A daily crypto, finance, and AI vocabulary grouping puzzle for beginners.
Layer-2 Rollups
These concepts explain how rollups improve throughput and how users move funds between layers.
RollupSequencerState RootWithdrawal Delay
- Rollup: A rollup is a layer-2 system that batches transactions off-chain and posts compressed data and proofs back to a base chain.
- Sequencer: A sequencer is the component that orders transactions for a rollup and proposes batches that later get finalized on the base chain.
- State Root: A state root is a cryptographic commitment (often a Merkle root) to a blockchain or rollup's state after a set of transactions.
- Withdrawal Delay: A withdrawal delay is the waiting period required to move assets from a layer-2 back to the base chain, often tied to finality or fraud-proof windows.
DEX Execution
Execution terms help describe how swaps are priced and why orders can fill at different prices than expected.
- Slippage: Slippage is the difference between the expected price of a trade and the price actually received when the order executes.
- Price Impact: Price impact is the change in an AMM's quoted price caused by the trade itself, typically larger when liquidity is shallow.
- Swap Router: A swap router is a contract or service that selects a path across pools (and sometimes multiple DEXs) to execute a token swap.
- Route Splitting: Route splitting is executing one trade across multiple pools or routes to reduce price impact and improve execution under given constraints.
AI Ops and Quality
These terms focus on operational discipline and measurable behavior rather than model hype.
- Observability: Observability is the ability to understand a system's behavior from signals like logs, metrics, and traces to diagnose issues and improve reliability.
- Drift Monitoring: Drift monitoring tracks whether data distributions or model outputs change over time in ways that could degrade performance or safety.
- Human-in-the-Loop: Human-in-the-loop is a design where a person reviews, approves, or corrects an AI system at key steps to improve accuracy and reduce risk.
- Incident Response: Incident response is the process of detecting, triaging, mitigating, and learning from outages or security events using defined procedures and roles.
Crypto Security Basics
Security basics help users understand attack surfaces and how to reduce avoidable risk without giving trading advice.
Key RotationAccess ControlPhishingBug Bounty
- Key Rotation: Key rotation is replacing cryptographic keys or API credentials on a schedule or after exposure to limit the impact of compromised secrets.
- Access Control: Access control defines which accounts or roles can perform sensitive actions, helping reduce the risk of unauthorized changes or withdrawals.
- Phishing: Phishing is a social-engineering attack that tricks users into revealing secrets or approving malicious transactions by impersonating trusted services.
- Bug Bounty: A bug bounty is a program that rewards security researchers for responsibly reporting vulnerabilities so they can be fixed before being exploited.