NFT Glossary

Asset – This is another way to talk about a digital collectible.

Bitcoin – This is the well-known cryptocurrency that’s used when you buy/sell NFTs.

Blockchain – Think of it as an open spreadsheet that everyone in the crypto world has access to, and it records any changes or transactions. Imagine a series of blocks connected by a chain. Each transaction is managed within each block and connected by other data.

Bridge – If you want to trade your NFTs but don’t have a way (such as Shapeshift or Kyber Network), then you can use a bridge service like Rarebits. A bridge will move your tokens from one blockchain to another for a fee, and you can get back your tokens on the new chain.

BTC – This is an abbreviation for Bitcoin.

Burning – If you want to get rid of an NFT, send it to the NFT contract address. This will destroy your tokens and they’ll no longer be transferable.

BURST – These are NFTs you want to buy, also known as assets on the market.

Buyers – These are people who buy digital collectibles in order to resell them for a higher price. It’s like real-world trading where you try to get more money than what you paid.

CAT – This is short for CryptoKitties and stands for Cryptocollectible Asset Token. It’s one of the most popular NFTs on Ethereum.

Collectible – Think of this as something that has value or rarity, such as mini-figures or special edition sneakers.

Crowdsales – A public offering to invest in a new kind of cryptocurrency or NFT. Crowdsales can be used to raise funds for anything related to crypto, like a new project or business in the field.

Crypto – This is another name for cryptocurrencies.

Cryptocurrency – This is a type of digital currency, like Bitcoin, that uses cryptography to secure financial transactions.

Decentralized Exchanges (DEX) – These are exchanges that allow for peer-to-peer transactions rather than going through a third party.

ETH – This is the abbreviation for Ethereum, which is the blockchain that stores all NFTs.

Ethereum – The second largest cryptocurrency. The value of Ethereum or ETH varies day to day. Crypto purchases are often based on a percentage of one ETH (for example, an NFT could be 0.38ETH).

Exchange – If you want to trade your crypto assets in order to get other crypto assets, then you’ll need to go through an exchange.. Search online for a REPUTABLE exchange. You will be required to fund your account with the exchange by transferring funds from your bank or credit card.

Fiat – This is the name for currencies like USD (US dollar), Euro, and GBP.

Fungible Tokens (FT) – These are interchangeable, tradable tokens, such as Ethereum (ETH) and Bitcon (BTC).

Gas – An amount required to perform cryptocurrency transactions on the blockchain. Every time you buy an asset or NFT, send ETH, or set up a smart contract, gas has to be paid in order to run the transaction.

ICO (Initial Coin Offering) – Think of this as an event where a company sells digital assets to early adopters.

KYC – You know those annoying forms for new users where they ask for your name and all your personal information? It’s just something blockchain companies do in order to comply with KYC regulations. It’s also known as Know Your Customer.

Mint – There are two different types of minting: Mint-A-Token is when an asset creator chooses who can create tokens/NFTs. Burn Minting gives all NFTs another digital wallet private key so they become locked forever and no longer destroyable or transferrable.

Minting - Minting is used to certify an NFT. If you have an NFT you want minted, you can publish your NFT or token on a blockchain to make it purchasable. Then you can sell it.

Minting interval – This is how often you can mint or create tokens.

NFT – Stands for Non-Fungible Token. It’s a unique, one-of-a-kind digital asset that’s stored on a blockchain. No other token or cryptocurrency can replace it.

Noncustodial Wallet – Think of this as an online wallet that you control using private keys stored in your own computer. One example is MetaMask, which is also a browser extension that lets you run Dapps in your regular web browser (instead of a centralized app).

Noob – Someone who’s new and doesn’t understand how something works in technology.

Permanent Records – The Ethereum blockchain permanently stores digital collectibles, so your crypto collectibles will never disappear unless you remove them yourself off the ledger.

Private Key – Think of this as a password that is not a username or email address. This is a very unique, personal identifer that allows you to access your crypto account or digital waller. If you lose your private key, you cannot access your account. It does not work like a password that the computer recalls. It gives you access to information or digital property on blockchains.

QR Code – If you’re using a mobile wallet that supports scanning QR codes, then this is the easiest way to send NFTs or Ethereum since all you have to do is scan a code and confirm everything before hitting “send.”

Quantity – This means how many of a certain asset are available.

Rarities – Items with different rarities get assigned with a certain number on the Ethereum blockchain. They’ll have unique IDs and metadata and get labeled as “Legendary” or “Mythic.”

Smart Contract – An agreement that automatically executes between two or more parties under certain conditions. They’re enforced on the blockchain network, irreversible, and not subject to change.

Tokens – These are digital assets that allow people to raise money for projects through crowdfunding/ICO protocols, such as ERC-20 tokens.

Wallet – This is where your tokens live while they’re not in use. Think of it like a house that you store all your digital collectibles in until you want to sell them or send them somewhere else. A wallet could be a cold storage wallet, but also any place where you can send and receive items from using something like Metamask with MyEtherWallet.