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Blockchain Glossary

CoinByte

1. DeFi

TVL (Total Value Locked)

The USD value of assets locked in a protocol or blockchain. Indicates activity and scale.

Staking

Locking tokens to secure a network or protocol and earn rewards/interest.

Lending/Borrowing Protocol

Users deposit assets to earn interest or collateralize to borrow other tokens (Aave, Compound).

Liquidity Mining

Providing liquidity to a protocol in return for token rewards.

Yield Aggregator

Automates moving funds across protocols to optimize returns (Yearn, Beefy).

AMM (Automated Market Maker)

Price setting and trade matching via algorithms (e.g., Uniswap’s constant product formula).

Impermanent Loss

Potential loss for liquidity providers when token prices diverge compared to simply holding them.

Bridge

Mechanism to move assets/data between chains or layers (lock/mint, burn/release).

Oracle

Feeds off-chain data (like prices) to on-chain smart contracts (Chainlink).


2. NFTs & On-chain Media

Mint (Minting)

Creating a new NFT on-chain.

Metadata

Descriptive info (attributes, image URI, etc.) associated with an NFT.

Scarcity

Limited supply or uniqueness that can affect perceived value.

Royalty

A fee sent to the original creator on secondary sales.

IPFS (InterPlanetary File System)

Decentralized file storage frequently used to host NFT content.


Disclaimer

This article is for informational purposes only and does not constitute financial, legal, or investment advice. Cryptocurrencies are subject to market risk and volatility. Please consult a qualified advisor before making any investment decisions.

© 2025 CoinByte. Some content in this article may have been adapted or generated with the assistance of AI tools.


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