If you've ever spent any time reading Reddit or Twitter about cryptocurrency, there's a 100% chance you've been encountered – and possibly confused – by a dense jumble of acronyms, misspelled words, and acronyms. , gamer memes and more. From words like FOMO and FUD to Laser eyes and Whale. Learn about cryptocurrency with an explanation of 11 of the most common slang terms for beginners.

Diamond hands:

As Elon Musk said in a tweet in May: 💎🙌. Diamond hands is a meme popularized by cryptocurrency and stock traders on Reddit. It refers to strict adherence to the HODL philosophy – and is often used by online groups that have gathered to try to increase the price of a memecoin or other asset.

FOMO:

FOMO means “fear of missing out” – and is often most severe when the market is moving rapidly. FOMO can lead to emotional trading and poor decisions – it's dangerous because it's easier to look back, making it easier to regret the gains you would have made if you only invested at the right time. . (No one invests at the right time every time.)

A good way to reduce FOMO is to have a strategy and stick to it, especially if you believe the asset you're investing in will appreciate in the long term. One popular option is dollar-cost averaging (or DCA), where you invest the same amount every week or month without worrying about what the market is doing.

FUD:

FUD means “fear, uncertainty and doubt”. This is a classic public relations and propaganda tactic. The goal is to distort public perception of a product, technology, or candidate by strategically spreading misinformation to create a negative emotional response.

Computer architect and businessman Gene Amdahl is often credited with popularizing the term in the 1980s. He used it to describe how IBM salespeople of the time sought to discredit competitors' products, portraying them as unreliable and unreliable.

In the cryptocurrency space, FUD often refers to general skepticism about the technology (from the media or from traditional financial analysts), but the concept can also be used by those who support a token or Specific protocols used to defuse criticism.

When faced with FUD, you should follow another popular crypto slang term: DYOR. That is, do your own research.

The flippening

The flippening is a hypothetical event in which the market capitalization of Ethereum will one day surpass Bitcoin. It can also be used to describe any similar situation where a smaller or less established token or protocol is able to overcome a larger competitor.

HODL

HODL is probably the most popular slang term in cryptocurrency. It originated from a drunken typo in the title of a 2013 Bitcoin forum post: “I AM HODLING.” (It should have been “holding”.)

HODL – often pronounced “hoddle” – simply means buying and holding for the long term, regardless of what the market does. Bitcoin fans have even turned it into an acronym, meaning “hold on for dear life.”

The original forum post was full of typos, but the underlying message was astute. At that time, the value of Bitcoin dropped from $1242 to $480 in one month. Panicked traders are retreating, but GameKyuuubi (real name Mike, a programmer) is not selling: “In a zero-sum game like this,” he writes, “traders only have can take your money if you sell.”

This sentiment quickly spread throughout the Bitcoin community and countless memes were born. Cryptocurrencies have gone through many bull and bear cycles, but so far HODL is still good advice – with Bitcoin emerging as one of the best-performing assets of the past decade. (As mentioned in the FOMO section above, a good way to HODL is through DCA.)

Laser eyes

In 2021, ardent Bitcoin supporters started showing their support for the cryptocurrency by adding “Laser eyes” to their Twitter profile pictures. Star Tom Brady, Paris Hilton, Elon Musk, Wyoming senator Cynthia Lummis and MicroStrategy CEO Michael Saylor are some of the famous names who participated. This meme is often associated with the hashtag #LaserRayUntil100K — showing support for the cryptocurrency's potential to break the $100,000 mark.

Memecoin

Dogecoin (DOGE) is a memecoin – literally a cryptocurrency based on a meme that was popular at the time it was invented. But in 2021, as Dogecoin surged in price, a massive wave of other tokens with silly names emerged (thanks in part to decentralized exchanges like Sushiswap, which allow anyone to easily lists a token). In May 2021, Ethereum co-founder Vitalik Buterin donated over $1 billion in DOGE-inspired memecoins like AKITA, SHIB, and Dogelon Mars (ELON) to COVID-19 relief efforts in India and other countries. another purpose. These coins were deposited into Buterin's crypto wallet in an attempt to make traders believe he was an investor.

Moon (or mooning)

When a cryptocurrency is gaining strong momentum, traders tend to describe it as “Moon” or “mooning.”

Pump and dump

A coordinated effort to artificially inflate the price of an asset and cash in before it falls back down. Cryptocurrencies with smaller market capitalizations are especially susceptible to pump and dump schemes. A group of traders will come together to push the price of a particular small-cap altcoin. As the price increases, scammers will promote this opportunity on Twitter, Reddit, Discord, Facebook, YouTube comments, and elsewhere, attracting more investors and pushing the price even higher. Once the asset hits their target price, the original team will cash out – making a big profit and leaving everyone else out of pocket when the token collapses.

Rekt

What happens if you get caught up in FOMO and end up falling victim to a pump and dump? You are rekt. Getting rekt means losing heavily, and the definition is quite similar in cryptocurrency.

whale

The largest crypto holders are called Whales. As for Bitcoin, anyone who owns more than 1000 BTC is usually considered a whale. Unlike the majority of crypto traders, whales have the ability to influence the market with their transactions. As of mid-May 2021, the top 100 Bitcoin addresses (out of more than 800,000 active addresses) hold more than 20% of all BTC according to bitinfocharts.com.

Source: Coinbase