Cryptocurrency Terms to Know Before You Invest

Here is a quick guide to cryptocurrency terms. We define technical terms, slang, acronyms, and other jargon related to cryptocurrency.



  • LEVERAGE

    Borrowed money used to trade assets.

  • LITECOIN

    A cryptocurrency forked from Bitcoin known primarily for its decreased block time, which (theoretically) allows for faster transactions.

  • LIGHTNING NETWORK

    A network layer that functions on top of the Bitcoin block chain and allows for a huge number of low-fee micro transactions.

  • LIQUIDITY

    The measure of how quickly an asset can be exchanged for usable currency.

  • LIQUIDITY SWAP

    A type of exchange used to make it easier for individuals to exchange assets for usable currency.

  • LTV

    LTV stands for Loan-to-value. The ratio expresses the amount of a loan compared to the value of an asset. For example: taking a $1,000 loan and putting up $2,000 worth of Bitcoin as collateral = 50% LTV. The loan is worth 50% of the Bitcoin collateral securing it.