A Complete Guide to HODL, FUD, FOMO: Common Slang Used by Cryptocurrency Investors

There are many unique terms in the Bitcoin and cryptocurrency community. From common slang like HODL, FUD, FOMO to advanced concepts like Rekt, Whale, Pump and dump, understanding these terms is the first step to truly grasping the crypto market. This guide systematically explains over 20 of the most frequently used slang terms in the Bitcoin and crypto communities.

Investment Psychology-Inspired Bitcoin Slang

FOMO (Fear Of Missing Out)

FOMO stands for Fear Of Missing Out, referring to the psychological state where, upon hearing that others are making money with Bitcoin, one feels the urgency to buy quickly. While this is a common emotion in everyday life, in the crypto market it can directly influence investment decisions.

HODL (Long-term Holding Strategy)

HODL is interpreted as Hold On for Dear Life, but actually originated from a user mistyping “hold” as “HODL” during a market dip. Perhaps excited by Bitcoin’s volatility, they made the typo. Later, the community adopted it to mean “keep holding your BTC regardless of market fluctuations,” making it a popular slang. Investors following the HODL strategy hold their cryptocurrencies expecting long-term growth, unaffected by short-term price swings.

Diamond Hands vs Paper Hands

Similar to HODL, these terms are used in this context. Diamond hands refer to investors who hold their assets steadfastly despite significant market sell-offs. Conversely, paper hands are those who sell too early at the slightest dip or instability, often driven by excessive fear and panic.

Market Manipulation and Loss-Related Terms

FUD (Fear, Uncertainty, Doubt)

FUD is an acronym for Fear, Uncertainty, Doubt, referring to the act of intentionally spreading negative information or emotions about Bitcoin and cryptocurrencies. Sometimes through false news or exaggerated reports, market fear is deliberately cultivated.

Shill (Selfish Promotion)

Shilling means excessively promoting a particular cryptocurrency for personal gain. Shillers usually have already invested in the coin but are not doing well, and try to persuade others to buy it, hoping to offload their losses onto new investors.

Pump and Dump

This is a strategy used by organized groups of crypto traders to manipulate market sentiment. First, during the pump phase, they spread false or misleading information to inflate the price of a specific coin. As investor excitement drives the price up, the group then sells all their holdings during the dump phase, causing the price to plummet and leaving late investors with losses.

Rekt (Financial Ruin)

Rekt is derived from “wrecked” and describes a situation where a trader’s investment is completely destroyed. In crypto, it refers to someone whose asset value has plummeted, resulting in significant losses. Saying “That investor is completely rekt” means they lost almost all their funds.

Bagholder (Holding Losses)

A bagholder is someone who continues to hold a cryptocurrency that has drastically fallen in value, often near worthless, because they bought at a high price and cannot or will not sell at a loss.

Expressions of Price Fluctuation and Expectations

Whale (Large Holder)

A whale is someone who holds a large amount of a cryptocurrency. Typically, those holding over 5% of the total supply are called whales. Their buying or selling actions can significantly impact the market, so traders monitor whale activity closely.

To the Moon

The phrase “to the moon” expresses the belief that the price of Bitcoin or a specific coin will skyrocket in the future. When an investor says “This coin is going to the moon,” they expect their investment to generate huge profits.

Bullish vs Bearish

A bullish market indicates a continuing upward trend, with investors optimistic and buying. A bearish market indicates a downward trend, with pessimism and selling. Although these terms originated in traditional stock markets, they are now widely used in crypto as well.

Buy the Dip

Buying the dip means taking advantage of a price decline to purchase assets at a lower price, similar to buying discounted items during a sale. Investors buy Bitcoin at a low point, expecting the price to rise again later.

Crypto Community Slang and Jargon

WAGMI vs NGMI

WAGMI stands for “We’re All Gonna Make It,” expressing confidence and hope that everyone in the community will succeed. Members encourage each other during tough market conditions. NGMI, meaning “Not Gonna Make It,” indicates that a decision or investment is likely to fail. These terms are especially common in NFT and crypto Discord and Twitter communities.

Cryptosis

Cryptosis is a neologism describing an obsessive craving and addiction to cryptocurrencies. It sounds like a disease but doesn’t threaten life. Symptoms include constantly browsing forums, aggressively promoting crypto investments to friends, and always trying to minimize trading risks.

Basic Technical and Regulatory Terms

Sats (Satoshis - Bitcoin’s smallest unit)

Sats is short for Satoshi, the smallest unit of Bitcoin, equal to 0.00000001 BTC. The term comes from Satoshi Nakamoto, the presumed creator of Bitcoin.

Market Cap

Market cap indicates the total value of a specific cryptocurrency. It’s calculated by multiplying the current price by the circulating supply. For example, if Bitcoin’s price is $40,000 and the circulating supply is 20 million, the market cap is $800 billion.

No-coiner

A no-coiner is someone who believes Bitcoin and other cryptocurrencies are doomed to fail or will be worth almost nothing in the future. Due to this belief, they do not hold any crypto assets.

ICO (Initial Coin Offering)

An ICO is similar to an IPO in traditional finance. It’s a method for crypto projects to raise funds by selling new tokens to the public for the first time. The project team discloses details and team info, and investors buy tokens that may be used within the project or represent ownership stakes.

KYC (Know Your Customer)

KYC stands for “Know Your Customer” or “Know Your Client,” referring to the process of verifying user identities. Most crypto exchanges strictly enforce KYC to comply with regulations, ensure security, and prevent illegal activities.

NFT (Non-Fungible Token)

NFT is a non-fungible token, representing a unique 1:1 digital asset. Each NFT contains a special identifier code that distinguishes it from others. NFTs can include tweets, digital art, audio, videos, and more.

Vaporware

Vaporware refers to software or project that is announced but never actually completed or released. In crypto, it describes projects heavily marketed and hyped but ultimately never materialized or launched.

Disclaimer: This document is for informational purposes only and should not be considered legal, tax, investment, financial, or other advice.