Bitcoin
Bitcoin sends money directly between users with no bank "in the middle." What is this hyphenated network style called?
Peer-to-peer
Bitcoin records who owns what. Ethereum expanded the idea by allowing the blockchain to execute business logic automatically. What is this capability called?
Programmability (or Programmable Money)
A stablecoin is supposed to be worth $1. When it falls materially below that value, crypto users say it has done what?
Depegged
Before blockchain, international payments often moved through several intermediary banks. What is this payment model called?
Correspondent Banking
Instead of one bank keeping the books, Bitcoin keeps a single record whose identical copies live on thousands of independent computers. What is this kind of record called?
A shared (distributed) ledger
Imagine a new blockchain claims to be dramatically faster and cheaper than Ethereum while remaining equally secure. According to the Blockchain Trilemma, which characteristic is most likely being sacrificed?
Decentralization
Many stablecoins maintain their value because each token is backed by reserves such as cash or Treasury bills. What financial term describes the practice of backing an asset with reserves to support its value?
Collateralization
Banks prefer blockchain networks where every participant is known and approved. What type of blockchain is this?
Permissioned Blockchain
When "no one is in charge," what is the name for the costly competition that decides which computer adds the next block?
Proof of Work
Doing anything on Ethereum — sending funds or triggering a contract — costs a small fee that shoots up when the network is congested, sometimes making even a tiny transfer surprisingly expensive. What one-word term do crypto users give this fee?
Gas
If a $100 million office tower is divided into one million digital ownership units, investors can buy exposure without purchasing the entire asset. What investing concept does this illustrate?
Fractional Ownership
JPMorgan's blockchain platform represents commercial bank money on-chain. What is this digital form of bank money called?
Tokenized Deposits
Besides transaction fees, what reward does the winning computer collect for adding a block?
Newly created bitcoin (the block reward)
To scale Ethereum, networks like Arbitrum, Optimism, and Base process thousands of transactions off the main chain, then submit a compressed version back to Ethereum. What is the collective name for these scaling solutions?
Layer 2 Rollups (accept Rollups)
Stablecoins became popular because they combine blockchain settlement with a feature Bitcoin lacks. What characteristic allows them to be used more easily for payments and payroll?
Price Stability
Traditional cross-border payments require banks to park money in foreign accounts around the world before transactions occur. What are these pre-funded accounts called?
Nostro Accounts (accept Nostro/Vostro Accounts)
About every four years, that block reward is automatically cut in half, steadily slowing how fast new bitcoin is created. What is this recurring event called?
The halving
A crop-insurance smart contract can automatically pay farmers after a drought. But to know whether a drought actually occurred, it must trust outside data. What fundamental blockchain challenge does this illustrate?
The Oracle Problem
Blockchain systems can exchange an asset and payment simultaneously, eliminating settlement risk. What is this called?
Atomic Settlement
A payment that is final and irreversible once completed is said to have reached what?
Settlement Finality