Glossary
1 of 1 NFT: is when a single non-fungible token is available for a unique asset based on its mint number. A mint number represents its edition and plays a role in differentiating between two or more non-fungible tokens with the same content or design.
A
Alpha group: is a group of people that help each other gather information on NFT projects, find and keep track of whitelist opportunities, and, in general, keep up with what is happening in the market. These groups typically communicate with each other via Discord and Twitter.
AMA: is the abbreviation for "ask me anything". Generally NFT projects have regular AMA sessions during which a community of NFT holders is welcome to ask questions.
Ape Into Something: this term refers to rushing into buying NFT in an irresponsible manner, out of FOMO, without doing much due diligence or research. The phrase comes from the "apes together strong" meme.
B
Bear market: the term refers to a negative trend in the prices of a market.
Blue chip NFT: is generally well-known, established, stable, and considered to be a good long-term investment.
BTD: is short for "buy the dips", which refers to buying an asset at a reduced price due to market dropping.
Bull market: the term refers to a positive trend in the prices of a market.
Burn: to burn an NFT means to destroy that NFT. Some projects may give incentives to burn NFTs, for example by getting rarer NFTs.
C
Collectible: something that’s deemed to have value or rarity, such as limited edition LEGOs or sneakers.
COPE: is the result of missing out on FOMO. It refers to the regret of not having purchased an NFT out of FOMO before prices rise.
Copycat: refers to a project that copies the idea of another project.
Crypto airdrop: is a marketing method employed by startups in the cryptocurrency space. It involves delivering tokens to the wallets of current cryptocurrency traders, either for free or in exchange for a small promotional service.
Crypto whale: is a wallet address that holds a significant amount of cryptocurrency. The community and investors watch crypto whales because they can significantly influence price movements.
D
DAO: is an abbreviation for Decentralized Autonomous Organization. NFT projects based on a DAO are community-driven, each investor/holder is recognized as a member of the DAO and can therefore participate in DAO votes and initiatives.
Degen: is short for "degenerate" and refers to people who purchase NFTs without doing much due diligence.
Delisting: is the removal of an asset from an exchange. It can happen either as a request from the project team or, resulting from the asset's team or the asset itself no longer upholding the listing requirements provided by the exchange.
DEX: stands for Decentralized Exchange, a peer-to-peer market where transactions are executed directly by NFT traders without the need for a middleman or a third party.
Diamond Hands: an NFT owner with "diamond hands" is a holder capable of holding assets in the long term and feeling confident about future massive payouts regardless of market sentiment and volatility.
Doxxed: Releasing an individual's private, personally identifying information online.
E
ERC-721: is a token standard on Ethereum for non-fungible tokens (NFTs). Fungible means interchangeable and replaceable; Bitcoin is fungible because any Bitcoin can replace any other Bitcoin. Each NFT, on the other hand, is completely unique. One NFT cannot replace another.
ERC20: refers to a scripting standard used within the Ethereum blockchain. This technical standard dictates a number of rules and actions that an Ethereum token or smart contract must follow and steps to be able to implement it.
F
Flipping: express the action of buying low and selling high.
FOMO: is the abbreviation of "Fear Of Missing Out" and refers to the phenomenon whereby people make purchases without doing much due diligence in fear of missing out on the next big thing.
Fren: short for "friend".
FUD: acronym for "Fear, Uncertainty and Doubt" refers to the phenomenon whereby a negative sentiment is generated by social media rumors, spread intentionally by people seeking to slash the prices of certain NFTs.
G
Gas fees: are payments made by users to compensate for the computing energy required to process and validate transactions on Blockchain.
Gas war: is basically an auction system designed to prioritize transactions that are going to be validated in an upcoming block.
GM/GN: acronyms for "Good Morning" and "Good Night". Often used by the NFT community on Twitter and Discord as the NFT space is worldwide cordial and friendly.
H
HODL: as it has gained popularity among crypto enthusiasts, has come to mean "hold on for dear life".
Holder: someone that holds a cryptocurrency" for future profits and not selling.
K
KYC: is the first anti-money laundering (AML) due diligence stage. When a financial institution (FI) onboards a new customer, KYC procedures are implemented to identify and verify the customer's identity.
M
Mint: process of creating an NFT.
Multichain: is a bridging platform for cryptocurrencies and NFTs across blockchains.
N
NFT drop: is the release of a non-fungible token project. A drop refers to the exact date, time, and generally the minting price of the NFT.
NFT farming: involves staking NFTs for a reward or staking tokens for an NFT as a reward.
NFT floor price: is the lowest amount of money you can spend to own an NFT or become a holder of a project. A price floor also represents the lowest value for an NFT in a market.
NFT rarity: determines how rare and valuable an NFT is.
NFT roadmap: is a strategic planning tool used to set desired outcomes, milestones, and high-level tasks to release a product into the marketplace. While not all successful nft projects require one, they help set purpose and intent for both the creators and nft holders who buy into the collection.
NFT shilling: when someone promotes an NFT and encourages others to invest in a specific NFT. Essentially, it is crypto goods marketing. When people on social media say, “shill your NFT”, it means to show or drop a link to your non-fungible token so it can be viewed and potentially purchased.
NFT traits: are the various building blocks that form the final image of a PFP NFT token when each trait is layered on top of each other.
NFT whitelisting: is the process of getting a crypto wallet address pre-approved for minting. Besides minting priority, users of whitelisted addresses may enjoy other benefits like reduced transaction fees and exclusive content, depending on the project.
NFT: a unique digital identifier that cannot be copied, substituted, or subdivided, that is recorded in a blockchain, and that is used to certify authenticity and ownership.
O
OG: It means the people who were here early and earned respect in the NFT space. Similar to early adopters.
P
Paper hands: means "someone who sells too early".
PFP-NFT: The abbreviation refers to the popular use of these NFTs as literal profile pictures on social media sites like Twitter.
Pre-sale NFTs: known as token pre-sales, is an opportunity given to investors to acquire NFT at a lower price, all before its official release on the market.
R
Rug/Rug Pull: term for a scam where the development team abandons the project once they have collected profits after launch.
S
Seed phrase: is a group of words that allow access to a cryptocurrency wallet.
Sharding: is where a buyer can own an ERC20 token that is linked to an NFT, which is representative of the portion of the NFT you hold.
Smart contracts: are simply programs stored on a blockchain that run when predetermined conditions are met. They typically are used to automate the execution of an agreement so that all participants can be immediately certain of the outcome, without any intermediary's involvement or time loss.
T
The fear and greed index: is a tool used by some investors to gauge the market. It is based on the premise that excessive fear can result in stocks trading well below their intrinsic values while, at the same time, unbridled greed can result in stocks being bid up far above what they should be worth.
W
WAGMI: acronym for "We all Gonna Make It" in reference to the fact that the future of the NFT market or certain projects will be very positive.
