Crypto Glossary: 40 DeFi and Crypto Terms Explained

This crypto glossary explains the DeFi and crypto terms you will meet on JewelSwap and across MultiversX, Sui and Radix, in plain English. Each entry gives a one-line definition, a worked example and links to the in-depth JewelSwap guide on the topic. Use the letters below to jump, or start with the most-searched terms: DEX, APY vs APR, rug pull and HODL.

Jump to: A · C · D · E · F · G · H · L · M · N · O · P · R · S · T · U · W

A

Algorithmic stablecoin — An algorithmic stablecoin is a stablecoin that tries to hold a fixed price, usually 1 USD, mainly through code-driven supply changes and arbitrage incentives rather than through full backing by cash or overcollateralised crypto.
AMM (automated market maker) — An AMM (automated market maker) is a type of decentralized exchange that prices trades with a mathematical formula over a pool of tokens, instead of matching buyers and sellers in an order book.
APY vs APR — APY vs APR is the difference between a yearly return that includes compounding (APY, annual percentage yield) and one that does not (APR, annual percentage rate).
Auto-compounding — Auto-compounding is when a smart contract automatically harvests the rewards your position earns and reinvests them into that same position, so the rewards start earning rewards of their own.

C

Cliff vesting — Cliff vesting is a token or equity vesting rule where nothing unlocks until a fixed waiting period (the cliff) has passed, after which a lump sum unlocks at once and the rest usually releases gradually.
Cross margin vs isolated margin — Cross margin uses your whole account balance as shared collateral for every open position, while isolated margin ring-fences a fixed amount of collateral for each position separately.
Crypto bridge — A crypto bridge is a protocol that moves tokens or data from one blockchain to another, usually by locking the asset on the source chain and issuing an equivalent wrapped token on the destination chain.

D

DAO — A DAO (decentralized autonomous organization) is a group that coordinates money and decisions through smart contracts and token-holder votes instead of a traditional management structure.
DEX (decentralized exchange) — A DEX (decentralized exchange) is a crypto trading venue run by smart contracts, where users swap tokens directly from their own wallets without handing custody to a company.
DEX aggregator — A DEX aggregator is a service that checks prices across many decentralized exchanges and routes, or splits, your swap through the combination of pools that returns the most tokens after fees.
DYOR — DYOR stands for "do your own research", a crypto expression reminding people to verify a project themselves before investing instead of relying on tips, influencers or hype.

E

Epoch — An epoch in crypto is a fixed period of blockchain time during which the validator set, stakes and certain protocol parameters stay the same.

F

FDV vs market cap — FDV (fully diluted valuation) is a token's price multiplied by its maximum or total supply, while market cap is the price multiplied by only the tokens circulating today.
Flash loan — A flash loan is an uncollateralised crypto loan that must be borrowed and repaid within a single blockchain transaction, or the whole transaction is reversed.
Funding rate — The funding rate is a periodic payment exchanged between long and short traders on a perpetual futures market, designed to keep the contract's price close to the underlying asset's spot price.

G

Gas fees — Gas fees are the transaction fees you pay a blockchain network to process and record your transaction, priced in units of computation called gas and paid in the chain's native token.
Governance token — A governance token is a crypto token that gives its holders voting power over a protocol's decisions, such as fee levels, reward emissions, treasury spending or which validators receive stake.

H

HODL — HODL is crypto slang for holding an asset long term instead of selling it during price swings.
Hot wallet vs cold wallet — Hot wallet vs cold wallet is the difference between keeping a crypto wallet's private keys on an internet-connected device (hot) and keeping them on a device that stays offline (cold).

L

Leverage — Leverage in crypto is using borrowed funds to take a position larger than your own capital, so gains and losses are both multiplied.
Liquidity mining — Liquidity mining is when a DeFi protocol rewards users with its own tokens for supplying liquidity, such as depositing token pairs into a pool or lending assets to a market.
Liquidity pool — A liquidity pool is a smart contract that holds two or more tokens so that anyone can swap between them at a price set by a formula, instead of by an order book.
Liquidity provider (LP) — A liquidity provider (LP) is anyone who deposits tokens into a decentralized exchange pool so other people can trade against them, in return for a share of the trading fees.
LST (liquid staking token) — An LST (liquid staking token) is a token you receive when you stake a proof-of-stake coin through a liquid staking protocol, representing your staked coins plus their rewards while staying transferable and usable in DeFi.

M

MEV — MEV (maximal extractable value) is the profit that can be captured by choosing which transactions go into a block and in what order.
Multisig wallet — A multisig wallet is a crypto wallet that needs approval from several private keys, for example any 2 of 3, before a transaction can be executed.

N

NFT floor price — NFT floor price is the lowest asking price currently listed for any NFT in a collection, which makes it the cheapest way to buy into that collection right now.
Non-custodial wallet — A non-custodial wallet is a crypto wallet where only you hold the private keys, so no company can freeze, move or lose your funds on your behalf.

O

Open interest — Open interest is the total number or value of derivatives contracts, such as crypto futures and perpetuals, that are currently open and not yet closed or settled.

P

Price impact — Price impact is the change in an asset's price caused by your own trade, measured as how far your average execution price sits from the market price before you traded.
Price oracle — A price oracle is a service that delivers off-chain or cross-market asset prices to smart contracts, so that a blockchain application can act on what an asset is worth.

R

Real yield — Real yield is DeFi income paid out of a protocol's actual revenue, such as trading fees, borrowing interest or liquidation penalties, rather than from newly minted reward tokens.
Rug pull — A rug pull is a crypto scam in which a project's creators suddenly drain its funds or liquidity and disappear, leaving holders with a token that is worthless or impossible to sell.

S

Sandwich attack — A sandwich attack is a trading exploit in which a bot places one trade immediately before and one immediately after a victim's DEX swap, profiting from the price move the victim's trade causes.
Seed phrase — A seed phrase is a list of 12 to 24 ordinary words that encodes the master key of a crypto wallet, so anyone who has the words can recreate the wallet and move its funds.
Slashing — Slashing is a penalty in proof-of-stake blockchains that takes away part of a validator's staked coins, or its rewards, when it breaks the protocol's rules, such as signing two conflicting blocks.
Slippage — Slippage is the difference between the price you expect when you submit a crypto trade and the price at which the trade actually executes.

T

Tokenomics — Tokenomics is the economic design of a crypto token: how many exist, who gets them and when, what they are used for, and what creates or removes supply over time.

U

Utilization rate — Utilization rate is the share of a lending pool's deposits that is currently borrowed, calculated as total borrows divided by total supplied liquidity.

W

WAGMI — WAGMI stands for "we're all gonna make it", a crypto slang phrase used to express optimism and community solidarity, usually during a rally or to encourage people through a downturn.

Glossary terms by topic

In-depth JewelSwap guides

Some terms have a full guide rather than a glossary entry:

Frequently asked questions

What is a crypto glossary?

A crypto glossary is a reference list of cryptocurrency and DeFi terms with short definitions. JewelSwap's glossary gives each term its own page with an example and links to in-depth guides.

What are the most important crypto terms for beginners?

Start with DEX, liquidity pool, APY vs APR, gas fees, seed phrase, non-custodial wallet and slippage. They cover how you trade, earn, pay fees and keep your funds safe.

What does HODL mean?

HODL means holding crypto through price swings instead of selling. It began as a typo of "hold" in a 2013 Bitcointalk post and later became a backronym for "hold on for dear life".

JewelSwap Crypto Glossary · educational, not financial advice. Updated 2 October 2026.

Viktor Vostrikov

Co-Founder

About the author.

Co-Founder at JewelSwap & CMO at iDenfy. Viktor brings his successful track record of superb development & project management.

Crypto Glossary: 40 DeFi and Crypto Terms Explained

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C

D

E

F

G

H

L

M

N

O

P

R

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U

W

Glossary terms by topic

Trading and DEXs

Yield and farming

Lending and leverage

Staking

Derivatives

Tokens and governance

Wallets and security

Crypto slang