Common Web3 terms explained
Tags: web3, cryptocurrency, blockchain, ethereum
Published: 2024-01-22 11:27:32


If you're a crypto greenhorn wrestling with FOMO, attempting to master one thing while yearning to be a jack of all trades, this blog is your compass. Ever felt like a web3 novice when your crypto buddies toss around terms faster than a blockchain transaction? Fear not! 💻🚀
After taking a stroll through this blog, my wish is that you emerge with a deeper understanding of the array of tools at your fingertips in the blockchain realm. Armed with this knowledge, I genuinely hope that your next interaction with the blockchain ecosystem will be even smoother🌐

**1. <u>Open Sea</u>**

OpenSea is like the eBay of the crypto world, but instead of selling your grandma's antique china, you're trading unique digital assets called NFTs (Non-Fungible Tokens). These NFTs can be anything from digital art to virtual real estate in a game. To get started on this wild ride, you'll need a digital wallet, which is basically a fancy way of saying "a digital purse to hold your digital cash." Once you've got that set up, you can dive headfirst into the OpenSea marketplace and start exploring the vast expanse of digital collectibles.

OpenSea is built on the Ethereum blockchain, which is like a magical digital ledger that keeps track of all the transactions. But, it isn't a one-trick pony as it supports multiple blockchains like Ethereum, Polygon, etc. With OpenSea, you can create listings and transact with minimal fees and maximum sass. Now, if you're feeling particularly adventurous, you can even create your own NFTs on OpenSea. It's the go-to marketplace for NFT enthusiasts and has become a treasure trove for digital collectors!

![crypto meme](https://dev-to-uploads.s3.amazonaws.com/uploads/articles/vblz6s7jcahzdqeohch3.png)

**2. <u>UniSwap</u>**

Uniswap is a decentralized exchange (DEX) built on the Ethereum blockchain. It's like a digital stock exchange, but instead of trading stocks, you're swapping tokens. The cool thing about it is that it's decentralized, meaning there's no middleman taking a cut of your trades. It's like a financial utopia where everyone can trade tokens with each other in a trustless and permissionless environment as well as gain profits through the transactions. It is also open-source, which means anyone can contribute to its development and create their own liquidity pools.

Uniswap uses an innovative approach called an automated market maker (AMM) model. It relies on a magical mathematical formula to determine the price of each token. This formula takes into account the current supply and demand of each token, ensuring that you always get the best price possible. But that's not all, folks! Uniswap also has its very own token called UNI, which is used to govern the protocol and incentivize liquidity providers. That's right, you can earn a share of the trading fees by providing liquidity to the platform. It's like getting paid to be a good samaritan!

![crypto meme2](https://dev-to-uploads.s3.amazonaws.com/uploads/articles/j4vro3spvlrdhahu8lwp.jpg)

**3. <u>Aave</u>**

Aave is a decentralized finance (DeFi) platform built on the Ethereum blockchain. It's like a digital bank that enables borrowing on steroids anonymously, as instead of a stuffy suit-wearing banker, you have a smart contract managing your funds. Aave used to be called ETHLend, but underwent a cosmetic shift because the platform adopted a new set of features in 2018 to make the DeFi protocol more robust and user-friendly. It's like being a part of a digital lending circle, where everyone benefits.

The AAVE token is the native token of the Aave protocol, and it's used for governance, meaning token holders can vote on proposals and have a say in the platform's development. Aave uses a pooled liquidity system, which means that lenders can earn relatively low-risk, passive income from interest paid on loans, without having to engage with third-parties or middlemen. Aave is also the first DeFi platform to offer flash loans, which are loans that are taken out and repaid within a single transaction. This means that the borrower does not need to provide any collateral, as the loan is automatically repaid within the same transaction. Flash loans are usually used for arbitrage and high-speed trading strategies, as they require quick action to be profitable.

**4. <u>ENS</u>**

ENS is like the cool, younger cousin of DNS, built on the Ethereum blockchain. It allows users to create and manage human-readable names for their Ethereum addresses, making it easier to send and receive crypto. It's like having a personalized license plate for your digital wallet. Since it's decentralized, it means that there's no single point of failure. Plus, it's built on the Ethereum blockchain, which provides a high level of security and immutability. In the context of ENS, a registrar is like the gatekeeper of domain names. It's a smart contract that manages the process of registering and managing domain names. A resolver, on the other hand, is like a translator. It's a smart contract that translates domain names into the resources they represent, like Ethereum addresses or IPFS content hashes.

And here's the kicker – ENS is an open-source party animal and  also supports other resources like IPFS content hashes, Tor .onion addresses, and more.. Everyone's invited to contribute and create their own domain names. So, if you're tired of the chaotic world of long and confusing wallet addresses, ENS is here to save the day, making your crypto experience a little more fun and a lot less frustrating.

![crypto meme5](https://dev-to-uploads.s3.amazonaws.com/uploads/articles/zdn4pizastv6fnr7w5ec.png)

**5. <u>Metamask</u>**

MetaMask is a browser extension and mobile app that serves as a bridge to the world of Ethereum. It's like a Swiss Army Knife for your crypto needs, allowing you to manage your Ethereum and other ERC-20 tokens, interact with decentralized applications (dApps), and even create a custom Ethereum address. MetaMask is a secure and easy-to-use wallet that makes it simple for users to access the Ethereum ecosystem and explore the world of dApps and DeFi.
So, what makes MetaMask so secure? For starters, it uses hierarchical deterministic settings, which means you can back up your account with a 12-word secret recovery phrase. Plus, MetaMask is open-source, so the community can review and update the code to make sure it's as safe as can be.

But that's not all! MetaMask is also free to use, making it a great option for those looking to dip their toes into the world of Ethereum without breaking the bank. And if you're a multi-account kind of person, you're in luck - MetaMask lets you connect multiple accounts and easily switch between them. But wait, there's more! MetaMask also makes it easy to transact between different cryptocurrencies. With its built-in exchange feature, you can swap one token for another without having to leave the comfort of your browser. It's like having a personal cryptocurrency concierge at your fingertips!

![crypto meme6](https://dev-to-uploads.s3.amazonaws.com/uploads/articles/1kh56eoxqq7xm54d5kst.png)

**6. <u>Axie Infinity</u>**

Axie Infinity is a blockchain-based game that combines elements of Pokémon and Tamagotchi. Axie Infinity has become a popular play-to-earn game, providing players with an opportunity to make a living while having fun. The project was inspired by CryptoKitties, the very first game on the blockchain, but it set out to make players want to play longer by adding economic incentives.

In Axie Infinity, players can earn tokens through skilled gameplay and contributions to the ecosystem. All in-game assets and Axie-related data can be accessed by 3rd parties, allowing community developers to build their tools and experiences in the Axie Infinity universe. The gameplay of Axie Infinity is like a combination of Pokémon and Final Fantasy Tactics, where players battle with their Axies and use cards based on their body parts to maximize their chances of winning. The Axie team started development on the real-time card battle system and application in March 2019 and released an Alpha in December 2019.

Axie Infinity is built on the Ethereum blockchain and uses an ERC-721 standard for Non-Fungible Tokens (NFTs). It has its own marketplace where players can buy and sell Axies and other in-game assets. The game has several modes, including Classic, Origin, Homeland, Raylights, and Defenders of Lunacian Land. It allows players to truly own their in-game assets and trade them on marketplaces like OpenSea. The game has its own token, SLP (Smooth Love Potion), which can be earned through gameplay and used to breed new Axies or sold on exchanges for real-world money.
![crypto meme4](https://dev-to-uploads.s3.amazonaws.com/uploads/articles/3tir6jr7kh7klwf6en8z.png)
Drop me your thoughts on this – spill the tea, share the vibes! I'm all ears for your feedback because, let's be real, I feed on that stuff like plants crave sunlight. Anything you'd toss into the mix as a reader? Lay it on me! Your input is the secret sauce that spices up this whole conversation stew. Ready, set, critique – I'm here for it! 🌟👂