Cryptocurrency Glossary
Explore key cryptocurrency, tax and investing terms and definitions
Custodial Wallet
A custodial wallet is a crypto wallet where a third party holds your private keys, making it easy to use but reducing user control. Learn how custodial wallets work, their pros and cons, and how they compare to non-custodial wallets.
Custodian Bank
A custodian bank securely holds and manages financial assets for clients, providing safekeeping, settlement, compliance, and reporting services. Essential for both traditional and digital markets, they ensure asset security and regulatory adherence.
CZ (Changpeng Zhao)
CZ, short for Changpeng Zhao, is the founder and former CEO of Binance, one of the world's largest cryptocurrency exchanges. He is a prominent figure in the crypto industry known for rapidly scaling Binance and influencing global crypto adoption.
DAO
A Decentralized Autonomous Organization is a blockchain-based group governed collectively by members through smart contracts and votes. It enables democratic decision-making and automates processes in DeFi, NFTs, etc.
dApp
A dApp, or decentralized application, is a software program that runs on a blockchain or peer-to-peer network instead of centralized servers. dApps operate using smart contracts, enabling transparency, security, and user control without a single point of failure.
Decentralized
Decentralized systems distribute control and decision-making across multiple participants rather than relying on a central authority. Used in blockchain, DeFi, and DAOs, decentralization enhances transparency, security, and user empowerment.
Decentralized Exchange
A decentralized exchange (DEX) is a peer-to-peer crypto trading platform that operates without a central authority. Unlike centralized exchanges (CEXs), DEXs use smart contracts and liquidity pools, giving users full control over their funds.
DeFi
DeFi, or decentralized finance, refers to blockchain-based apps that offer financial services without banks. It runs on smart contracts, giving users full control over their assets.
Diamond Hands
Diamond hands refers to investors who hold assets through extreme volatility without panic selling. While it can lead to long-term gains, it's important to balance conviction with smart risk management.
Digital Currency
A digital currency is money that exists only in electronic form, including cryptocurrencies, stablecoins, and central bank digital currencies (CBDCs). Unlike cash, digital currencies are stored in wallets, banks, or blockchain networks for faster and more secure transactions.
Digital signature
A cryptographic technique ensuring the authenticity, integrity, and origin of digital data. Widely used in blockchain, secure communications, and document signing, it enhances security and efficiency in digital transactions.
Discord
A versatile communication platform for text, voice, and video chat. Originally for gamers, it now hosts communities ranging from crypto to professional teams.
Distributed Ledger Technology
Distributed Ledger Technology (DLT) is a decentralized system that records and synchronizes data across multiple locations. It powers blockchains, cryptocurrencies, and enterprise solutions, offering security, transparency, and efficiency.
Documentation
A white paper explains a crypto project's purpose, technology, and tokenomics. It helps users understand how it works — and whether it's worth trusting or investing in.
Dogecoin
Dogecoin is a meme-based cryptocurrency created in 2013 that gained massive popularity for its lighthearted community, fast transactions, and viral status—despite lacking a capped supply.