Crypto Glossary
A plain-English reference for the terms you’ll meet across crypto and Web3. From addresses and gas to staking and self-custody — start here.
- Address
- A string of letters and numbers used to send and receive crypto on a blockchain. Each network has its own address format.
- Blockchain
- A distributed, append-only ledger maintained by a network of computers. Bitcoin, Ethereum and Tron are popular blockchains.
- Cold Wallet
- A wallet whose private keys are kept entirely offline — typically a hardware device — providing the strongest protection against online threats.
- Custodial Wallet
- A wallet where a third party (an exchange, for example) holds the private keys on your behalf. Convenient, but you don’t fully own the assets.
- dApp
- A decentralized application that runs its logic on a blockchain via smart contracts and is accessed through your wallet.
- DeFi
- Decentralized Finance — financial protocols (lending, swapping, staking) that operate through smart contracts instead of banks or brokers.
- Gas
- The fee paid to blockchain validators to process a transaction or smart-contract call. Gas fluctuates with network demand.
- Hardware Wallet
- A physical device that stores your private keys offline and signs transactions securely. Pair it with Trust Wallet for cold-storage-grade safety.
- Hot Wallet
- A wallet connected to the internet — convenient for everyday spending, trading and dApp use.
- Liquidity
- How easily an asset can be bought or sold without moving its price. Deep liquidity means tighter spreads and faster execution.
- Memo / Tag
- An extra identifier required by some networks (e.g. XRP, TON) when sending funds. Forgetting the memo may delay or lose the transfer.
- NFT
- A Non-Fungible Token — a unique on-chain asset used for art, collectibles, in-game items and identity.
- Private Key
- A secret cryptographic string that proves ownership of your wallet. Anyone with the key controls the funds — keep it offline and private.
- Seed Phrase
- A human-readable list of 12 or 24 words that fully backs up your wallet. It is the master key to all derived addresses.
- Self-Custody
- You — and only you — hold the private keys. Trust Wallet is built self-custody by default: no central party can freeze your funds.
- Smart Contract
- A program that runs on a blockchain and executes automatically when its conditions are met. Most dApps and DeFi protocols are smart contracts.
- Stablecoin
- A token pegged to a reference asset, usually USD. USDT and USDC are widely used stablecoins for trading and savings.
- Staking
- Locking tokens to support a Proof-of-Stake network and earn rewards. You keep custody throughout the staking period.
- Swap
- Exchanging one token for another directly inside your wallet using decentralized liquidity, without giving up custody.
- Token
- A digital asset issued on an existing blockchain. Tokens follow standards like ERC-20, BEP-20, TRC-20 or SPL.
- Validator
- A participant in a Proof-of-Stake network that proposes and votes on blocks. Validators earn rewards for honest work.
- Wallet
- Software (or hardware) that manages your keys, addresses, and transactions. A wallet never holds the coins themselves — the blockchain does.
- Web3
- The next iteration of the internet where users own their data, identity and assets through blockchain and cryptography.