Glossary

Welcome to the BitSong Glossary. This reference guide defines key terms related to the BitSong ecosystem, as well as general blockchain concepts. Whether you are a musician, fan, or developer, understanding this terminology will help you navigate the decentralized music industry.

Key Concepts

Explore the core components that power the BitSong network.

Terms A-Z

Account A public and private keypair that "holds" your funds.

Address / Public key Used to send and receive transactions on a blockchain network. An address is an alphanumeric character string, which can also be represented as a scannable QR code. For example: bitsong1yuajbkafahg4uiuhvgv08

Block Think of a blockchain as consisting of a ledger that is being constantly updated, and those changes synced between any number of different nodes. After a certain number of transactions have been added to the ledger and consensus has been reached among the nodes that the transactions are valid, then they are cryptographically locked into a "block" and officially recorded.

Block Explorer An online tool to view all transactions that have taken place on the blockchain, network hash rate, and transaction growth, among other useful information. A block explorer acts as a search engine and browser where users can find information about individual blocks, public addresses, and transactions associated with a specific cryptocurrency.

Block Height The number of blocks connected together in the blockchain. For example, Height 0 would be the very first block, which is also called the Genesis Block.

Bots Automated trading software bots that execute trade orders extremely quickly, based on a preset algorithm of buy-and-sell rules.

BTSG BitSong The native token of the BitSong ecosystem, powering all the features of the BitSong ecosystem.

Community Pool BitSong A self-managing fund that exists to support the ongoing development of the BitSong ecosystem and community.

Confirmation A confirmation happens when the network has verified the blockchain transaction.

Consensus The process used by a group of peers, or nodes, on a blockchain network to agree on the validity of transactions submitted to the network.

Decentralized Application (dApp) An open source software application with backend code running on a decentralized peer-to-peer network rather than a centralized server.

Deflation Reduction of the general level of prices in an economy. May also refer to deflationary monetary policy, such as most cryptocurrency, where there is a fixed supply of coins.

Delegator BitSong Someone who delegates their BTSG tokens to a Validator to help secure the BitSong blockchain in return for a share of rewards.

DPoS BitSong Delegated Proof-of-Stake, or DPoS, is the governance model that BitSong uses to secure its blockchain.

Dump To sell off all your coins.

Epoch An epoch, in general, is a measure of time, or of blockchain progression, on a given blockchain.

Exchange A place to trade cryptocurrency. Centralized exchanges, operated by companies like Coinbase and Gemini, function as intermediaries, while decentralized exchanges do not have a central authority.

Decentralized Exchange (DEX) A platform for exchanging cryptocurrencies based on functionality programmed on the blockchain (i.e., in smart contracts). The trading is peer-to-peer, or between pools of liquidity, in contrast with a centralized exchange.

Fan Tokens BitSong The artist's cryptocurrency. Fan Tokens are a branded token allowing artists and fans to connect through a new channel of value.

Faucet An application that dispenses cryptocurrency for use on test networks only.

Fiat Government-issued currency. For example, US Dollars (USD), Euros (EUR), Yuan (CNY), and Yen (JPY).

Futures A futures contract is a standardized legal agreement to buy or sell a particular commodity or asset at a predetermined price at a specified time in the future.

Gas A measure of the computational steps required for a transaction on the network.

Gas Limit The maximum amount of gas the user is willing to spend on a transaction.

Genesis block The initial block of data computed in the history of a blockchain network.

Hold A type of passive investment strategy where you hold an investment for a long period of time, regardless of any changes in the price or markets.

IBC BitSong Inter Blockchain Communication, or IBC, is a protocol that's part of the Cosmos technology stack, allowing seamless communication between blockchains. IBC enables BitSong to interoperate with any other IBC-enabled blockchain in the Cosmos ecosystem.

Inflation A general increase in prices and fall in the purchasing value of money.

InterPlanetary File System (IPFS) A decentralized file storage and referencing system. IPFS is an open source protocol that enables storing and sharing hypermedia (text, audio, visual) in a distributed manner without relying on a single point of failure.

Keplr BitSong A BTSG-compatible wallet, also compatible with other IBC-enabled blockchains in the Cosmos ecosystem.

Ledger A hardware wallet to secure, store and manage your crypto assets.

Liquidity Provider Someone who provides liquidity to a token pool on a decentralized exchange.

Mainnet The primary network where actual transactions take place on a specific distributed ledger.

Market Cap Short for Market Capitalization, this term refers to the total value held in a particular industry, market, company, or asset.

Max Supply The best approximation of the maximum amount of coins that will ever exist in the lifetime of the cryptocurrency.

Mnemonic phrase A list of words used in sequence to access or restore your cryptocurrency assets. Also known as mnemonic seed or seed phrase. It should be kept secret from everyone else.

Mining A process where blocks are added to a blockchain, verifying transactions. It is also the process through which new bitcoins or some altcoins are created.

Node (full node) Any computer connected to the blockchain network is referred to as a node. A full node is a computer that can fully validate transactions and download the entire data of a specific blockchain.

NFTs BitSong Non-fungible tokens. NFTs are unique digital assets enabling artists to create digital scarcity around their work and merchandise.

Peer to Peer (P2P) The decentralized interactions between parties in a distributed network, partitioning tasks or workloads between peers.

Private Key An alphanumeric string of data that corresponds to a single specific account in a wallet. Never reveal your private key to anyone, as whoever controls the private key controls the account funds. If you lose your private key, then you lose access to that account.

Protocol A set of rules that dictate how data is exchanged and transmitted across a specific network.

Public Address The cryptographic hash of a public key, allowing the user to use it as an address to request payment.

Scam A fraudulent or deceptive cryptocurrency or ICO.

Seed Phrase / Secret Recovery Phrase A set of ordered words which correspond to determined values. These values never change, and therefore the same string of words in the same order will always produce the same number. The Secret Recovery Phrase should be known only to the owner of the account.

Smart Contract A computer protocol intended to facilitate, verify, or enforce a contract on the blockchain without third parties.

Slashing BitSong The act of penalizing a Validator for an act deemed to be against the overall good of the blockchain.

Stable Coin A cryptocurrency with extremely low volatility, sometimes used as a means of portfolio diversification. Examples include fiat-pegged cryptocurrency.

Staking BitSong The act of depositing cryptocurrencies to help secure the BitSong blockchain, either as a Validator or Delegator.

Testnet An alternative blockchain developers use to test applications in a near-live environment.

Trade Volume The amount of the cryptocurrency that has been traded in the last 24 hours.

Transaction Fee A small fee imposed on some transactions sent across a blockchain network. The transaction fee is awarded to the miner that successfully hashes the block containing the relevant transaction.

Validator BitSong Someone who operates a full node and validates transactions to secure the BitSong blockchain in return for rewards.

Volatility A statistical measure of dispersion of returns, measured by using the standard deviation or variance between returns from that same security or market index.

Volume The amount of cryptocurrency that has been traded during a certain period of time. Volume can show the direction and movement of the cryptocurrency as well as a prediction of future price and its demand.

Wallet A designated storage location for digital assets (cryptocurrency) that has an address for sending and receiving funds. The wallet can be online, offline, or on a physical device.

White Paper A document prepared by a project team to interest investors with its vision, cryptocurrency use and cryptoeconomic design, technical information, and a roadmap for how it plans to grow and succeed.