Glossary
Gas Fee
The cost paid to have a transaction included in a blockchain block.
A gas fee is what you pay to have a transaction included in a block. It compensates validators and, more importantly, rations scarce block space.
Fees rise when demand spikes: a popular mint or a liquidation cascade can push Ethereum mainnet costs into the hundreds of dollars. Layer-2 networks exist largely to make this cheaper by settling batches back to mainnet.
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.