Recency Bias

Exit liquidity is the ease with which a trader can exit their position and cash out their cryptocurrency assets. Traders can become someone’s exit liquidity when they trade their money for an asset without the ability to resell it due to various reasons.

Crypto 'alpha' refers to a piece of information that is new or not common knowledge and has the potential to give a trader an edge in the market.

‘Froth’ refers to a period when asset prices, such as cryptocurrencies, rise rapidly and beyond their intrinsic value, driven more by hype and speculation than by fundamental factors.

A Zero-Knowledge (ZK) rollup is a Layer-2 scaling solution for blockchains, particularly designed to improve scalability and reduce transaction costs.

A ZK-STARK is a cryptographic proof system used in blockchain and cryptocurrencies designed to provide a way for users to prove the validity of certain information or computations without revealing any of the underlying data.

A ZK-SNARK is a cryptographic technique used to prove possession of certain information without revealing that information itself. In relation to cryptocurrencies, ZK-SNARKs are used for privacy and scalability purposes.

In cryptocurrency, ‘yield’ refers to the return or profit generated from holding or staking digital assets through DeFi protocols.

In cryptocurrency, a virtual machine is a software environment that mimics a physical computer and is designed to execute smart contracts or decentralised applications (dapps) on the blockchain network.

In cryptocurrency, ‘volume’ refers to the total amount of a particular cryptocurrency that has been traded within a specific time frame. It indicates the level of trading activity for a particular asset.