The Dictionary
Explore 336+ clear, technical, and objective definitions defining the decentralized future.
Recently Defined
Shared Sequencer
A shared sequencer is a decentralized network of nodes that orders transactions on behalf of multiple Layer 2 rollups simultaneously. Rather than each rollup running its own centralized sequencer, they share an external ordering layer to enable cross-rollup composability and resist censorship.
Runes (Bitcoin)
Runes is a fungible token protocol on Bitcoin, designed as a more efficient alternative to BRC-20. It uses Bitcoin's native UTXO model to track token balances directly, without requiring inscriptions or off-chain indexers to interpret JSON.
Restaking
Restaking is the practice of pledging already-staked assets (e.g., staked ETH or Liquid Staking Tokens) as security for additional protocols or services, in exchange for extra rewards. The same capital secures multiple things at once.
Real Yield
Real yield is yield paid to token holders from actual protocol revenue (fees, interest, MEV captured) rather than from token emissions. The distinction matters because emissions are dilutive — they pay yield by printing more of the same token — while real yield is value brought in from users.
Real World Assets (RWA)
A real-world asset, often shortened to RWA, is a physical or traditional financial asset represented, referenced, or managed through blockchain infrastructure. Examples can include government bonds, private credit, property, commodities, invoices, and investment funds.
Proof of Reserves
Proof of Reserves (PoR) is a verification process that demonstrates a centralized custodian (exchange, lender, stablecoin issuer) holds the assets it claims to hold on behalf of its users. The strongest forms are cryptographic and verifiable by any user.
Proof of Personhood
Proof of personhood (PoP) is a system that verifies an account corresponds to a unique human being, without necessarily revealing that human's identity. It is the cryptographic answer to "how do you ensure one person, one account?"
Points Farming
Points farming is the practice of accumulating off-chain "points" issued by a protocol that the protocol may later use to determine token airdrop allocations. Points are not tokens, do not have a guaranteed conversion rate, and are entirely at the issuer's discretion.
Perpetual DEX
A perpetual DEX is a decentralized exchange specialized in trading perpetual futures contracts. It enables on-chain leverage trading without a centralized custodian or order book operator, typically using an automated market maker, oracle pricing, or an on-chain order book.
Passkey Wallet
A passkey wallet is a crypto wallet that uses platform-level passkeys — biometric or device-bound credentials standardized through WebAuthn — instead of a traditional seed phrase or password. Authorization happens through Face ID, fingerprint, or a hardware security module.
Ordinals (Bitcoin)
Ordinals is a protocol that allows arbitrary data — images, text, code — to be inscribed directly onto individual satoshis (the smallest unit of Bitcoin), turning each satoshi into a unique, identifiable, transferable digital artifact. The result is Bitcoin-native NFTs.
Onchain Reputation
Onchain reputation is a verifiable record of an address's behavior — transaction history, contracts interacted with, tokens held, attestations received — used as a basis for trust, access, or scoring without revealing the underlying identity.
Omnichain
Omnichain refers to applications or tokens that exist natively across many blockchains simultaneously, treating multi-chain operation as the default state rather than an integration. State, balances, and logic are kept consistent across chains through cross-chain messaging protocols.
Multisig Wallet
A multisig (multi-signature) wallet is a smart-contract or script-based wallet that requires multiple independent signatures to authorize a transaction — for example, 2-of-3 or 3-of-5 — instead of a single private key.
Modular Blockchain
A modular blockchain is one that separates the core functions of a blockchain — execution, settlement, consensus, and data availability — into distinct, swappable layers. This is the opposite of a monolithic blockchain (like Solana) where all functions are handled by a single chain.
Memecoin Launchpad
A memecoin launchpad is a platform that lets anyone deploy and trade a new token within minutes, typically using a bonding curve to provide instant liquidity. Tokens "graduate" to a standard DEX once a threshold of capital is locked into the curve.
Liquid Staking Token (LST)
A Liquid Staking Token (LST) is a tokenized representation of staked assets — most commonly ETH — that remains transferable and usable across DeFi while the underlying stake continues to earn validator rewards. Examples include stETH, rETH, and similar tokens on other proof-of-stake chains.
Liquid Restaking Token (LRT)
A Liquid Restaking Token (LRT) is a token that represents a position in a restaking protocol — like EigenLayer — where staked ETH (or LSTs) is re-pledged to secure additional services beyond Ethereum itself. Holding the LRT is equivalent to holding restaked exposure that remains liquid and transferable.
JIT Liquidity
JIT Liquidity (Just-In-Time) JIT liquidity is a strategy on concentrated-liquidity AMMs where a sophisticated LP detects an incoming large swap in the mempool, deposits a massive, tightly-ranged position immediately before the swap executes, captures most of the trading fee, and withdraws the position in the next block.
Intent-Based Trading
Intent-based trading is an execution model where a user expresses what they want — "sell 1 ETH for at least 3,800 USDC on any chain within 5 minutes" — and a competitive network of solvers figures out how to fulfill it, returning the best outcome.