Liquidity pool
A shared reserve of two or more tokens locked in a smart contract that enables asset swaps on decentralized exchanges without a traditional order book.
See also
CEX (centralized exchange)
An exchange run by a company that holds user funds in its own wallets and provides liquidity and order matching (for example, Binance, Coinbase).
Staking
Locking up cryptocurrency to help validate transactions in Proof-of-Stake networks. In return, the participant earns rewards, but risks losing part of the stake if the network's rules are broken.
Yield farming
A DeFi strategy in which a user supplies assets to protocols (for example, liquidity pools) in order to earn interest income or additional tokens.
Market cap
The total value of all coins of a cryptocurrency in circulation: the coin price multiplied by the circulating supply. It is used to compare the relative size of different projects.
ATH (All-Time High)
The highest price an asset has ever reached over its entire trading history.
FOMO
Fear of Missing Out — the emotional state in which an investor buys an asset near the top of a rally out of fear of "missing the move," which often leads to losses.