Cryptocurrency Terms

What is Bitcoin?

• The largest cryptocurrency in terms of market cap (total market value of its circulating supply)

• Bitcoin is a government-issued currency that can be used to pay taxes and fines.

• Bitcoin is a physical currency like cash that you can withdraw from an ATM.

• Bitcoin is a type of stock that can be purchased on the New York Stock Exchange.

What is the Blockchain?

• A type of cryptocurrency used for online purchases.
• A centralized database managed by a single entity that records all bank account transactions in the US.

• A method for creating physical currency notes used by the US Mint to print currency..

• A digital ledger in which transactions made in bitcoin or another cryptocurrency are recorded chronologically and publicly

What is Cryptocurrency?

• Cryptocurrency is a type of stock traded on the stock market.
• Cryptocurrency is a government-issued currency that is regulated by banks.
• Cryptocurrency is a physical coin used for transactions.
• A digital currency in which encryption techniques are used to regulate the generation of units of currency and verify the transfer of funds

What is a Cryptocurrency Wallet?

• A device, physical medium, program or a service which stores the public and/or private keys for cryptocurrency transactions

• A cryptocurrency wallet is a software used for trading stocks and creating CDs in the online world.

• A cryptocurrency wallet is a type of bank account for fiat currency.
• A cryptocurrency wallet is a physical device for storing cash that you can keep in your pocket.

What is Digital Exchange?

• A method for securing digital transactions across the Blockchain.

• A type of cryptocurrency wallet that stores all of your cryptocurrencies in one place.

• A software for creating digital art that is used on the faces of cryptocurrency.

• A business that allows customers to trade cryptocurrencies or digital currencies for other assets, such as conventional fiat money or other digital currencies

What is Decentralized Finance?

• A financial system that relies on traditional banks and institutions.
• A type of cryptocurrency that is only used for trading.
• A centralized platform for managing personal finances.
• Financial activities conducted without the involvement of an intermediary, like a bank, government, or other financial institution

What is Ethereum?

• The second largest cryptocurrency in terms of market cap (total market value of its circulating supply). Also famous for smart contract technology

• Ethereum is a social media platform used to trade stocks.

• Ethereum is a centralized banking system supported by the federal government.

• Ethereum is a type of banking that allows customers to transfer money between clients.

What is Fiat Money?

• Fiat money is only used in international trade.
• Money that has value because the government has ordered that it is an acceptable means to pay debts

• Fiat money is a type of cryptocurrency.
• Fiat money is backed by gold reserves.

What is Mining (in terms of cryptocurrency?)

• The competitive process of validating a cryptocurrency transaction and adding it to the blockchain in hopes of receiving an amount of cryptocurrency as a reward

• Mining is the act of storing cryptocurrencies in a digital wallet.
• Mining involves trading cryptocurrencies on exchanges.
• Mining is the process of creating new cryptocurrencies from scratch.

What is Proof of Stake?

• Proof of stake is a transaction verification process that involves miners "staking" an amount of crypto they already own in order to participate in validating transactions.

• Proof of Stake is a voting system for selecting government officials through online technology systems.

• Proof of Stake is a type of cryptocurrency that requires no investment.
• Proof of Stake is a method for mining cryptocurrencies using high computational power.