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    A Full Guide To NFT Terms and Lingo

    NFTs are extremely popular, and they have a huge fan base. Many people have an interest in NFTs but need to be more confident with the number of terms that have specific tailoring to fit the community. These NFT terms are diverse and span the entirety of Web3. For example, what is a Genesis NFT or Gas Fee?  Well, Let’s dig in to find out. 

    NFT Terms And Lingo

    A nft

    Airdrop: An NFT term you see a lot. Airdrop is a way to distribute ‘Gas’ free NFTs, Cryptocurrencies, and other Blockchain assets to your wallet

    Allowlist: An Allowlist is a list of wallet addresses that possess NFT minting rights. To join an NFT collection’s allowlist you should try to be more active in the collection’s community. Moreover, an Allowlist uses another name which is Whitelist, which we’ll explain in more detail below. 

    Alpha: Alpha is the term used for early insights or insider information about an NFT project. If someone is in the inner circle of an NFT project they would have the Alpha on all new things within the project. 

    ATH-All Time High: The highest sale price an asset has. 

    ATL-All Time Low: The lowest sale price an asset has. 

    Auction: Auction is the event where sellers list their NFTs for sale. Buyers would then pace their bids on the auction

    B nft term

    Blockchain: A Blockchain is a distributed digital ledger that is shared across multiple computers recording transactions in a digital format. A Blockchain maintains a secure and decentralized record of transactions. NFTs are built on Blockchain platforms such as Ethereum or Solana. 

    Burn: Burn refers to getting rid of an NFT by “Burning” it. Furthermore, one can “Burn” an NFT by sending it to the NFT contract address where it is destroyed and non-transferable.

    Blue-chip: A Blue Chip is a well-known NFT project or token with high stability. An example of a Blue chip NFT collection is BAYC.

    Bear Market: Bear Market refers to the period where the supply is higher than the demand leading to a decline in price. 

    Bid price: Bid Price refers to the higher price a buyer is willing to pay for an NFT or Token. 

    Bull Market: Bull Market refers to the period where the demand is higher than the supply leading to an increase in price. C

    CryptoCurrency: 

    CC0: CC0, or Creative Commons Zero, means that every creative work that is registered under this tag has no copyright. 

    D

    DAO: DAOs are communities that are not governed by a single entity instead are owned by members. Additionally, the rules and governance are coded in smart contracts on the Blockchain and can change through member voting. 

    Dapps: Dapps are Apps run on decentralized networks such as Solana or Polygon.

    DEX: DEX, or Decentralized exchanges, is a way to allow direct peer-to-peer P2P transactions, instead of the transactions going through a third party. 

    Digital twin: A digital twin is a virtual asset that accurately presents a physical object. They are usually sold alongside NFT collections as physical NFTs.

    E

    Ethereum: This NFT term refers to a particular cryptocurrency which is also known as ETH. This cryptocurrency supports Dapps and smart contracts and NFT transactions.

    F

    Floor Price: Floor Price is the lowest price one is able to purchase an NFT for in the market. 

    Flip: Flip refers to NFT flipping. Flipping is when investors mint or buy NFTs for the purpose of selling later on secondary markets for higher profit.  

    Fractionalize: When someone Fractionalizes their asset, they are subdividing it into several pieces.

    Fungible: Fungible means an interchangeable asset that can be exchanged for another asset with the same value. An example of fungible currencies is Bitcoin, Ether, and US dollars.

    G NFT

    Genesis NFT: A Genesis NFT refers to the initial NFT minted or created within a specific collection.

    Gas Fees: A Gas Fee is the transaction fee paid in cryptocurrency to perform an action on the Blockchain. Such as mining, buying, selling, and transferring NFTs.

    Gas Wars: It is when users compete by offering high gas fees and driving up transaction costs. 

    Generative Art: Generative art refers to any artistic piece such as music, literature, or graphics that was made using an autonomous system.

    I

    IP: IP, or intellectual property refers to the rights given to a creator for a creative property. 

    M

    Minting: Minting refers to the process of registering an asset on the Blockchain.

    Mining: Mining refers to the competitive process of cryptographic problems to verify and add new transactions to the Blockchain for a cryptocurrency.

    Migration: Migration happens during a Blockchain changeover and that is when an NFT is transferred from one Blockchain to another.

    N

    NFTs: The most important NFT term. NFTs stand for Non-Fungible Tokens. It is a unique crypto asset that uses the Blockchain as storage. 

    NFT Drop: NFT Drop is the term used to refer to the release of a new NFT collection.

    O

    OpenSea: OpenSea is one of the largest NFT marketplaces. 

    P

    PFP: Stands for Profile Picture.

    P2E: P2E or, Play to earn. They are games with a Blockchain base that reward players with tokens and in-game assets. 

    Pump&Dump: Refers to a manipulation scheme where a currency or NFT creator inflates “pumps” the value or price with the intent of selling “dumping” the asset and earning profit.

    R

    Rarity: Refers to the uniqueness or scarcity of an NFT. It can be determined by their edition size, attributes, or historical significance. 

    Royalties: Royalties refer to the profit the NFT creator earns after a sale. 

    Roadmap:roadmap is the list of activities or plans an NFT collection wishes to achieve.  

    Rugpull: A rug pull is a scam where a collection is created to seem legit and after selling and creating profit it disappears. And the team steals the investors’ money. 

    S

    Secondary Market: A secondary market is where NFTs are bought and sold after their initial mining. Examples of secondary markets are OpenSea and Rarible.

    Staking: Staking is the process of locking up tokens in a wallet for a period of time to participate in transaction validation.

    Smart Contract: A Smart Contract is a self-executing contract with the terms of the agreement directly written into code. NFTs utilize smart contracts to define their properties, ownership, and behavior. 

    T NFT

    Tokens&Tokenomics: Tokens refers to digital assets. Tokenomics is a combination of ‘tokens’ and ‘economics’ and it includes statistics, quality, and data of a token. 

    U NFT

    Utility: This NFT term refers to the functions an NFT or a cryptocurrency is able to provide. 

    W NFT

    Wallet: A digital wallet is a place where users can store and manage their crypto assets. The most popular example of a wallet is Metamask.

    Whitelist:whitelist is a special list that allows users to gain early access to NFT drops before the general public. It also gives them access to special events and more!

    Whitepaper: A Whitepaper is an officially released document by a crypto project that provides investors with key information about its concept and roadmap. 

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