Glossary

  1. Modulus Protocol: A decentralized platform that enables users to participate in fair and transparent prize distribution using blockchain technology and smart contracts.

  2. Smart Contract: Self-executing contracts with code that automatically executes predefined actions when certain conditions are met, providing security and transparency to transactions.

  3. Epoch: A predefined time period during which users can deposit, hold, and withdraw tokens to accumulate tickets for prize draws.

  4. Ticket: A virtual entry earned by users based on the amount of tokens deposited and the holding duration, contributing to their chances of winning prizes.

  5. Total Value Locked (TVL): The combined value of tokens deposited by users into the Modulus Protocol's smart contracts.

  6. Odds: The likelihood of a user winning a prize, calculated as the ratio of their accumulated tickets to the total tickets in circulation.

  7. Chainlink VRF: Chainlink Verifiable Random Function, a secure and decentralized method used by Modulus Protocol to generate random numbers for selecting winners.

  8. Decentralization: A key principle where control and decision-making are distributed across participants rather than being centralized, enhancing security and reducing vulnerabilities.

  9. Security Audits: Thorough assessments of smart contracts' code and architecture conducted by external parties to identify and rectify vulnerabilities and security risks.

  10. Privacy Policy: A document detailing how personal information is collected, used, and protected by Modulus Protocol, ensuring user privacy and data security.

  11. Terms of Service: A legal agreement outlining the terms and conditions of using the Modulus Protocol platform, defining user rights, responsibilities, and limitations.

  12. Token Price Volatility: The fluctuation in the value of tokens, which could impact users' investments and the prizes received from the Modulus Protocol.

  13. Multi-Factor Authentication (MFA): An additional layer of security requiring users to provide multiple forms of verification before accessing their accounts.

  14. Cookies: Small pieces of data stored on users' devices that help websites remember user preferences and improve browsing experiences.

  15. Data Encryption: The process of converting data into a code to prevent unauthorized access, ensuring the confidentiality and security of sensitive information.

  16. User Experience (UX): The overall experience users have while interacting with the Modulus Protocol platform, encompassing design, usability, and functionality.

  17. Multi-Sig Wallet: A digital wallet requiring multiple private keys to authorize transactions, enhancing security by reducing single points of failure.

  18. Prize Draw: The process of randomly selecting users as winners based on their odds and accumulated tickets, ensuring fairness and transparency.

  19. External Auditors: Third-party experts engaged by Modulus Protocol to conduct independent security audits and assessments of the platform's smart contracts.

  20. Privacy Concerns: Issues related to the protection of users' personal information, ensuring it is collected, stored, and used in compliance with privacy regulations.

  21. Security Measures: Precautions, protocols, and technologies implemented by Modulus Protocol to safeguard user data and prevent unauthorized access.

  22. Vulnerabilities: Weaknesses or flaws in the smart contract code or platform architecture that could be exploited by malicious actors to compromise security or manipulate the system.

  23. Multi-Wallet Strategy: A practice of using multiple digital wallets for different functions to minimize the risk of a single point of compromise leading to significant losses.

  24. Token Deposits: The process of users transferring tokens to the Modulus Protocol's smart contract, allowing them to accumulate tickets for the prize draw.

  25. Token Withdrawals: The process of users retrieving their tokens from the Modulus Protocol's smart contract, affecting their accumulated tickets.

  26. APR (Annual Percentage Rate): A measure of the annualized rate of return on users' deposits, reflecting the potential gains from participating in the Modulus Protocol's prize distribution.

  27. DeFi (Decentralized Finance): A financial ecosystem built on blockchain technology that aims to provide traditional financial services, such as lending, borrowing, trading, and yield farming, in a decentralized and permissionless manner.

  28. APY (Annual Percentage Yield): A measure of the total return on users' investments, including both interest earned and compounding effects, over a year.

  29. Asset (Aset): Any tradable item of value, which can include cryptocurrencies, tokens, stocks, or commodities.

  30. Blockchain: A distributed and immutable digital ledger technology that records transactions across a network of computers, enhancing transparency and security.

  31. CEX (Centralized Exchange): A centralized platform where users can trade cryptocurrencies and tokens, often with high liquidity but requiring trust in the exchange's management.

  32. Coin (Crypto): A digital currency that operates on its own blockchain and serves as a means of value transfer within a decentralized network.

  33. DYOR (Do Your Own Research): A reminder for users to conduct their own thorough research before making financial or investment decisions.

  34. Fiat: Traditional government-issued currency, such as USD or EUR, that is not backed by a physical commodity.

  35. Gas Fees: The cost required to perform transactions or execute smart contracts on a blockchain, typically paid in cryptocurrency.

  36. Market Cap: The total value of all tokens or coins in circulation, calculated by multiplying the current price by the total supply.

  37. NFA (Not Financial Advice): A disclaimer used to indicate that the provided information is not intended as professional financial advice.

  38. Open-Source: Software or code that is publicly available and can be viewed, used, modified, and distributed by anyone, fostering transparency and collaboration.

  39. Volatility: The degree of price fluctuations in a cryptocurrency or token, often measured by its price volatility index.

  40. Yield Farming: A DeFi practice where users provide liquidity to earn rewards, typically by lending or staking their assets on decentralized platforms.

  41. Off-chain: Refers to activities and data that occur outside the blockchain network. Off-chain solutions are often used to improve scalability and reduce the computational load on the blockchain.

  42. On-chain: Refers to activities and data that are directly recorded and executed on a blockchain network. On-chain actions are transparent, immutable, and are verified by the consensus mechanism of the blockchain. Examples include transactions, smart contract executions, and token transfers. On-chain data is stored on the blockchain and is accessible by all participants in the network, ensuring security and transparency.

Last updated