NFTs only exploded onto the world stage in 2021. That year, two thirds of Americans had never heard of the NFTs. Now, in 2022, only 7 percent of Americans are unaware of NFTs.

If you’re new to NFTs or want to dig deeper into the space, we’ve compiled a list of 92 NFTs terms to help you navigate the space with confidence.

From crypto definitions to Twitter terminology and NFT slang, here you’ll find all the terms you need to know.  

1/1

A unique single edition NFT created by an artist. For example, Petra Cortright's PC_Flower_Vase 001 is a 1/1 NFT.

Airdrop

A promotional strategy where NFTs or tokens are sent to a list of wallet addresses for free. Airdropping is often used to increase awareness for a particular NFT project and reward loyal collectors.

Altcoin

Cryptocurrencies with a relatively small market cap that would not be considered canonical like Ethereum or Bitcoin.

AMA

Acronym for 'ask me anything'. AMA refers to the roundtable and townhall-style discussions NFT projects often hold to engage their communities and share roadmaps.

AP Edition

AP is an acronym for "artist proof." AP Editions tend to be original copies and drafts that led to the final version of a work.

Bear Market

A term used to describe a pessimistic view of a market or asset. If investors believe the value of an asset will decrease, the view can be described as 'Bearish'.

Bid War

Bidding wars occur from competitive demand for an NFT. As more interested buyers bid, the price of NFT increases, creating competition to purchase the NFT.

Bitcoin

The first digital currency created by Satoshi Nakamoto in 2008. Verisart's certificate data is stored on the Bitcoin blockchain via batch rollups.

Block

A block is where information is cryptographically stored in a blockchain database. Each new block references information found in the previous block, therefore forming a chain of blocks.

Blockchain

A distributed, open and verifiable digital ledger used to store information and record transactions. Blockchains are formed by series of blocks. Each block consists of a cryptographic hash - a string of characters representing a set of data - of itself and the previous block, linking the data together in chronological order. Examples include Ethereum, Bitcoin and Solana.

Bot

Computer software that automates specific actions.

Bridge

A protocol that enables separate blockchains to interact with each other. Bridges can be used to transfer data, NFTs and other information.

Bull Market

A term used to describe an optimistic view of a market or asset. If investors believe the value of an asset will increase, the view can be described as 'Bullish'.

Burn

Verb used to describe the permanent removal of a token from circulating supply by sending it to an inaccessible wallet address. Effectively, to burn an NFT is to delete an NFT.

Centralized

A way of describing societal structures where control and power is maintained by a small group of decision-makers. Web3 is described as decentralized since blockchains are regulated not by one organization or computer but all the computers (i.e. nodes) that interact with the chain.

Consensus mechanism

Consensus mechanism is how blockchain nodes reach an agreement on the network's current state. Consensus is required for transactions to be deemed as legitimate and to enable participants to perform the proposed transaction. Consensus mechanisms are one of the reasons why blockchains are secure and protected from interference.

Creator

The original designer or maker of creative work. You can add and manage creators that you represent on Verisart.

Crypto art

Art inspired by cryptocurrency and the crypto culture, often sold as NFTs. Notable crypto artists include Trevor Jones, Lucho Poletti and XCOPY.

Cryptocurrency

Digital currency using cryptography to verify and record transactions in a decentralized system.

Custodial Wallet

A digital wallet operated by a second party. The digital assets in the wallet could belong to you but private keys used to access this wallet are held by a second party.

DAO (Decentralized Autonomous Organization)

DAOs are organizations governed by rules written in programming code. These rules are posted via a smart contract onto the blockchain for transparency and accountability. Generally, members of a DAO hold governance tokens that allow them to vote on projects, development and more.

Dapp

Dapp stands for decentralized application. Dapps are built on the blockchain and combine smart contracts with an interface to enable users to interact with the application.

Decentralized

A way of describing structures where control and power is shared amongst many members rather than a central authority. Web3 is described as decentralized since blockchains are regulated all the computers (i.e. nodes) that interact with the chain rather than one entity.

Degen

Term short for degenerate. In the NFT and web3 space, degen refers to people who invest in digital assets without research and due diligence.

Drop

Refers to the date and time at which NFTs are released for purchase.

ERC (Ethereum Request for Comments)

ERCs are documents that outline the rules and frameworks to create and implement smart contracts.

ERC-1155

An Ethereum token standard that can create tokens that are fungible (i.e. currencies) and non-fungible (i.e. digital cards). In the NFT space, it’s frequently used for editions. Here is a Verisart Certified ERC-1155 NFT by Shepard Fairey.

ERC-20

Ethereum token standard used to create fungible tokens. Unlike ERC-721 tokens, ERC-20s are not unique and can be interchanged. ERC-20s have been used in multiple Initial Coin Offerings (ICOs) including Apecoin.

ERC-721

Ethereum token standard used to create non-fungible tokens (NFTs). ERC-721 tokens are unique and cannot be divided or exchanged for another token. Unlike ERC-1155s, ERC-721s do not support fungibility.

Ethereum

A decentralized and open-source blockchain network used to process decentralized applications. Ethereum was started in 2013 by founder Vitalik Buterin.

Ethereum Virtual Machine (EVM)

A decentralized software engine used to deploy dapps onto the Ethereum blockchain. The EVM allows smart contracts to interact with one another and can be accessed globally through participating nodes.

Etherscan

Platform used to view information about the Ethereum blockchain network. Etherscan shows transactions, gas prices, contract addresses, nodes and more.

Failed Transaction

If a transaction is not successfully processed on the blockchain, the smart contract interaction will be marked as failed. You can view failed transactions in your cryptowallet. Failed transactions cannot be reversed or cancelled.

Fiat

Established currency that is regulated and backed by a government, i.e. USD.

Floor Price

The lowest amount you need to pay to purchase an NFT from a certain collection.

Fork

A fork is a change to the blockchain’s protocol.. In 2021, Ethereum rolled out the 'London Hard Fork' which aimed to make transaction fees less volatile and increase the difficulty of mining Ethereum.

Fractionalization

Using a smart contract, NFTs can be divided into smaller parts by a process known as fractionalization. This allows collectors to purchase a fraction of the original NFT at a lower price.

Fungible

Adjective that describes interchangeable and exchangeable things. A dollar bill is funigble as it can be exchanged for another for the same value. ERC-1155s and ERC-20 tokens are fungible.

Gas Fees

Gas fees are the transaction costs associated with any interaction on the blockchain. They are used to compensate blockchain miners for providing the computational power (and electricity) needed to operate the blockchain. Ethereum gas fees can be monitored on Etherscan and are measured in GWEI.

Generative NFT

Generative NFT art is created by running data through a computer algorithm to produce a set of unique artworks. Generative NFT collections often contain hundreds of varied pieces, each with unique combinations of rarity traits. Artblocks is the leading generative art marketplace.

Genesis Block

The first block in a blockchain network.

Genesis NFT/Genesis Project

A genesis project or NFT meas the project/NFT was the first released by the creator.

GM

Acronym for "good morning". GM is widely used among NFT communities as a greeting, especially in Discord servers and on Twitter.

Gwei

A unit of Ethereum equal to one billionth of an Ether. Gas prices are given in Gwei.

Hash Rate

The rate at which a computer can solve a cryptographic puzzle. You can view the Ethereum network hash rate on Etherscan.

HODL

Acronym for "Hold On for Dear Life" and is a misspelling of the verb "hold". "HODLing" refers to holding on to assets and refusing to sell regardless of fluctuations in price.

Holographic Certificate

Verisart holographic certificates are the physical representation of your digital certificate. Each holographic certificate has an iris watermark, strip hologram, invisible UV printing, heat-sensitive ink squares, unique serial number and is printed on 120gsm paper. You can purchase holographic certificates here.

Layer One (L1)

Term used to refer to the main blockchain base structure on which other chains can be added. For example, Ethereum is a layer one chain and Polygon is a layer two chain built on top of Ethereum.

Layer Two (L2)

Layer 2 chains are built on top of an existing blockchain. For example, Polygon is built on top of Ethereum and is therefore a layer 2 chain. Layer 2 chains are often designed to be more efficient, scalable and affordable than layer 1 chains. The secondary 'layer' refers to the new framework or protocol.

Mainnet

Abbreviation of "main network" and refers to a blockchain protocol that is fully usable and already deployed. A mainnet is the network on which realtransaction take place.

Max Priority Fee

In order to speed up your interaction with a blockchain, you can increase the gas fee you are willing to spend on that interaction. The max priority fee is the highest amount you are willing to spend to prioritize your interaction taking place before others. The fee is given to the miners as an incentive for processing your transaction (like other gas fees).

Metamask

One of the many companies that allows you to set up a crypto wallet. Crypto wallets enable you to store NFTs and other digital assets. Verisart supports Metamask wallets.

Metaverse

Term that refers to an immersive, interactive and virtual world. Several NFT projects create digital assets owners can wear, use or display in the metaverse.

Mining

The process of verifying interactions on a blockchain, bundling the records of these transactions into blocks and adding them to a blockchain. In return for the computational energy, miners collect gas fees.

Minting

The term minting refers to the process of validating a blockchain interaction and recording that interaction. When talking about NFTs, minting refers to the act of creating an NFT and publishing it on the blockchain

Moon / To the moon!

Phrase used within NFT and crypto communities to express hope that an asset will increase in value.

Node

A computer or device connected to a blockchain network which validates and stores the history of transactions on the network. Nodes work together to form the structure of the blockchain network.

Non-Fungible

Something that is non-fungible is unique as it cannot be exchanged or replaced. Non-fungibility is at the heart of why NFTs are valuable. ERC-721 NFTs are non-fungible as they have a universally unique token ID.

Non-Fungible Token (NFT)

Short for ‘Non-Fungible Tokens,’ NFTs are unique cryptographic tokens stored on blockchains. NFTs can be thought of as individual capsules of data housed on a publicly verifiable database, i.e. the blockchain. Each capsule has a unique token ID and therefore cannot be swapped or replaced with another token.

An NFT provides verifiable digital scarcity, transactional authenticity and helps creators monetize their digital work.

Nonce

Short for 'Number only used once,' a nonce is a randomly generated number used to authenticate blockchain interactions. Having a specific number attached to an interaction is one way of ensuring that it cannot be replayed by a bad actor.

Off-Chain

A term used to describe non-blockchain interactions and data. For example, the customization and display of a Verisart certificate is off-chain.

OG Acronym short for "Original Gangster" and used by NFT and crypto communities to describe early adopters of the Web3 and blockchain space.

On-Chain

Term used to describe interactions and data that are on a blockchain. For example, the title and description of your NFTs are on-chain.

OpenSea

The largest NFT marketplace. Verisart enables you to list your NFTs directly for sale of Opensea via your dashboard.

P2P

Acronym for peer-to-peer. P2P networks, for example the Ethereum blockchain, are supported and run by computers that interact with each other directly.

PFP

Acronym for Profile Picture. PFP projects look to create virtual avatars as NFTs that people can use to represent them in the digital sphere. Examples include Bored Apes, Crypto Punks, Moonbirds.

Polygon (Matic)

A layer 2 chain of Ethereum, Polygon is a decentralized and open-source blockchain network used to process decentralized applications. Polygon was created to lower transaction costs and increase accessibility to the blockchain. MATIC is the original name for the Polygon network.

Polygonscan

Platform used to view information on the Polygon blockchain network. Polygonscan shows transactions, gas prices, contract addresses, nodes and more.

Private Key

Your blockchain password. A unique alphanumeric code that you use to access your digital wallet and authorize blockchain interactions. Digital wallet providers will often give you a combination of words (a seed or recovery phrase) as a more legible and storable substitute to your private key.

Proof of Stake (POS)

A consensus mechanism where which randomly selects one participant to write interactions onto the blockchain. As this consensus mechanism does not require participants to compete, it is more energy efficient and results in lower transaction fees. Polygon uses Proof of Stake

Proof of Work (POW)

A consensus mechanism that require participants to use computational power in order to generate new blocks. For example, the Bitcoin blockchain is a proof of work system where miners compete against each other to create blocks and receive Bitcoin.

Protocol

Term that refers to the foundational structure of a software and has been adopted by blockchain networks. For example, Ethereum is a protocol.

Wallet Address or Public Key

A combination of numbers and letters that serves as an address for your digital wallet. Like a physical address but for the blockchain world.

Rarible

An online marketplace used to buy and sell NFTs. If you mint on Verisart you can list your NFTs for sale on Rarible.

Rinkeby

The testnet for the Ethereum network.

Rollup

A method of sending data to the blockchain in large quantities to save energy and time.

Royalties

Commissions earned on the secondary sales of NFTs. To receive royalties, you must set them before you sell your NFTs. Learn how to set royalties on Verisart.

Rug Pull

A type of scam in the blockchain world. The most common method of a rug pull is when founders of an NFT or crypto project suddenly abandon the project or sell a large portion of their supply all at once, causing the price to plummet.

Secure QR Sticker

A tamperproof, holographic label used to link your physical item to your Verisart Certificate of Authenticity. Learn more

Seed Phrase

A unique combination of words used as a backup and master password to your digital wallet. Seed phrases are often 12 words. This is the only way of accessing your wallet and the phrase cannot be recovered if lost. It’s important the seed phrase be stored in a secure and safe place.

Smart Contracts

Just as real-world contracts lay out terms on how two people should interact, smart contracts set the terms for interactions between your data and a blockchain. They are coded programs on a blockchain that run when predetermined conditions are met. NFTs are minted on smart contracts which determine certain base characteristics.

Solidity

Solidity is the programming language used to write smart contracts. It was first proposed by Ethereum co-founder Gavin Wood in 2014.

Testnet

Abbreviation of "test network" and refers to a blockchain protocol that simulates interactions on the mainnet. For example, you can test mint your Ethereum NFTs via the Ethereum Rinkeby testnet.

Token

A digital asset created and transacted on a blockchain. NFTs are a specific type of blockchain tokens.

Tokengating

A way to offer NFT holders early or exclusive access to merch, products, discounts and more.

Tokenomics

A phrase combining the words 'token' and 'economics', tokenomics is the study of the digital asset market.

Transaction

Any type of interaction where data is sent to a blockchain. Every transaction on the blockchain is checked by other participants.

WAGMI

Acronym for "We're All Gonna Make It." A hopeful phrase used in NFT and crypto communities.

Cryptocurrency Wallet

Crypto wallets act like a personal bank account. They store your private keys and digital assets. Wallets are also used to sign cryptocurrency transactions. Metamask is a cryptocurrency wallet used to mint and hold NFTs on Verisart.

Web3

A vision for a new iteration of the internet based on a decentralized ecosystem backed by blockchain technology.

Whale

A term used in NFT and crypto communities for individuals or entities who hold extremely valuable digital assets.

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