Glossary
Bridge
A protocol that moves assets from one blockchain to another.
A bridge moves assets between chains. Most work by locking your tokens on the source chain and minting a representation on the destination — which is why bridges hold enormous value and attract enormous attacks.
Bridges are the single largest category of DeFi hacks. When you bridge, you are trusting the bridge's contracts and validators, not just the two chains involved.
Related terms
Airdrop
Free tokens distributed to wallet addresses, usually to reward early users of a protocol.
AMM
Automated Market Maker — a protocol that prices assets with a formula instead of an order book.
APR vs APY
APR is the yearly rate without compounding; APY includes compounding and is always higher.
ATH
All-Time High — the highest price an asset has ever traded at.
Bear Market
A prolonged decline, conventionally 20% or more from recent highs.
Bull Market
A prolonged rise driven by new demand, easy credit and rising confidence.