects in very noticeable ways.