New to crypto? Bookmark this glossary of essential Web3 terms used across airdrops, DeFi, and Telegram games.
- Wallet
- Software or hardware that stores keys to your crypto. Examples: Tonkeeper, MetaMask.
- Seed Phrase
- 12–24 words that recover your wallet. Never share it.
- Gas / Fees
- Cost to execute transactions on a blockchain.
- Airdrop
- Free token distribution to eligible wallets.
- TGE
- Token Generation Event — when a token launches.
- DeFi
- Decentralized finance protocols without traditional banks.
- DEX
- Decentralized exchange for swapping tokens.
- CEX
- Centralized exchange like Binance or Bybit.
- Staking
- Locking tokens to support a network and earn rewards.
- Layer 2 (L2)
- Scaling network built on top of Ethereum or other L1s.
- Smart Contract
- Self-executing code on a blockchain.
- Mint
- Create a new NFT or token on-chain.
- Rug Pull
- Scam where developers abandon a project and steal funds.
- APY
- Annual percentage yield on staked or deposited assets.
- Snapshot
- Blockchain record at a specific time used for airdrop eligibility.
Understanding vocabulary is the first step to avoiding costly mistakes.
