Glossary
Seed Phrase
The 12 or 24 words that can restore an entire wallet. It is the wallet.
A seed phrase is a human-readable backup that generates every private key in a wallet. Twelve or twenty-four words, in a fixed order. It is the wallet.
Write it on paper and store it offline. Never photograph it, never paste it into a chat, never type it into a website. Every 'wallet verification' request is a theft attempt.
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.