SweepStake Network - Key Terms

Every terms you may need to know to understand better

Altcoin

An altcoin is any coin that’s not Bitcoin. Altcoins can be anything from the second-most popular coin, Ethereum, to any of the thousands of coins with very minimal market value. Experts say you should largely stick to the bigger, more mainstream cryptocurrencies as an investment.

Blockchain

A digital form of record keeping, and the underlying technology behind cryptocurrencies. A Blockchain is the result of sequential blocks that build upon one another, creating a permanent and unchangeable ledger of transactions (or other data).

Cryptocurrency

A type of currency that’s digital and decentralized. Cryptocurrency can be used to buy and sell things, or as a long-term store of value.

Crypto APR

the annual interest rate offered to customers who lend their tokens or crypto assets for borrowers to access at investment companies or cryptocurrency exchanges. Investors' crypto assets will be locked for a certain period of time, and they will receive a larger fixed rate of interest.

Crypto APY

Annual percentage yield (APY) acts as a cryptocurrency savings account similar to an annual percentage rate (APR) account. You may deposit your bitcoin (or another crypto asset) and receive a fixed rate of return over a specific period of time.

Crypto Staking

the process of locking up crypto holdings in order to obtain rewards or earn interest. Cryptocurrencies are built with blockchain technology, in which crypto transactions are verified, and the resulting data is stored on the blockchain.

Decentralization

The principle of distributing power away from a central point. Blockchains are traditionally decentralized because they require majority approval from all users to operate and make changes, rather than a central authority.

Decentralized Finance (DeFi)

Financial activities conducted without the involvement of an intermediary, like a bank, government, or other financial institution.

Decentralized Applications (DApps)

Applications designed by developers and deployed on a blockchain to carry out actions without intermediaries. Decentralized finance activities are often completed using decentralized apps. Ethereum is the main network supporting activities in decentralized finance.

Exchange

A cryptocurrency exchange is a digital marketplace where you can buy and sell cryptocurrency.

Gas

A fee that developers have to pay to the Binance Smart Chain network in order to use the system. Gas is paid in BNB, the native cryptocurrency of Binance Smart Chain.

Hash

A unique string of number and letters that identify blocks and are tied to crypto buyers and sellers.

Initial Coin Offering (ICO)

A way that funds are raised for a new cryptocurrency project. ICOs are similar to Initial Public Offerings (IPOs) of stocks.

Lottery

a means of raising money by selling numbered tickets and giving prizes to the holders of numbers drawn at random.

Market Capitalization

Cryptocurrency market capitalization refers to the total value of all the coins that have been mined. You can calculate a crypto’s market cap by multiplying the current number of coins by the current value of the coins.

Non-fungible Tokens (NFTs)

Non-Fungible Tokens are units of value used to represent the ownership of unique digital items like art or collectibles. NFTs are most often held on the Ethereum blockchain.

Smart Contract

An algorithmic program that enacts the terms of a contract automatically based on its code. One of the main value propositions of the Binance Smart Chain network is its ability to execute smart contract.

Token

A unit of value on a blockchain that usually has some other value proposition besides just a transfer of value (like a coin).

Wallet

A place to store your cryptocurrency holdings. Many exchanges offer digital wallets. Wallets may be hot (online, software-based) or cold (offline, usually on a device).