Glossary

Blockchain

A decentralized and distributed technology for storing and transmitting information, which allows for the creation of immutable and secure digital records of transactions and other data. It is a system in which information is stored in blocks, and each block contains transaction data, information about the time and order of transactions, and a unique verification code. The blocks are then linked together in a chain, creating a continuous and unalterable history of transactions. Blockchain is protected against external interference by advanced cryptographic techniques and data distribution across multiple computers in the network, making it very secure and difficult to falsify. Blockchain is used in many fields, including cryptocurrencies, logistics, supply chain, law, medicine, and many others.

NFT

Short for non-fungible token, a type of digital asset whose value is based on uniqueness and unambiguity. Each NFT is unique and contains information about its owner and transaction history. NFTs are often used in the fields of art, computer games, collectible digital items, and virtual worlds.

DAO

Short for decentralized autonomous organization, a type of organization that operates based on rules programmed on the blockchain and has no central management. Decisions in DAO are made democratically, and each member has an equal vote. DAOs are used for managing projects, investment funds, as well as social initiatives.

Cryptocurrency

A type of digital currency that is based on blockchain technology and operates independently of traditional financial systems. Cryptocurrencies are characterized by anonymity, lack of central controlling institution, and low transaction costs. The most well-known cryptocurrencies are Bitcoin, Ethereum, and MATIC.

Token

a unit of digital value that is issued and managed based on blockchain or other distributed ledger technology. Tokens are usually used as a form of payment or representation of ownership, access, or other resources within blockchain-based systems, on a specific blockchain.

Tokens can have various uses, including:

• Utility tokens: enable the use of a platform or service, such as tokens for payment for streaming services or tokens for using DeFi applications.

• Security tokens: used to provide security in financial transactions or as a form of collateral for debtors, such as tokens secured by cryptocurrencies.

• Real estate tokens: represent a part or whole ownership of real estate or investment in real estate.

• Non-fungible tokens: NFTs, which represent one unique work of art or collectible item.

Tokens are often used in ICOs (Initial Coin Offerings), where companies or organizations offer tokens to investors in exchange for funding projects.