Crypto & Digital Assets Explained

A distributionIncome or realised gains paid by a fund to its unitholders. of tokens to selected wallets, often based on past activity or eligibility rules.

Example: Early protocol users receive an airdrop.

Airdrop is a distribution of tokens to selected wallets, often based on past activity or eligibility rules; the economics of the digital-asset concept depend on the rights represented by the asset, how supply changes, who controls upgrades and whether holders can redeem or use it.

For example, early protocol users receive an airdrop.

Trace Airdrop across protocol, token and intermediary layers; test a small transaction and understand recovery options before committing a material amount. On-chain visibility does not eliminate fraud or operational riskThe risk of loss from failed processes, people, systems, or external events..

A token whose value or redemptionThe process of selling fund units back to the fund in exchange for cash. claim is linked to off-chain or on-chain assets.

Example: A token represents allocated goldGold held as specifically identified bars owned by the investor. held by a custodianA licensed institution that safeguards a fund's cash and securities separately from the manager's own assets..

Asset-Backed Token is a token whose value or redemption claim is linked to off-chain or on-chain assets; a token can represent utility, governance, a claim or nothing beyond transferability. The smart contract and legal arrangement determine what holders actually receive.

A token represents allocated gold held by a custodian.

Before relying on it, confirm what ownership permits, who can freeze or change the system, where price data come from and what happens when the main venue fails.

A protocol that prices and exchanges assets using a formula and liquidityThe ease and speed with which an investment can be converted into cash without a major price concession. pools.

Example: The AMM adjusts token prices as pool balances change.

Automated Market MakerA dealer that continuously quotes prices at which it is willing to buy and sell. is a protocol that prices and exchanges assets using a formula and liquidity pools; the digital-asset concept exists through software, cryptographic keys and a ledger or service that records ownership, transfer or contractual state.

For example, the AMM adjusts token prices as pool balances change.

For Automated Market Maker, verify the network, contract or mint address, supply and issuance rules, administrator powers, custody, liquidity, fees, audit history and redemption mechanism; self-custody removes one intermediary but transfers securityA tradable financial claim or ownership interest, such as a share, bond, or fund unit. responsibility to the holder.

A distributed record of transactions grouped into linked blocks and maintained by a network.

Example: A public blockchain records token transfers without one central database.

Blockchain is a distributed record of transactions grouped into linked blocks and maintained by a network. A blockchain provides a shared ordering and record of state changes; it does not automatically establish that off-chain information entered into the ledger is true.

A public blockchain records token transfers without one central database.

Trace Blockchain across protocol, token and intermediary layers; test a small transaction and understand recovery options before committing a material amount. A stable price design can fail under liquidity or collateralAn asset pledged to secure repayment of an obligation. stress.

A system that transfers or represents assets and data across blockchain networks.

Example: A user locks tokens on one chain and receives a representation on another.

Bridge is a system that transfers or represents assets and data across blockchain networks; the protocol mechanism, custody arrangement and market venue are separate layers, each with its own failure modes.

A user locks tokens on one chain and receives a representation on another.

Before relying on it, confirm what ownership permits, who can freeze or change the system, where price data come from and what happens when the main venue fails; code execution and legal enforceability are not the same thing.

A company-operated platform that matches digital-asset buyers and sellers and may custody funds.

Example: The investorA person or organisation that commits capital with the expectation of a financial return. deposits naira and buys tokens on a centralised exchange.

Centralised Exchange is a company-operated platform that matches digital-asset buyers and sellers and may custody funds; the digital-asset concept exists through software, cryptographic keys and a ledger or service that records ownership, transfer or contractual state.

The investor deposits naira and buys tokens on a centralised exchange.

A digital-asset review of Centralised Exchange should cover key management, smart-contract riskThe risk of loss from flaws, exploits, or unintended behaviour in blockchain code., consensus or validator dependence, governance and the legal claim, if any; a stable price design can fail under liquidity or collateral stress.

The quantity of tokens currently available to the public market under the stated methodology.

Example: Locked team tokens are excluded from circulating supply.

Circulating Supply is the quantity of tokens currently available to the public market under the stated methodology; the protocol mechanism, custody arrangement and market venue are separate layers, each with its own failure modes.

Locked team tokens are excluded from circulating supply.

A digital-asset review of Circulating Supply should cover key management, smart-contract risk, consensus or validator dependence, governance and the legal claim, if any. Also compare Fully Diluted Valuation, defined here as token price multiplied by the maximum or fully diluted supply.

A native digital asset of a blockchain network.

Example: Ether is used to pay transaction fees on Ethereum.

Coin is a native digital asset of a blockchain network; the digital-asset concept exists through software, cryptographic keys and a ledger or service that records ownership, transfer or contractual state.

Ether is used to pay transaction fees on Ethereum.

Before relying on it, confirm what ownership permits, who can freeze or change the system, where price data come from and what happens when the main venue fails; code execution and legal enforceability are not the same thing.

A wallet whose signing keys are kept offline.

Example: Long-term holdings are stored on a hardware device.

Cold Wallet is a wallet whose signing keys are kept offline; the protocol mechanism, custody arrangement and market venue are separate layers, each with its own failure modes.

Long-term holdings are stored on a hardware device.

For Cold Wallet, verify the network, contract or mint address, supply and issuance rules, administrator powers, custody, liquidity, fees, audit history and redemption mechanism; a stable price design can fail under liquidity or collateral stress. Also compare Hot Wallet, defined here as a wallet connected to an internet-enabled device.

A digitally represented asset that uses cryptographic and distributed-ledger systems for issuance or transfer.

Example: An investor buys bitcoin through a regulated exchange.

Cryptocurrency is a digitally represented asset that uses cryptographic and distributed-ledger systems for issuance or transfer. Cryptography protects control and verification, but market valueThe price at which an asset could trade in the market at a given time. still depends on adoption, supply, liquidity and confidence in the network.

An investor buys bitcoin through a regulated exchange.

For Cryptocurrency, verify the network, contract or mint address, supply and issuance rules, administrator powers, custody, liquidity, fees, audit history and redemption mechanism; self-custody removes one intermediary but transfers security responsibility to the holder.

A wallet arrangement in which a third party controls the private keys for the user.

Example: An exchange holds customers' assets in custodial wallets.

Custodial Wallet is a wallet arrangement in which a third party controls the private keys for the user; the digital-asset concept exists through software, cryptographic keys and a ledger or service that records ownership, transfer or contractual state.

An exchange holds customers' assets in custodial wallets.

For Custodial Wallet, verify the network, contract or mint address, supply and issuance rules, administrator powers, custody, liquidity, fees, audit history and redemption mechanism; on-chain visibility does not eliminate fraud or operational risk.

A blockchain-based protocol enabling asset swaps without a traditional central operator holding the order flow.

Example: A user swaps tokens directly from a wallet through a DEX.

Decentralised Exchange is a blockchain-based protocol enabling asset swaps without a traditional central operator holding the order flow; the digital-asset concept separates control from identity: whoever controls the relevant private key or account credentials may be able to move the asset.

A user swaps tokens directly from a wallet through a DEX.

For Decentralised Exchange, verify the network, contract or mint address, supply and issuance rules, administrator powers, custody, liquidity, fees, audit history and redemption mechanism; code execution and legal enforceability are not the same thing.

A material deviation of a pegged asset from its target value.

Example: A stablecoin trading at $0.85 has depegged from the dollar.

Depeg is a material deviation of a pegged asset from its target value; the protocol mechanism, custody arrangement and market venue are separate layers, each with its own failure modes.

A stablecoin trading at $0.85 has depegged from the dollar.

A digital-asset review of Depeg should cover key management, smart-contract risk, consensus or validator dependence, governance and the legal claim, if any. Also compare Wrapped Token, defined here as a token representing another asset on the same or a different blockchain.

An electronically represented item of value or right that can be owned or transferred.

Example: Cryptocurrencies, tokenised securities, and some NFTs are digital assets.

Digital Asset is an electronically represented item of value or right that can be owned or transferred; the digital-asset concept separates control from identity: whoever controls the relevant private key or account credentials may be able to move the asset.

Cryptocurrencies, tokenised securities, and some NFTs are digital assets.

For Digital Asset, verify the network, contract or mint address, supply and issuance rules, administrator powers, custody, liquidity, fees, audit history and redemption mechanism.

Token price multiplied by the maximum or fully diluted supply.

Example: A token with low circulating supply may have a much larger FDV than market cap.

Fully Diluted Valuation describes token price multiplied by the maximum or fully diluted supply; the digital-asset concept exists through software, cryptographic keys and a ledger or service that records ownership, transfer or contractual state.

A token with low circulating supply may have a much larger FDV than market cap.

For Fully Diluted Valuation, verify the network, contract or mint address, supply and issuance rules, administrator powers, custody, liquidity, fees, audit history and redemption mechanism; code execution and legal enforceability are not the same thing.

A fee paid to process a transaction or computation on a blockchain.

Example: The user pays gas to execute a token swap.

Gas Fee is a fee paid to process a transaction or computation on a blockchain; the digital-asset concept exists through software, cryptographic keys and a ledger or service that records ownership, transfer or contractual state.

The user pays gas to execute a token swap.

Trace Gas Fee across protocol, token and intermediary layers; test a small transaction and understand recovery options before committing a material amount. Self-custody removes one intermediary but transfers security responsibility to the holder.

A token that grants voting or proposal rights in a protocol or organisation.

Example: Holders vote on changes to lending parameters.

Governance Token is a token that grants voting or proposal rights in a protocol or organisation; a token can represent utility, governance, a claim or nothing beyond transferability. The smart contract and legal arrangement determine what holders actually receive.

Holders vote on changes to lending parameters.

For Governance Token, verify the network, contract or mint address, supply and issuance rules, administrator powers, custody, liquidity, fees, audit history and redemption mechanism; code execution and legal enforceability are not the same thing.

A scheduled reduction in the rate at which new tokens are issued, commonly associated with proof-of-work networks.

Example: Bitcoin's block reward falls by half at programmed intervals.

Halving is a scheduled reduction in the rate at which new tokens are issued, commonly associated with proof-of-work networks; the digital-asset concept exists through software, cryptographic keys and a ledger or service that records ownership, transfer or contractual state.

Bitcoin's block reward falls by half at programmed intervals.

For Halving, verify the network, contract or mint address, supply and issuance rules, administrator powers, custody, liquidity, fees, audit history and redemption mechanism; code execution and legal enforceability are not the same thing.

A wallet connected to an internet-enabled device.

Example: A trader keeps a small balance in a hot wallet for daily use.

Hot Wallet is a wallet connected to an internet-enabled device; the protocol mechanism, custody arrangement and market venue are separate layers, each with its own failure modes.

A trader keeps a small balance in a hot wallet for daily use.

Trace Hot Wallet across protocol, token and intermediary layers; test a small transaction and understand recovery options before committing a material amount. On-chain visibility does not eliminate fraud or operational risk; Also compare Seed Phrase, defined here as a sequence of words used to restore access to a cryptographic wallet.

The difference between the value of assets held in a liquidity pool and the value of simply holding them, before fees.

Example: A large change in the token price creates impermanent loss for the provider.

Impermanent Loss is the difference between the value of assets held in a liquidity pool and the value of simply holding them, before fees; the digital-asset concept exists through software, cryptographic keys and a ledger or service that records ownership, transfer or contractual state.

A large change in the token price creates impermanent loss for the provider.

Trace Impermanent Loss across protocol, token and intermediary layers; test a small transaction and understand recovery options before committing a material amount. Code execution and legal enforceability are not the same thing.

Tokens deposited in a smart contract to support trading, lending, or other protocol activity.

Example: Users supply both sides of a trading pair to a liquidity pool.

Liquidity Pool describes tokens deposited in a smart contract to support trading, lending, or other protocol activity; liquidity has three dimensions: how quickly an asset can be sold, how much can be sold, and how large a price concessionA contractual right to build, operate, or collect revenue from an asset or service for a stated period. the sale requires.

Users supply both sides of a trading pair to a liquidity pool.

For Liquidity Pool, verify the network, contract or mint address, supply and issuance rules, administrator powers, custody, liquidity, fees, audit history and redemption mechanism; self-custody removes one intermediary but transfers security responsibility to the holder.

Token price multiplied by circulating supply.

Example: A ₦1 token with one billion circulating units has ₦1 billion market capitalisationThe market value of a company's outstanding shares, calculated as share price multiplied by shares outstanding..

Market Capitalisation of a Token describes token price multiplied by circulating supply; a token can represent utility, governance, a claim or nothing beyond transferability. The smart contract and legal arrangement determine what holders actually receive.

A ₦1 token with one billion circulating units has ₦1 billion market capitalisation.

For Market Capitalisation of a Token, verify the network, contract or mint address, supply and issuance rules, administrator powers, custody, liquidity, fees, audit history and redemption mechanism; a stable price design can fail under liquidity or collateral stress.

The maximum number of tokens that can ever exist under the protocol rules.

Example: Bitcoin has a protocol-defined maximum supply.

Maximum Supply is the maximum number of tokens that can ever exist under the protocol rules; the digital-asset concept exists through software, cryptographic keys and a ledger or service that records ownership, transfer or contractual state.

Bitcoin has a protocol-defined maximum supply.

Before relying on it, confirm what ownership permits, who can freeze or change the system, where price data come from and what happens when the main venue fails. Also compare Circulating Supply, defined here as the quantity of tokens currently available to the public market under the stated methodology.

Using computing resources to validate proof-of-work transactions and earn rewards.

Example: A mining operation receives new coins and transaction fees.

Mining means using computing resources to validate proof-of-work transactions and earn rewards; the digital-asset concept separates control from identity: whoever controls the relevant private key or account credentials may be able to move the asset.

A mining operation receives new coins and transaction fees.

Before relying on it, confirm what ownership permits, who can freeze or change the system, where price data come from and what happens when the main venue fails. Also compare Proof of Work, defined here as a consensus mechanism in which participants expend computing resources to secure the network.

The creation of new tokens under a protocol or contract's rules.

Example: Staking rewards are minted each epoch.

Minting is the creation of new tokens under a protocol or contract's rules; the economics of the digital-asset concept depend on the rights represented by the asset, how supply changes, who controls upgrades and whether holders can redeem or use it.

Staking rewards are minted each epoch.

For Minting, verify the network, contract or mint address, supply and issuance rules, administrator powers, custody, liquidity, fees, audit history and redemption mechanism; self-custody removes one intermediary but transfers security responsibility to the holder.

A unique or individually identifiable blockchain token.

Example: An NFT may represent digital art, membership, or a claim on an asset.

Non-Fungible Token is a unique or individually identifiable blockchain token; a token can represent utility, governance, a claim or nothing beyond transferability. The smart contract and legal arrangement determine what holders actually receive.

An NFT may represent digital art, membership, or a claim on an asset.

A digital-asset review of Non-Fungible Token should cover key management, smart-contract risk, consensus or validator dependence, governance and the legal claim, if any. Also compare Token, defined here as a digital unit issued or represented on a blockchain.

Transaction, balance, and contract information recorded on a blockchain.

Example: An analyst tracks exchange inflows using on-chain data.

On-Chain Data describes transaction, balance, and contract information recorded on a blockchain; the protocol mechanism, custody arrangement and market venue are separate layers, each with its own failure modes.

An analyst tracks exchange inflows using on-chain data.

A digital-asset review of On-Chain Data should cover key management, smart-contract risk, consensus or validator dependence, governance and the legal claim, if any; self-custody removes one intermediary but transfers security responsibility to the holder. Also compare Non-Fungible Token, defined here as a unique or individually identifiable blockchain token.

A service or mechanism that supplies external data to a blockchain application.

Example: A lending protocol uses an oracle for collateral prices.

Oracle is a service or mechanism that supplies external data to a blockchain application; the protocol mechanism, custody arrangement and market venue are separate layers, each with its own failure modes.

A lending protocol uses an oracle for collateral prices.

Before relying on it, confirm what ownership permits, who can freeze or change the system, where price data come from and what happens when the main venue fails. Also compare Gas Fee, defined here as a fee paid to process a transaction or computation on a blockchain.

A secret cryptographic value that authorises control over blockchain assets.

Example: Anyone who obtains the private key may be able to move the funds.

Private Key is a secret cryptographic value that authorises control over blockchain assets; the digital-asset concept separates control from identity: whoever controls the relevant private key or account credentials may be able to move the asset.

Anyone who obtains the private key may be able to move the funds.

A digital-asset review of Private Key should cover key management, smart-contract risk, consensus or validator dependence, governance and the legal claim, if any; on-chain visibility does not eliminate fraud or operational risk.

A consensus mechanism in which validators are selected and penalised based partly on staked assets.

Example: Validators lock tokens as economic security.

Proof of Stake is a consensus mechanism in which validators are selected and penalised based partly on staked assets; the protocol mechanism, custody arrangement and market venue are separate layers, each with its own failure modes.

Validators lock tokens as economic security.

A digital-asset review of Proof of Stake should cover key management, smart-contract risk, consensus or validator dependence, governance and the legal claim, if any; on-chain visibility does not eliminate fraud or operational risk.

A consensus mechanism in which participants expend computing resources to secure the network.

Example: Miners compete to produce valid blocks.

Proof of Work is a consensus mechanism in which participants expend computing resources to secure the network; the digital-asset concept separates control from identity: whoever controls the relevant private key or account credentials may be able to move the asset.

Miners compete to produce valid blocks.

A digital-asset review of Proof of Work should cover key management, smart-contract risk, consensus or validator dependence, governance and the legal claim, if any; self-custody removes one intermediary but transfers security responsibility to the holder.

A cryptographic value derived from a private key and used to identify or verify transactions.

Example: The wallet address is derived from public-key information.

Public Key is a cryptographic value derived from a private key and used to identify or verify transactions; the digital-asset concept separates control from identity: whoever controls the relevant private key or account credentials may be able to move the asset.

The wallet address is derived from public-key information.

A digital-asset review of Public Key should cover key management, smart-contract risk, consensus or validator dependence, governance and the legal claim, if any; code execution and legal enforceability are not the same thing.

A token representing a regulated investmentAn asset or commitment of money made with the expectation of future income, growth, or both. claim such as equity, debt, or fund ownership.

Example: A tokenised bond pays interest to verified holders.

Security Token is a token representing a regulated investment claim such as equity, debt, or fund ownership; a token can represent utility, governance, a claim or nothing beyond transferability. The smart contract and legal arrangement determine what holders actually receive.

A tokenised bond pays interest to verified holders.

A digital-asset review of Security Token should cover key management, smart-contract risk, consensus or validator dependence, governance and the legal claim, if any; self-custody removes one intermediary but transfers security responsibility to the holder.

A sequence of words used to restore access to a cryptographic wallet.

Example: The investor stores the seed phrase offline and never shares it.

Seed Phrase is a sequence of words used to restore access to a cryptographic wallet; the digital-asset concept separates control from identity: whoever controls the relevant private key or account credentials may be able to move the asset.

The investor stores the seed phrase offline and never shares it.

A digital-asset review of Seed Phrase should cover key management, smart-contract risk, consensus or validator dependence, governance and the legal claim, if any; on-chain visibility does not eliminate fraud or operational risk.

Holding and controlling one's own private keys rather than relying on an intermediary.

Example: The investor withdraws tokens from an exchange into a personal wallet.

Self-Custody means holding and controlling one's own private keys rather than relying on an intermediary; the economics of the digital-asset concept depend on the rights represented by the asset, how supply changes, who controls upgrades and whether holders can redeem or use it.

The investor withdraws tokens from an exchange into a personal wallet.

For Self-Custody, verify the network, contract or mint address, supply and issuance rules, administrator powers, custody, liquidity, fees, audit history and redemption mechanism.

A penalty that removes part of a validator's stake for specified misconduct or failure.

Example: Double-signing causes the validator to be slashed.

Slashing is a penalty that removes part of a validator's stake for specified misconduct or failure; the digital-asset concept exists through software, cryptographic keys and a ledger or service that records ownership, transfer or contractual state.

Double-signing causes the validator to be slashed.

A digital-asset review of Slashing should cover key management, smart-contract risk, consensus or validator dependence, governance and the legal claim, if any; a stable price design can fail under liquidity or collateral stress.

Program code deployed on a blockchain that executes according to predefined rules.

Example: A lending smart contract automatically calculates collateral and interest.

Smart Contract describes program code deployed on a blockchain that executes according to predefined rules; the digital-asset concept exists through software, cryptographic keys and a ledger or service that records ownership, transfer or contractual state.

A lending smart contract automatically calculates collateral and interest.

A digital-asset review of Smart Contract should cover key management, smart-contract risk, consensus or validator dependence, governance and the legal claim, if any. Also compare Yield Farming, defined here as moving or supplying digital assets across protocols to earn fees, incentives, or interest-like rewards.

A digital token designed to maintain a stable value relative to a reference asset.

Example: A dollar stablecoin aims to trade near one US dollar.

Stablecoin is a digital token designed to maintain a stable value relative to a reference asset. A stablecoin's price targetAn analyst's estimate of a security's future price over a stated period. is not a guaranteeA contractual promise by another party to meet an obligation if the primary debtor does not.. Reserve quality, redemption access, collateral, market liquidity and governance determine how well the peg survives stress.

A dollar stablecoin aims to trade near one US dollar.

For Stablecoin, verify the network, contract or mint address, supply and issuance rules, administrator powers, custody, liquidity, fees, audit history and redemption mechanism. Also compare Coin, defined here as a native digital asset of a blockchain network.

Locking or delegating tokens to support a proof-of-stake network or protocol in return for rewards.

Example: A holder delegates tokens to a validator.

Staking describes locking or delegating tokens to support a proof-of-stake network or protocol in return for rewards; the protocol mechanism, custody arrangement and market venue are separate layers, each with its own failure modes.

A holder delegates tokens to a validator.

Before relying on it, confirm what ownership permits, who can freeze or change the system, where price data come from and what happens when the main venue fails. Also compare Validator, defined here as a network participant that verifies transactions and helps produce or confirm blocks under consensus rules.

A digital unit issued or represented on a blockchain.

Example: A protocol token may provide access, voting rights, or economic exposure.

Token is a digital unit issued or represented on a blockchain; a token can represent utility, governance, a claim or nothing beyond transferability. The smart contract and legal arrangement determine what holders actually receive.

A protocol token may provide access, voting rights, or economic exposure.

Before relying on it, confirm what ownership permits, who can freeze or change the system, where price data come from and what happens when the main venue fails; self-custody removes one intermediary but transfers security responsibility to the holder.

The permanent removal of tokens from usable supply.

Example: The protocol burns part of each transaction fee.

Token Burn is the permanent removal of tokens from usable supply; the digital-asset concept exists through software, cryptographic keys and a ledger or service that records ownership, transfer or contractual state.

The protocol burns part of each transaction fee.

Before relying on it, confirm what ownership permits, who can freeze or change the system, where price data come from and what happens when the main venue fails; code execution and legal enforceability are not the same thing.

The rules and incentives governing a token's supply, distribution, utility, and value flows.

Example: Investors study emissions, unlocks, fees, and staking rewards.

Tokenomics is the rules and incentives governing a token's supply, distribution, utility, and value flows; the economics of the digital-asset concept depend on the rights represented by the asset, how supply changes, who controls upgrades and whether holders can redeem or use it.

For example, investors study emissions, unlocks, fees, and staking rewards.

For Tokenomics, verify the network, contract or mint address, supply and issuance rules, administrator powers, custody, liquidity, fees, audit history and redemption mechanism; a stable price design can fail under liquidity or collateral stress.

The release of previously restricted tokens into transferable circulation.

Example: A large team unlock may increase potential selling pressure.

Token Unlock is the release of previously restricted tokens into transferable circulation; the digital-asset concept exists through software, cryptographic keys and a ledger or service that records ownership, transfer or contractual state.

A large team unlock may increase potential selling pressure.

Before relying on it, confirm what ownership permits, who can freeze or change the system, where price data come from and what happens when the main venue fails. Also compare Tokenomics, defined here as the rules and incentives governing a token's supply, distribution, utility, and value flows.

A schedule that gradually releases tokens to founders, employees, investors, or communities.

Example: Investor tokens vest monthly over three years.

Token Vesting is a schedule that gradually releases tokens to founders, employees, investors, or communities; the protocol mechanism, custody arrangement and market venue are separate layers, each with its own failure modes.

Investor tokens vest monthly over three years.

Trace Token Vesting across protocol, token and intermediary layers; test a small transaction and understand recovery options before committing a material amount. On-chain visibility does not eliminate fraud or operational risk; Also compare Token Unlock, defined here as the release of previously restricted tokens into transferable circulation.

The number of tokens created minus those permanently removed, depending on the stated methodology.

Example: Total supply includes locked tokens that are not circulating.

Total Supply is the number of tokens created minus those permanently removed, depending on the stated methodology; the economics of the digital-asset concept depend on the rights represented by the asset, how supply changes, who controls upgrades and whether holders can redeem or use it.

Total supply includes locked tokens that are not circulating.

For Total Supply, verify the network, contract or mint address, supply and issuance rules, administrator powers, custody, liquidity, fees, audit history and redemption mechanism; self-custody removes one intermediary but transfers security responsibility to the holder.

The value of assets deposited in a decentralised-finance protocol under a stated method.

Example: A lending protocol reports $1 billion in TVL.

Total Value Locked is the value of assets deposited in a decentralised-finance protocol under a stated method; the digital-asset concept exists through software, cryptographic keys and a ledger or service that records ownership, transfer or contractual state.

A lending protocol reports $1 billion in TVL.

Before relying on it, confirm what ownership permits, who can freeze or change the system, where price data come from and what happens when the main venue fails.

A token intended to provide access to a product, service, or network function.

Example: Users spend the token to purchase computing resources.

Utility Token is a token intended to provide access to a product, service, or network function; a token can represent utility, governance, a claim or nothing beyond transferability. The smart contract and legal arrangement determine what holders actually receive.

For example, users spend the token to purchase computing resources.

Trace Utility Token across protocol, token and intermediary layers; test a small transaction and understand recovery options before committing a material amount. On-chain visibility does not eliminate fraud or operational risk.

A network participant that verifies transactions and helps produce or confirm blocks under consensus rules.

Example: The validator earns rewards for reliable participation.

Validator is a network participant that verifies transactions and helps produce or confirm blocks under consensus rules; the protocol mechanism, custody arrangement and market venue are separate layers, each with its own failure modes.

The validator earns rewards for reliable participation.

A digital-asset review of Validator should cover key management, smart-contract risk, consensus or validator dependence, governance and the legal claim, if any; self-custody removes one intermediary but transfers security responsibility to the holder.

Software or hardware used to manage cryptographic keys and interact with digital assets.

Example: An investor uses a wallet to sign a token transfer.

Wallet describes software or hardware used to manage cryptographic keys and interact with digital assets; the protocol mechanism, custody arrangement and market venue are separate layers, each with its own failure modes.

An investor uses a wallet to sign a token transfer.

Before relying on it, confirm what ownership permits, who can freeze or change the system, where price data come from and what happens when the main venue fails.

A token representing another asset on the same or a different blockchain.

Example: Wrapped bitcoin can be used in applications that do not natively support bitcoin.

Wrapped Token is a token representing another asset on the same or a different blockchain; a token can represent utility, governance, a claim or nothing beyond transferability. The smart contract and legal arrangement determine what holders actually receive.

Wrapped bitcoin can be used in applications that do not natively support bitcoin.

Before relying on it, confirm what ownership permits, who can freeze or change the system, where price data come from and what happens when the main venue fails; code execution and legal enforceability are not the same thing.

Moving or supplying digital assets across protocols to earn fees, incentives, or interest-like rewards.

Example: A user deposits tokens into a lending market and earns protocol incentives.

Yield Farming describes moving or supplying digital assets across protocols to earn fees, incentives, or interest-like rewards; the digital-asset concept separates control from identity: whoever controls the relevant private key or account credentials may be able to move the asset.

A user deposits tokens into a lending market and earns protocol incentives.

Trace Yield Farming across protocol, token and intermediary layers; test a small transaction and understand recovery options before committing a material amount. On-chain visibility does not eliminate fraud or operational risk.