Term list
Smart Contract
A self-executing contract with the terms of the agreement between buyer and seller being directly written into lines of code. The code and the agreements contained therein exist across a distributed, decentralized blockchain network.
Bug Bounty
A reward offered (typically by software developers or organizations) to individuals who find and report bugs, especially those pertaining to exploits and vulnerabilities in software.
Timelock
A mechanism in blockchain technology that restricts the spending of some cryptocurrency until a specified future date or time.
Multi-Signature Wallet (Multi-Sig)
A digital wallet that requires multiple keys to authorize a transaction. This additional layer of security ensures that no single person can access the wallet's funds without the approval of other key holders.
Rate Limit
A mechanism that limits the number of transactions or operations that can be performed within a certain time frame to prevent abuse and to protect the network or system from being overloaded.
Third-Party Audits
Independent reviews conducted by external firms that specialize in security and auditing. These audits are intended to verify the security, functionality, and integrity of a system or smart contracts.
Continuous Monitoring
The practice of continuously scanning and reviewing systems or networks for anomalies, vulnerabilities, or suspicious activities.
Open Source
Software for which the original source code is made freely available and may be redistributed and modified. This allows anyone to inspect, modify, and enhance the software.
Compliance Checks
The process of ensuring that a company or project adheres to regulatory requirements and standards set by authorities or industry groups.
Decentralized Finance (DeFi)
An emerging financial technology based on secure distributed ledgers similar to those used by cryptocurrencies. DeFi aims to eliminate the need for intermediaries by allowing people to borrow, trade, and lend in a peer-to-peer manner.
Liquidity Pool
A collection of funds locked in a smart contract that provides liquidity to facilitate trading on a decentralized exchange (DEX) by ensuring there is always a counterparty to buy or sell to.
Pool Burning
The process of permanently removing a portion of tokens from a liquidity pool, typically to reduce supply and potentially increase the value of the remaining tokens.
Black Hole Address
A cryptocurrency address that can receive tokens but cannot send them because the private key is unobtainable. Often used for burning tokens to reduce supply.
Vulnerability
A flaw or weakness in a system that can be exploited to perform unauthorized actions within a computer system.
Blockchain
A system in which a record of transactions made in bitcoin or another cryptocurrency is maintained across several computers that are linked in a peer-to-peer network.
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