General and specific terminology related to SW DAO. The terms below may be frequently mentioned on other GitBook pages.
Centralized Exchange (CEX) - A form of a cryptocurrency exchange in which a middleman conducts and monitors transactions as well as oversees assets.
DeFi Pulse Index (DPI) - A digital asset index that tracks the performance of tokens in the Decentralized Finance industry.
Decentralized Autonomous Organization (DAO) - An organization governed by its members and not affected by a central authority, with regulations written as smart contracts on the blockchain.
Decentralized Exchange (DEX) - A form of cryptocurrency exchange that lets users perform safe online peer-to-peer cryptocurrency transactions without the use of a middleman.
Decentralized Finance (DeFi) - A type of finance that uses smart contracts on blockchains, most commonly Ethereum, to offer traditional financial instruments.
Dividend - An amount of money given to the company's shareholders on a recurring basis from its earnings.
ERC20 - The Ethereum blockchain's standard protocol for writing and issuing smart contracts. Most tokens that operate on the ETH network are ERC20.
Exchange-Traded Fund (ETF) - An asset that monitors a sector, another asset, commodity, or index and may be bought and sold on a stock market in the same manner as a conventional stock can.
Governance - The structure that regulates and administers an organization, as well as the procedures that hold it and its members accountable
Impermanent Loss - The difference in yield generated between the total sum of return from staking a pair of coins in a Yield Fund vs just holding the individual assets in spot.
Machine Learning - The application and creation of digital systems that can learn and evolve by analyzing and making inferences from data patterns utilizing algorithms and statistical models.
Pre-Sale - An auction held in advance of a general public sale, which is for a small group of buyers.
Private Sale - Instead of selling assets on the open market, assets are sold to a small group of strategic investors.
Rug Pull - A style of fraud in which developers leave a project and steal the money from its investors.
SW Improvement Proposal (SWIP) - Describes the SW DAO platform's standard for an improvement proposal, including core protocol specifications, client APIs, and contract specifications.
Self-Custody - When you have ownership over the private key of your wallet, only you have access to your digital assets.
Simple Moving Average (SMA) - The average price of an asset over a given time frame.
Staking - A method of pledging your crypto assets to a blockchain network.
Tokenomics - The study of a crypto token's economics
Traditional Finance (TradFi) - Finance that relies on central financial intermediaries such as brokerages, exchanges, or banks.
Treasury - A corporation's or institution's assets, typically from revenue, that are reserved or saved.
Vesting - A schedule that specifies when a party can wholly own the asset to which they are entitled.
Yield Fund - Yield farming is the lending or staking of a cryptocurrency or pair of cryptocurrencies in exchange for interest (yield). Users loan their capital by placing it into a pool and are rewarded with interest payments.
Last modified 6mo ago
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