Glossary
CEX
Centralized Exchange — a company like Binance or Bybit that holds user funds and matches trades.
A centralised exchange is a company that holds your funds and matches trades on its own order book. Binance, Bybit, OKX and Coinbase are the best known.
CEXs are fast and liquid, but you do not control the keys. When one fails — FTX being the obvious example — customer funds can vanish. The old rule holds: not your keys, not your coins.
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.