Cryptocurrency Terminology Quiz

What is an Address

• Where I live

• My Email

• My bank account number

• A wallet address

Answer explanation

An “address,” or a wallet address, is a string of letters and numbers that works as an account number for crypto transactions.

Addresses can be shared publicly.

Addresses are network-specific, so you need an address for each type of crypto asset.

What is a Block Chain?

• As a database, a blockchain stores information in real life in real format.t

• This is where you send all your money

• Acts as a database. A blockchain stores information electronically in digital format.

  It's a receipt of all transactions.

• When you stack blocks together in real life you create a chain.

Answer explanation

A database protocol. In cryptocurrency, a blockchain is a distributed digital public ledger where transactions and balances of a given cryptocurrency are recorded in sequential blocks.

It is secured using cryptographic hashes. Not every cryptocurrency is blockchain-based

Centralized exchanges are r________, need l______ to operate, and are c________ with the regulatory authorities.

Answer explanation

Centralized exchanges are regulated, need licenses to operate, and are compliant with the regulatory authorities.

Circulating Supply is the _____ ______ __ _____ in a cryptocurrency that is in the public tradable space

Answer explanation

The total number of coins in a cryptocurrency that is in the public tradable space is considered the Circulating Supply.

Some coins can be locked, reserved or burned, therefore unavailable to public trading.

Another term used for a Paper Wallet

What is a Cold Wallet?

• This is where you store your secret pass phrase

• This is a physical device that keeps your crypto assets completely offline

• This is a peer-to-peer marketplaces where cryptocurrency traders make transactions directly without handing over management of their funds to an intermediary or custodian.

• This refers to a virtual currency wallet that is accessible online, and it facilitates cryptocurrency transactions between the owner and end-users

Answer explanation

A secure method of storing your cryptocurrency completely offline.

Many cold wallets (also called hardware wallets) are physical devices that look similar to a USB drive

Decentralized Application is

• designed by developers and deployed on a blockchain to carry out actions without intermediaries

• A series of blockchains broken up

• The standard way blockchains are handled

Answer explanation

Applications are designed by developers and deployed on a blockchain to carry out actions without intermediaries.

Decentralized finance activities are often completed using decentralized apps.

FOMO stands for

• FEAR OF MISSING OTTERS

• FRIGHT ON MOON OUTSKIRTS

• FEAR OF MISSING HOME

• FEAR OF MISSING OUT

Answer explanation

The Fear Of Missing Out.

The emotional response that makes people impulse buy tokens at their all-time high.

Try to not react to FOMO.

What is Gas?

• This is how how your digital art becomes a part of the blockchain

• This refers to the fee, or pricing value, required to successfully conduct a transaction or execute a contract on the Ethereum blockchain platform.

• This is a computer program or a transaction protocol which is intended to automatically execute, control or document legally relevant events and actions according to the terms of a contract or an agreement.

• This is a unique string of numbers and letters (also called a public key) that people can use to send you cryptocurrency and NFTs

Answer explanation

A fee that developers have to pay to the Ethereum network in order to use the system.

A hard fork is when _____ of the newest version of a __________ no longer accept the _____ version(s) of the blockchain

Answer explanation

A hard fork is when nodes of the newest version of a blockchain no longer accept the older version(s) of the blockchain; which creates a permanent divergence from the previous version of the blockchain.

What is a Hot Wallet?

• This is a peer-to-peer marketplace where cryptocurrency traders make transactions directly without handing over management of their funds to an intermediary or custodian.

• This refers to a virtual currency wallet that is accessible online, and it facilitates cryptocurrency transactions between the owner and end-users

• This is where you store your secret passphrase

• This is a physical device that keeps your crypto assets (e.g., cryptocurrency, NFTs) completely offline.

Answer explanation

A software-based cryptocurrency wallet connected to the Internet