An Intro to Crypto Slang


Hey guys, I’m Angelo & welcome back to Crypto
Coin Consultants.
Today I’ll be giving you a rundown of the
terms & slang you’ll hear most frequently
in the cryptocurrency space.
Let’s get started with the person responsible
for its inception.
Satoshi Nakamoto
Some people believe Satoshi Nakamoto is Bitcoin’s
actual inventor, while others believe it’s
a pseudonym.
It’s definitely the name most heard of when
it comes to the question of who invented BTC.
Because of this a lot of people refer to bitcoin
as:
Satoshis
Or a shorter version is “sats,” as in:
this coin costs 25 Sats.
Where should you store your Satoshis and other
coins?
Well one place you could use is:
Cold Storage
Cold storage means storing access to your
coins on an offline device; thus keeping them
off of exchanges.
If an exchange gets hacked, you’ll have
nothing to worry about because your coins
are not stored there.
Instead, you had them printed on a piece of
paper stashed safely somewhere like a secure
vault.
Printing your private keys on a piece of paper
is called a
Paper Wallet
Paper wallets are a more old fashioned way
of storing access to your coins.
They’re a form of cold storage in which
public and private keys are shown on a piece
of paper.
Another form of cold storage is a
Hardware Wallet
The most commonly used hardware wallet is
the Ledger Nano S. These tangible devices
are so popular nowadays that it sometimes
takes months to get your order in the mail.
Sounds like a smart tool to have?
That’s because IT IS.
Everyone who’s serious about crypto should
be using one form of cold storage or another…except
for those who are actively trading.
You may hear active day & swing traders talking
about their
Short position
Also known as “shorting,” taking a short
position is when you sell off a coin because
you believe the price will drop, oftentimes
with the intent of buying back in later at
a lower price.
If Bitcoin is at $10,000 for example & you
expect the price to drop, taking a short position
would entail selling it off now for $10,000
then buying it back at a cheaper price; say
$5,000.
Doing so let’s you either use your $10,000
to buy two Bitcoin at $5,000 each, or buy
just one Bitcoin at $5,000 and pocketing the
other $5,000.
The opposite of shorting is taking a
Long position
Also known as “longing,” taking a long
position is when you buy a coin with the assumption
that its value will go up over time, and you’re
willing to hold on until it reaches a price
point where you can sell for a nice profit.
Ok, so now that you know some of the technical
terms, here are some of the more fun ones
you’ll see or hear in chatter all across
the web.
FUD
FUD stands for fear, uncertainty and doubt.
It’s a disinformation strategy not only
used in crypto but in sales, marketing, public
relations, talk radio, politics, and even
religious organizations & propaganda.
When succesful, FUD almost always leads to
a lot of people selling; mostly by people
with
Weak hands
Weak hands is what you call people who can’t
or don’t want to be patient, selling off their
coins at a loss and/or when the market is
down.
The opposite of FUD is
FOMO
FOMO stands for fear of missing out.
Advice that a lot of people will give you
is “Sell high, buy low”.
Simple and logical advice.
When a coin increases a lot in value over
a short period of time, people start feeling
the fear of missing out; especially when a
coin spikes without an underlying reason or
development.
FOMO moments generally tend to be a good time
to sell.
This is because market demand for a coin is
higher than the supply.
Or in simpler terms, there are more people
looking to buy in hopes of the coin gaining
even more momentum than there are people willing
to sell.
This effect puts an upward pressure on the
coin’s price.
Keep in mind though that FOMO doesn’t always
have the same outcome.
Some coins continue to pump, while others
drop like a rock, sometimes because the spike
was caused by a
Pump and Dump
A pump and dump is basically when 1 person
or a group of people try to induce FOMO.
A large trader or group of traders buy huge
volumes, causing a sudden price rise and causing
uninformed investors (suffering from fomo)
to jump on board, driving the price up even
further, before the people who started the
pump all of a sudden sell everything off (the
dump), thus leaving those who tried to board
the ship on a sinking boat.
A pump and dump is easiest to pull of with
a coin that has a small
Market Cap
Short for “market capitalization,” market
cap is used to illustrate a coin’s dominance
in the entire cryptocurrency market.
Naturally the price of a coin with a small
market cap is easier (and cheaper) to manipulate
than that of a coin with a large market cap
(such as Bitcoin or Ethereum).
Market cap is calculated by taking the coin’s
current price & multiplying it by the entire
coin’s total supply.
If you see a spike then make sure you do your
own research, and if it’s a small coin and
you can’t find a reason as to why it’s pumping,
then it’s probably best to stay away because
you don’t want to become food for
Whales
Whales are people who hold a large amount
of a certain coin, often worth a lot of money
in terms of U.S. dollars.
Pump & dumps are often initiated by a whale
or a group of whales.
They tend to be able to move the market, whether
it’s via a pump-and-dump or a regular buy
or sell off, simply because of how much money
they move at once.
In the case of a pump and dump, there are
a lot of victims who bought in high and are
now unable to sell unless they’re willing
to do so at a loss).
These people are referred to as
Bagholders
A bagholder is essentially an unfortunate
soul who, at the end of the day (be it through
a pump & dump or just bad timing) is stuck
“holding a bag” of certain coin; meaning
they bought with the intention of selling
at a higher price, but the market just moved
too fast.
That person is ultimately left with “a coin
they don’t want at a price they can’t sell
it at.”
Nobody wants to ever sell a coin at a loss
of course…at least not ideally.
Everybody wants to sell at an
All Time High
Abbreviated by ATH, the only reason you wouldn’t
sell off during an all time high is if you
think the coin will go up even further, despite
having already reached an all time high.
An ATH is often the result of a coin
Mooning
“When Moon?” has become an all-too-familiar
question, in Telegram groups especially.
When someone asks that question, they’re
basically asking when a coin is going to blow
up and spike in price.
You won’t benefit from a coin mooning and
reaching an ATH if you didn’t
HODL
The term HODL originated in a December 2013
post on a Bitcoin online forum by an apparently
inebriated user who posted with a typo in
the subject line, saying “I AM HODLING”
and it all took off from there.
It is arguably THE most popular crypto-related
slang term today.
Those who are HODLing strong might be suffering
from
OCD
Or “obsessive cryptocurrency disorder.”
That’s what those who can’t stop monitoring
the value of their coins are called.
And if they aren’t monitoring their coins,
then they’re probably
Shilling
Them to their friends or on Reddit or in Telegram
groups.
Shilling means convincing as many people as
you can that a particular coin is going to
do well.
But you don’t have to shill already-established
coins.
You can also shill projects that are still
in their
ICO
Stage.
Ico stand for “initial coin offering.”
The term ICO is the crypto version of the
corporate abbreviation IPO, or “initial
public offering,” which is what more traditional
companies participate in when they first intend
to sell off shares to the public.
Once the ICO ends and the tokens are distributed
to the public, then the public will start
referring to that coin as an
Altcoin
An altcoin is every cryptocurrency that is
not Bitcoin.
Bitcoin is not referred to as an altcoin,
as it’s the “original” coin.
When bitcoin and/or altcoins are going down
hard in price, then some people get excited
and tell you to
BTFD
Or “buy the fucking dip!”
Some traders who keep a part of their portfolio
in Tether or USD will actually get excited
when the market takes a nosedive because it
gives them a chance to BTFD.
Whether it’s Bitcoin or Altcoins going down,
these are the smart traders who’ll be buying
the blood.
Another thing Bitcoin and altcoins have in
common is the occasional
Fork
Without getting into too much detail, a fork
is essentially a divergence in a cryptocurrency’
blockchain.
If you wanna learn about forks more in-depth,
click on the card at the time right corner
of your screen to watch my other video made
exclusively about soft & hard forks.
The people who really play an important part
in whether or not a fork is going to be successful
are the
Miners
Miners use special software to solve complex
mathematical problems and are issued a certain
number of Bitcoins or Satoshis in exchange.
This provides a smarter way to issue the currency
and also creates an incentive for more people
to both mine & support
the coin’s network.

2 Comments

Add a Comment

Your email address will not be published. Required fields are marked *