Crypto Gambling Glossary

The world of cryptocurrencies is a unique beast. The same goes for the terms used within the community and users, which have been forged in the trading and meme culture. Many of them also apply to gambling. At the very least, you should know some of them to understand the crypto sphere better. That is why we have put together a crypto gambling glossary.

We have sorted the glossary into large groups of interest to present these terms more coherently than in alphabetical order. We start with more crypto gambling-related terms and definitions, and as we proceed, we dive deeper into purely crypto terminology. After reading about the basic and most popular cryptocurrencies, you will see definitions for vital parts of the process, from wallets to exchanges.

Finally, we include sections with some of the most common abbreviations and slang used in crypto, finishing with the more technical terms you should be familiar with. We hope that by reading this glossary, we will help you understand how to gamble with cryptocurrency and equip you with essential terms to make the most out of it.

Kickstart your Cryptocurrency Gambling Terminology

One of the first things you would want to learn is the essential telltale signs, phrases and names to identify crypto-friendly and crypto-gambling sites. It will help you locate bookmakers that accept crypto more easily. In this section, you will also find some peculiar terms you will not know but will definitely encounter from day one of your crypto-gambling journeys, so we included them, too, for an easier transition from conventional gambling.

• Bitcoin Sportsbook: A sportsbook that accepts Bitcoin as a primary payment method. To learn more, read our extensive article on the best Bitcoin bookmakers.
  
  
• Bitcoin Accepted Here: A phrase and sign used by merchants accepting Bitcoin and cryptocurrencies.
  
  
• BTC- Friendly: See above.
  
  
• Crypto Bookmaker: This is a type of Bookmaker that accepts several cryptocurrencies as payment. For more information, see our guide on Crypto Bookmakers.
  
  
• Crypto Casino: Some of the first merchants to accept Bitcoin and crypto as a payment method, crypto casinos offer a variety of games you would find at a traditional casino, but you can pay using crypto.
  
  
• Crypto gambling: A type of gambling that keeps rising in popularity, where you gamble using cryptocurrencies as payment in various bookmakers and casinos. Read everything in our guide, Crypto Gambling 101.
  
  
• Crypto sports betting: Same as above, focusing on sports betting.
  
  
• Ethereum Sportsbook: A sportsbook that accepts ETH mostly as a crypto payment method.
  
  
• KYC: Abbreviation for Know Your Customer. It is a set of guidelines that financial services, including bookmakers and/or exchanges, must follow. This means that users must provide proof of identification and residence to access their services. These procedures fall within the scope of banks and the financial system’s Anti Money Laundering practices.
  
  
• Provably Fair: In gambling, this algorithm can be analyzed and verified for fairness on the operator’s part. It applies in crypto casinos and mathematically proves bets to be fair for the player.
  
  
• Satoshi: Satoshi is the smallest possible unit of measurement on Bitcoin's blockchain. It is equivalent to one hundred millionth of a single bitcoin.
  
  
• Transaction Fee: The fee users pay cryptocurrency miners to process their transactions.
  
  
• mBTC: One mBTC or millibitcoin is 0.001 Bitcoin. Since BTC has grown so much in value since its inception and 1 BTC would be a very large amount for a minimum deposit or wager, mBTC is often used in Bitcoin Sportsbooks to measure smaller balances and bets.
  
  
• Faucet: Faucet is a website that rewards users with Bitcoin for solving simple tasks. Tasks can be solving a CAPTCHA, viewing an advertisement, or playing a simple online game. They were created in 2010 by Gavin Andresen, a prominent figure in the early days of the Bitcoin community, to spread the adoption of BTC to people.

Best Bookmakers for Crypto Gambling

In our list, you can find the top-rated bookies for crypto gambling; they offer a wide range of alternative coins, reasonable fees and safe deposit methods for trusted gambling. You can also check the Jackbit promo codes before you start your activity.

Crypto Gambling Terms: Games

Several gambling terms are used exclusively in crypto gambling. Having said that, if you look closely, you will find that it is mostly about everyday gaming terminology you already know, but with a crypto twist or replacing fiat money with crypto. Check out some of the most common ones below.

• Bitcoin Slots: An implementation of the classic casino game, but the twist is you are using Bitcoin to play. Winnings and progressive jackpots pay in BTC. They often offer free spins as well.
  
  
• Bitcoin Minesweeper: Perhaps the oldest, most famous and classic Bitcoin game. It is more of a casual game, but it certainly does have gambling aspects. This is why you can still find it in online casinos after all these years.
  
  
• Bitcoin Roulette: Roulette where you play and win in Bitcoin. It is an attractive option to players due to faster deposits, withdrawals, and better bonuses than FIAT roulette in online casinos.
  
  
• Bitcoin Blackjack: The beloved game of Blackjack, where you bet with Bitcoin. Available in almost every crypto casino.
  
  
• Ethereum Live Dealer Casino: Live Dealer Casino where you play and win ETH. Apart from finding it in many crypto casinos, nowadays, you can encounter Live Casino even in dApps.

General Cryptocurrency Terminology

Below, you can find general introductory terms related to cryptocurrencies that you will often use if you go on and start gambling with crypto. These are a kind of everyday terminology you will need to familiarize yourself with.

• Address: It is an alphanumeric identifier for sending and receiving crypto. Using different addresses for your transactions is a good practice to mask your movements better.
  
  
• Crypto: Abbreviation for cryptocurrency. See below.
  
  
• Cryptocurrency: A digital asset designed as a medium of exchange and transaction. It uses strong cryptography and an online distributed ledger to document every transaction taking place on its network.
  
  
• Cryptocurrency Exchange: The go-to place for purchasing and exchanging cryptocurrencies. The average user can convert cryptocurrencies to conventional currency and vice versa, paying a small fee in exchange for the service. Advanced members use these exchanges to trade cryptocurrencies professionally. Want to know more about crypto exchanges? Check out our guide on the Best Crypto Exchange for sports betting. 
  
  
• Cryptocurrency Wallet: A software application or device to store and transfer your cryptocurrency. Currently, wallets are very versatile, but there is not one wallet for every cryptocurrency, as some are incompatible. For a more in-depth look at this, see our guide for the Best Crypto Wallet for Online Gambling.
  
  
• Decentralized: One of the fascinating aspects of crypto. In most cryptocurrencies, no central controlling authority or entity exists; instead, the network relies on identical copies available on countless computers worldwide. That feature makes cryptocurrencies censorship-resistant, as it is impossible to replicate or double-spend a transaction.
  
  
• Digital Asset: Anything that exists in a digital format, usually with no physical form, and comes with a right to use. Cryptocurrencies are an example of digital tokens.
  
  
• Fees: This is a reward to an entity or organization for services rendered. Since cryptocurrencies often function without intermediaries, such as banks, the user pays the fee to the miners who execute the transactions.
  
  
• Fiat: Traditional currency, which is not backed by any commodity, such as gold, but by the government that issues it. The word comes from the Latin decree “it shall be”.
  
  
• Pseudonymous: This refers to the nature of cryptocurrency transactions. At first glance, they seem anonymous and can stay that way, provided you do not link your personal information to your digital transactions and wallet.
  
  
• Satoshi Nakamoto: The alias of the founder or group of founders of the world’s number one cryptocurrency, Bitcoin. To this day, no one knows who or where Satoshi Nakamoto is.
  
  
• Vitalik Buterin: The Russian-Canadian main co-founder of Ethereum, the number two famous cryptocurrency.
  
  
• (2FA) Two Factor Authentication: A common, simple, and effective extra layer of security. It is an electronic method of authentication that requires the user to successfully present two or more additional pieces of evidence to an authentication mechanism. We strongly recommend adding this when dealing with cryptocurrencies.

Cryptocurrency Terms and Meanings: Coins

We must mention the tokens themselves to present a complete glossary for cryptocurrencies. However, the number of different cryptocurrencies at the moment exceeds four thousand. We will not mention every coin here. Instead, we have handpicked the most important ones you should know.

• Altcoins: The word means alternative coins. It refers to all cryptocurrencies besides Bitcoin since it is the first and most popular cryptocurrency. Among them, many options are ideal for crypto gambling.
  
  
• Bitcoin (BTC, XBT): Bitcoin is the king of cryptocurrency. Launched in 2009, it is a decentralized, peer-to-peer digital currency. A user can send it to another without intermediaries or central authority controlling it. Understandably, Bitcoin was among the first coins ever used in gambling, and to this day, it remains a popular option among bettors. Some of BTC’s flaws regarding gambling can be the slow speed of transactions compared to other cryptocurrencies and the high fees. 
  
  
• Dogecoin (DOGE): Dogecoin is a cryptocurrency that started as a joke. It is a clone of Litecoin’s code, based on a meme. It aimed to be a satire of the wild speculation of investors in cryptocurrencies. Most importantly, it has excellent features for gambling. It boasts impressive speeds and is useful in withdrawals and live betting.  It has almost nonexistent fees. Read more details on this betting underdog, pun intended, in our article for the Dogecoin Betting Sites.
  
  
• Ethereum (ETH): The number two cryptocurrency behind Bitcoin. Ethereum is an open-source blockchain—a unique proposition of an ecosystem with thousands of smart contract applications built on it. People call ETH programmable money and not without merit, as most decentralized finance applications are built on Ethereum. It used to be an amazing option for gambling, and you will find it in almost every crypto bookie. It has higher fees than most, and websites will impose higher minimums when using it. Here is our list of the Best Ethereum Bookmakers.
  
  
• Litecoin (LTC): Litecoin is a decentralized peer-to-peer cryptocurrency. Looking to be an alternative to Bitcoin by offering better speed and lower fees. One of the first altcoins, LTC, is a spinoff of BTC’s code. Another fantastic option for gambling is that it is widely available as a payment method to bookmakers and features low minimums and high speeds. Read more in our article and the Best Litecoin Betting Sites.
  
  
• Monero (XMR): Monero was the first cryptocurrency to focus on anonymous transactions. XMR features unique technologies that make it completely untraceable. Besides the obvious fitting role in under-the-radar betting, Monero is a fantastic option for gambling. Apart from the above, it offers great speed and low fees. On the flip side, XMR is often under scrutiny for its potential ties to organized crime, and unfortunately, it is not that widely available in crypto sportsbooks. Read more on this peculiar coin in our article for Best Monero Gambling sites.
  
  
• Privacy Coins: This is a name for a group of cryptocurrencies that provide anonymous and fully private blockchains for their transactions. They achieve this in numerous ways, such as grouping the user’s transactions with others, masking wallet identities, etc. They are your go-to option if under-the-radar betting is what you are looking for. The most prominent privacy coins are Monero (XMR), Zcash (ZEC), and Dash (DASH). Look at our articles for this interesting coin, and check out the Best Dash Gambling Sites.
  
  
• Ripple (XRP): This primarily centralised blockchain offers payment solutions and links traditional banking systems and cryptocurrencies. One of the most popular altcoins among new investors and one of the top cryptocurrencies in general. It offers instant speeds and meagre fees simultaneously, which makes it one of the best options for crypto gambling. Unfortunately, it is not very widely provided. Nonetheless, read more on this unrecognized champion of crypto betting in our article: Best Ripple Gambling Sites.
  
  
• Stablecoin: This is another group of cryptocurrencies characterized by the fact that their price remains stable and pegged to an actual asset, usually the US dollar. The main advantage of stablecoins is the lack of volatility in price and their versatility, which allows them to be traded widely with other cryptocurrencies. It is like the best of both worlds: traditional money and crypto. The most popular options are a Tether (USDT) and USD Coin (USDC). 
  
  
• Tether USDT: One of the most prominent stablecoins. Tether is arguably the most used coin in crypto. It operates on many blockchains, like TRX, ETH, and BSC. It has come under scrutiny by the SEC for not disclosing their holding in USD to prove they are equal to the circulating USDT. Like every stablecoin, Tether is an excellent option for crypto gambling, and it has become popular among bookmakers—more on that in our article, Best Tether Gambling Sites.
  
  
• USD Coin (USDC): The second most popular and established stablecoin behind Tether. Contrary to USDT, USD Coin enjoys the blessings of the US government. It is a product of the collaboration between Coinbase, one of the largest crypto exchanges, and Circle, a titan corporation that provides payment system services. Learn more on this wunderkind of crypto in our article Best USD Coin Gambling sites.
  
  
• Zcash (ZEC): Zcash is a cryptocurrency that focuses on privacy and fast transactions through cryptography. It is the second most popular privacy coin after Monero. Although somewhat rare as an option for crypto bookmakers, it is an interesting option. Read more in our article about the Best Zcash Gambling Sites.

Glossary of Cryptocurrency Terms: Wallets

Digital wallets are an essential part when it comes to cryptocurrencies. You need a wallet to store your crypto and initiate transactions to and fro that wallet. Be very careful with the seed phrase of your wallet, as it is the only thing that will give you access to your funds, even if you get locked out or lose your wallet. Never share your keys with anyone.

• Cold Wallet: A cold wallet is any cryptocurrency wallet that does not require a constant internet connection. Cold storage is considered the safest option for long-term holding of cryptocurrencies. Examples of cold wallets are Trezor and Ledger.
  
  
• Desktop Wallet: A software application installed on your computer that acts as a wallet for your crypto. They are easy to use but pose a certain risk in case of loss of the device, laptop, mobile phone, or tablet they are installed on. Notable examples are Exodus and Mycelium.
  
  
• Hardware Wallet: Hardware wallets are basically crypto wallets that are physical devices. They are cold wallets, meaning they can be safely stored away from your device.
  
  
• Hot Wallet: Hot wallets are constantly connected to the internet. They are the fastest and easiest way to manage your crypto transactions, but they are also the least safe. Hot wallets can be either software or an extension to your browser. The most popular and frequently used hot wallet is Metamask.
  
  
• Ledger: A very popular brand of hardware wallets. Ledger wallets are easy to use and look like beefed-up USB sticks.
  
  
• Mobile Wallet: A hot wallet for your crypto installed on a mobile device, usually a tablet or smartphone.
  
  
• Paper Wallet: The original cold wallet for your crypto. It was widely used in the early days of Bitcoin and is considered one of the safest options to store your crypto. This printed paper includes a QR code or an address where your crypto is stored. Careful not to lose, wet or tear your paper wallet.
  
  
• Private Key: A private key is a variable in cryptography used to lock or unlock an algorithm. It is essential in crypto since you can only access your wallet if you have it.
  
  
• Software Wallet: Desktop wallets are software wallets, which are basically programs designed to manage cryptocurrency transactions.
  
  
• Trezor: Another very popular brand of hardware crypto wallets. It has been around since the early days of Bitcoin, and is considered one of the best brands in digital wallets.

Cryptocurrency Terms: Exchanges

Cryptocurrency exchanges are also a very important part of dealing with crypto. Use only large, well-known and reputable exchanges with significant liquidity on the coin you wish to purchase or sell. Another good thing to remember is not to keep your cryptocurrencies within an exchange, as history has shown that you never know when and if a crypto exchange goes bust along with your funds. We only include options in this glossary that are the biggest and most trusted in the field.

• Binance: A centralized cryptocurrency exchange based offshore. It is a platform for trading and exchanging cryptocurrencies, founded by Changpeng Zhao for crypto fanatics in 2017. Based on trading volume, it is the largest crypto exchange in the world. It also offers one of the widest varieties of altcoin trading. US-based users can only use a stripped-down version called Binance US.
  
  
• Bitstamp: A famous European crypto exchange. It has been around since 2011 and was the most active trading exchange for Bitcoin. It still is very reputable and has a decent volume.
  
  
• Centralized Cryptocurrency Exchange (CEX): This cryptocurrency exchange requires user Know Your Customer verification. CEXs were essential to the development of crypto since they were the only way to convert your crypto to fiat.
  
  
• Coinbase (exchange/Wallet): Coinbase is a US-based crypto exchange, one of the largest in the world and the first major crypto entity listed in the US Stock exchange in May 2021. It has also developed a popular software wallet for cryptocurrencies.
  
  
• Crypto Debit Cards: In the last few years, many reputable exchanges have issued debit cards. This is a fantastic gateway from which you can spend your crypto. You issue the card via the exchange, top it up with your crypto and go shopping in the real world. It does not get sweeter than this. Read more in our guide for the Best Bitcoin Card for Gambling.
  
  
• Decentralized Cryptocurrency Exchange (DEX): A type of cryptocurrency exchange that is a peer-to-peer marketplace to bring together buyers and sellers. DEXs have grown immensely since 2020, with Uniswap being the most famous, dealing with a volume that is way larger than most CEXs. 
  
  
• Kraken: One of the oldest and most popular US-based crypto exchanges. It provides crypto-to-fiat trading and the price feed for the Bloomberg terminal, a high-end tailored service for professional traders and hedge funds.

Cryptocurrency Glossary: The Basics

This is perhaps one of the most fun and exciting parts of the glossary. Crypto space is full of acronyms, memes, jokes and phrases that encompass all the former. If you wish to understand a crypto conversation, whether online or with friends, you should familiarize yourself with these entry-level terms we include.

• AML: Abbreviation for Anti Money Laundering.
  
  
• ATH: Abbreviation for All-Time High. Used to express the highest price a cryptocurrency has ever achieved.
  
  
• ATL: Abbreviation for All-Time Low. Used to express the lowest price a cryptocurrency has ever achieved.
  
  
• Bag holder: The person that holds a ‘bag’, meaning some cryptocurrency. It has a negative ring and refers to when a cryptocurrency collapses, and the investors are “left holding the bags”.
  
  
• Bear (Bearish): Term used to describe a market trend during which investors are pessimistic about the market trend, meaning they expect the prices to fall. The term is said to have been derived from the way a bear strikes with its claws in a downward direction.
  
  
• Bull (Bullish): Term used to describe a market trend during which investors are optimistic about it, meaning they expect the prices to rise. The term is said to have been derived from the way a bull attacks, swinging its horns upwards.
  
  
• Dump: Verb used when the price of a cryptocurrency is falling.
  
  
• FOMO: Abbreviation of the words Fear Of Missing Out. Used when the market or an investor enters a trade or buys a cryptocurrency while it has already risen significantly in price, hoping the rise will continue.
  
  
• FUD: Abbreviation for Fear, Uncertainty and Doubt. A propaganda tactic often used in marketing, sales and crypto. It is about spreading negative (mis)information that fuels the above sentiments in the market, aiming to strike fear in investors and make them sell.
  
  
• HODL: Abbreviation of Hold for your Dear Life. Since it is also a misspelt word for hold, it is used to express that someone owns some cryptocurrency, originally Bitcoin, and does not intend to sell under any circumstances.
  
  
• Hodler: a person who owns cryptocurrency, primarily Bitcoin.
  
  
• Moon: It is used as a verb to describe an extreme rise in the price of a cryptocurrency.
  
  
• Pump: Verb used when the price of a cryptocurrency is rising.
  
  
• Whale: A person or entity owning a large amount of cryptocurrency. It is predominantly used for owners of large Bitcoin amounts, who can move the market by selling their coins.

Technical Cryptocurrency Terms and Meanings

In other articles, we have mentioned a rather steep learning curve for crypto. This is still true since the field includes many technological terms and innovations that are borderline jargon. This makes it hard for the beginner user to grasp certain words' basic meaning. Kickstart your crypto technical expertise with the terms below.

• Blockchain: One of Bitcoin’s most revolutionary aspects. A blockchain is an online, public ledger where every transaction is documented. Copies of this ledger exist on computers worldwide, so there is no way to tamper with transactions. It does not need an outside party to control or authenticate it. Nowadays, most cryptocurrencies use blockchains and have applications in industries outside of crypto. Theories about its use cases include preventing election fraud, facilitating fund distribution for charity, and helping to store the UN medical records safely.
  
  
• DAO: Stands for Decentralized Autonomous Organization. It is an organization that is transparent in how its rules and regulations are mandated by a computer program. All its actions, deeds, and decisions are recorded on the blockchain after being voted on by its participants. DAOs can not be influenced by outside factors such as a central government. They are open platforms where individuals control their data and personal information. A great example of a DAO is Ethereum.
  
  
• dApps: Meaning Decentralized Applications. They are computer applications that run on a blockchain. dApps have mainly been around since the creation of Ethereum, which allowed for smart contracts to be built upon its blockchain. There are thousands of dApps with an enormous scope of applications, especially in finance. Online gambling is one of the first and most popular uses of decentralized applications.
  
  
• DeFi: Stands for Decentralized Finance. It is a group of financial and banking applications built entirely on a blockchain. These applications and products can work without intermediaries like banks and brokerage firms. Instead, DeFi applications use smart contracts for their operation. The majority of DeFi applications are built upon Ethereum’s blockchain. It is a revolutionary step towards greater transparency and better financial products.
  
  
• ERC-20: A set of guidelines for smart contracts built on the Ethereum blockchain. These smart contracts allow the release of tokenized applications, making them possible to use in finance. It is arguably the most used format for tokens at the moment. Notable examples that use the ERC-20 standard include USDT, USDC, LINK, and UNI.
  
  
• Fork: In crypto, forks happen when the blockchain faces an issue that needs to be resolved by coding. It could be caused by a bug, a hack, or simply a disagreement on how things should be done. Then, the blockchain community decides whether things should continue as they are. A fork will solve the issue by creating a new string of that blockchain for everyone to follow. Forks can be soft, allowing implementation on the coin’s current blockchain, or hard, where a new coin emerges. The holders receive the equivalent of the precise amount they had. A notable example of forks is Ethereum Classic (ETC), which emerged after a hack on the Ethereum network. Bitcoin Cash resulted after a disagreement about Bitcoin's block sizes.
  
  
• Gas Fee: The fee that users pay to use a blockchain. Usually, you pay it using the native coin of the blockchain. If you wish to transfer Tether on the Ethereum blockchain, you need some Ethereum for transaction gas.
  
  
• Market Cap: Market Capitalization. It is a very indicative valuation number of a cryptocurrency. The market cap number stems from multiplying the price of a token by the circulating supply of that token. It is a good measure of a coin’s value within the market.
  
  
• Miner/ Mining: Miner is the computer or group of computers that validate and authenticate the transactions on a blockchain by producing blocks, including incoming and outgoing transactions. This service is 'mining' because miners receive a block reward for their work. For example, validating BTC transactions will get you rewards in Bitcoin.
  
  
• Proof of Stake: is a consensus process on a blockchain that selects validators among large holders of the blockchain’s coin to confirm the transactions. It is considered a much more energy-efficient approach to running a blockchain.
  
  
• Proof of Work: A way for the miners to reach a consensus when competing for a block reward. They provide proof of work using their hardware's computational power to solve a random mathematical problem for each block. This is done on the blockchain, which is why transactions are tamper-proof: the more people use their hardware to validate the chain, the more secure it becomes. However, this process is very energy-consuming, and thus, PoW received much criticism for its carbon footprint. 
  
  
• Self-Custody: Custody can be described as a financial service, such as a bank or other entity, that offers customers the option to keep their assets safe. A very important aspect of crypto is that it allows users to have self-custody, meaning control over their funds. In the case of self-custody, you are responsible for your funds, and no one can help you in case of a mistake. You cannot insure your funds the way Coinbase does. On the other hand, a custodian bank will make it more challenging for you to access and manage your funds.
  
  
• Smart Contracts: It is a set of rules, guidelines, and actions executed automatically whenever criteria are met. They are performed on the blockchain and have become a very popular and efficient way to program applications. A simple example of a smart contract on the blockchain would be to send a certain amount of funds to the user’s wallet on the user’s birthday.