LearnGlossary
Every term behind the indices, in plain language.
447 terms across crypto, DeFi, taxation, and portfolio theory — the language of the QSI Crypto Indices and upcoming features like Crypto SIP and Proof of Reserves, defined without the jargon.
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Every term
447 terms
DeFi & Yield
48- What is DeFi (decentralized finance)?
- How do DeFi lending and borrowing protocols work?
- What is an AMM (automated market maker)?
- What is a liquidity pool in DeFi?
- What is a liquidity provider (LP) token?
- What is impermanent loss and how does it happen?
- What is yield farming in crypto?
- What is a DeFi yield vault and how does it work?
- What is a blockchain oracle and why does DeFi need it?
- What is TVL (total value locked) in DeFi?
- What is a perpetual DEX and how do perpetual swaps work?
- What is a liquidation in DeFi lending?
- What is real yield in DeFi and how is it different from token emissions?
- What is the difference between APR and APY in crypto yield?
- What is stablecoin yield and where does it come from?
- How is DeFi yield taxed in India?
- Does the 30% crypto tax apply to DeFi staking and yield in India?
- Is 1% TDS applicable to DeFi swaps and yield in India?
- What is the difference between a DEX and a CEX?
- What is liquid staking and what is a liquid staking token (LST)?
- What is smart contract risk in DeFi?
- Is DeFi legal and regulated in India?
- What is liquidity mining and how does it differ from staking?
- What is auto-compounding in DeFi vaults?
- What is a price oracle and how can it be manipulated?
- What is a funding rate on perpetual contracts?
- What is a liquidation threshold and health factor?
- What is the loan-to-value (LTV) ratio in DeFi borrowing?
- What is over-collateralization in DeFi lending?
- What is a stableswap AMM and why is it used for stablecoins?
- What is concentrated liquidity in an AMM?
- What is slippage in a DEX trade?
- What is a flash loan in DeFi?
- What is a flash loan attack?
- What is restaking and what are liquid restaking tokens (LRTs)?
- What is a yield aggregator in DeFi?
- What is a money market protocol in DeFi?
- What is a collateralized debt position (CDP)?
- What is a crypto-backed stablecoin like DAI and how does it stay pegged?
- What is the difference between a fiat-backed and an algorithmic stablecoin?
- What is a stablecoin depeg and why does it happen?
- What is MEV (maximal extractable value) in DeFi?
- What is a DeFi rug pull and how do you spot one?
- What is a DeFi protocol audit and does it guarantee safety?
- What is the difference between yield farming and staking?
- What is a gas fee and how does it affect DeFi transactions?
- What is a wrapped token (like wBTC) and how is it used in DeFi?
- What is a governance token in a DeFi protocol?
Stablecoins, RWA & Tokenization
48- What is a stablecoin?
- How does a stablecoin maintain its peg?
- What is the difference between USDT and USDC?
- What is a depeg event?
- What is a reserve attestation for a stablecoin?
- What is reserve backing for a stablecoin?
- Are stablecoins legal in India?
- How are stablecoin gains taxed in India?
- Does the 1% TDS apply to stablecoin transactions in India?
- What are the risks of holding stablecoins?
- What is the difference between a stablecoin and the digital rupee (CBDC)?
- What is tokenization in crypto?
- What is a real-world asset (RWA) in crypto?
- How does RWA tokenization work?
- What is tokenized gold and how does it work?
- What are tokenized stocks and how do they work?
- How are tokenized real-world assets taxed in India?
- Are tokenized stocks legal in India?
- What is proof of reserves and how does it work?
- How does Qatobit's live Proof of Reserves work?
- What caused the UST/Terra stablecoin collapse?
- What is a crypto-collateralized stablecoin?
- What is overcollateralization in stablecoins?
- How is DAI different from USDT?
- What is the difference between an attestation and an audit?
- What is an INR-pegged stablecoin?
- What is a stablecoin swap?
- What is USDT Earn and how is it used as a stable reserve?
- What does a stable reserve do inside a QSI index?
- What is counterparty risk in a stablecoin?
- What is a yield-bearing stablecoin?
- What real-world assets can I invest in through Qatobit?
- What is the difference between tokenized gold and a gold ETF?
- What is a tokenized treasury?
- How do tokenized US Treasuries work?
- What is a tokenized bond?
- What is tokenized real estate?
- How does fractional ownership of real estate through tokens work?
- What is the difference between a tokenized stock and the actual share?
- What is an asset-backed token?
- What is the role of a custodian in RWA tokenization?
- What is on-chain settlement?
- What is the difference between proof of reserves and proof of liabilities?
- What is segregation of customer funds and why does it matter?
- What does it mean for a token to be redeemable for the underlying asset?
- What is liquidity risk in tokenized real-world assets?
- What is smart contract risk in tokenized assets?
- How does the RBI view stablecoins and tokenized assets?
Indian Compliance & Tax
41- What is the 1% TDS on crypto transactions in India?
- How does the 1% TDS on VDA transfers actually work?
- What is the 30% flat tax on virtual digital assets in India?
- How is profit from selling crypto taxed under Section 115BBH?
- What is a Virtual Digital Asset (VDA) under Indian tax law?
- Why can't I set off crypto losses against other income in India?
- What is Schedule VDA in the income tax return?
- Which ITR form do I file for crypto income in India?
- What is FIU-IND and why does it matter for crypto users?
- What is the difference between TDS and the 30% tax on crypto?
- Who deducts the 1% TDS on crypto trades — the exchange or the buyer?
- What is Section 194S of the Income Tax Act?
- Can I carry forward crypto losses to future years in India?
- Can I set off loss on one crypto against gain on another crypto?
- How is a crypto airdrop taxed in India?
- How is crypto received as a gift taxed in India?
- Is gifting crypto to a family member taxable in India?
- How do I report crypto gains in ITR-2 vs ITR-3?
- What are a crypto exchange's reporting obligations to FIU-IND?
- How does PMLA apply to crypto businesses in India?
- What is FEMA and does it apply to crypto held abroad?
- Do I have to report foreign crypto holdings in Schedule FA?
- Is GST charged on crypto exchange trading fees in India?
- What is advance tax and do I owe it on crypto gains?
- Can I deduct the cost of acquisition when computing crypto tax?
- How is crypto-to-crypto trading taxed in India?
- Does the 1% TDS apply to crypto-to-crypto swaps?
- What is the TDS threshold limit for crypto transactions?
- How do I claim a refund of excess TDS deducted on crypto?
- How is staking reward income taxed in India?
- Is the 30% crypto tax in addition to the 1% TDS?
- Does the basic exemption limit apply to crypto income in India?
- Do I pay tax when transferring crypto between my own wallets?
- What records should I keep for crypto tax filing in India?
- What is Form 26AS and how does it show my crypto TDS?
- What is the Annual Information Statement (AIS) for crypto transactions?
- What happens if I don't report crypto income in my ITR?
- How is crypto taxed when using a foreign exchange from India?
- Are Indian crypto platforms required to do KYC?
- How is the holding period treated for crypto tax in India?
- Is there long-term vs short-term capital gains for crypto in India?
Derivatives & Risk
39- What are option Greeks in crypto trading?
- What is implied volatility in crypto options?
- What is basis in crypto futures?
- What is contango in futures markets?
- What is open interest in crypto derivatives?
- What is Value at Risk (VaR)?
- What is position sizing in crypto investing?
- What is tail risk in crypto portfolios?
- What is a liquidation cascade in crypto?
- What is liquidation price and how is it calculated?
- What is the funding rate in perpetual futures?
- What is a perpetual futures contract in crypto?
- How are crypto futures and F&O taxed in India?
- What is leverage in crypto trading and why is it risky?
- What is delta in crypto options?
- What is gamma in options trading?
- What is theta and how does time decay work in options?
- What is the difference between implied and realized volatility?
- What is historical volatility and how is it calculated?
- What is basis trading and how does it work?
- What is backwardation in futures markets?
- What is the difference between contango and backwardation?
- What is the difference between open interest and volume?
- How is Value at Risk calculated?
- How do you size a position based on risk?
- What is a black swan event in markets?
- How does a liquidation cascade work in leveraged markets?
- What is a long squeeze versus a short squeeze?
- What is the difference between a call option and a put option?
- What is the difference between futures and options?
- What is margin in crypto derivatives?
- What is the difference between initial margin and maintenance margin?
- What is a margin call in crypto trading?
- What is hedging and how do you hedge a crypto portfolio?
- What is the maximum drawdown of a portfolio?
- What is the Sharpe ratio and how is it used to measure risk?
- What is beta and how does it measure crypto market risk?
- What is correlation risk in a crypto portfolio?
- What is counterparty risk in crypto derivatives?
Tokenomics & On-chain
39- What is tokenomics in crypto?
- What is a token burn and how does it affect price?
- What is max supply in crypto?
- What is fully diluted valuation (FDV) and how is it calculated?
- What is the difference between market cap and fully diluted valuation?
- What is staking yield and how is it calculated?
- How is crypto staking income taxed in India?
- What is the Bitcoin halving and how does it affect supply?
- What is a token unlock and how does it affect price?
- What is the difference between a token and a coin?
- What is total value locked (TVL) in DeFi?
- What is a vesting cliff in crypto tokenomics?
- What is the difference between APR and APY in crypto staking?
- What are active addresses and what do they tell you?
- What is realized cap (realized market capitalization)?
- What is the difference between market cap and realized cap?
- What is the NVT ratio and how does it work?
- What is holder distribution and why does it matter?
- What are whale wallets and how do they affect a token?
- What is a supply schedule in crypto tokenomics?
- What is token inflation and how does it dilute holders?
- What is a deflationary token?
- What is the difference between inflationary and deflationary tokens?
- What is token allocation in a crypto project?
- What is a token lockup period?
- What is a governance token?
- What is a utility token?
- What is the MVRV ratio in on-chain analysis?
- What is a staking lock-up or unbonding period?
- What is slashing in proof-of-stake staking?
- What is real yield versus inflationary yield in crypto?
- What are token emissions and where do they go?
- What is a buyback-and-burn mechanism in crypto?
- What is the difference between sell pressure and buy pressure from token unlocks?
- What is the difference between linear vesting and cliff vesting?
- What is on-chain transaction volume and why does it matter?
- What is the difference between on-chain and off-chain transactions?
- What is the Stock-to-Flow model for Bitcoin?
- How are crypto staking rewards reported and taxed under the 30% slab in India?
Wallets, Security & Custody
38- What is a crypto wallet?
- What is the difference between a custodial and a non-custodial wallet?
- What is the difference between a hot wallet and a cold wallet?
- What is a seed phrase and why does it matter?
- What is the difference between a private key and a public key?
- What is a crypto phishing attack?
- How do I recognise a fake crypto exchange or wallet app?
- What is a rug pull in crypto?
- How does Qatobit keep custody of my crypto assets?
- What is Qatobit's Proof of Reserves?
- What is two-factor authentication (2FA) for a crypto account?
- What is a hardware wallet and how does it work?
- How can I spot a rug pull before investing?
- What is a token approval in crypto?
- What is an unlimited token allowance and why is it risky?
- How do I revoke a token approval?
- What is a wallet drainer?
- What is an approval phishing scam?
- What is account abstraction in crypto wallets?
- What is a smart contract wallet?
- What is social recovery for a crypto wallet?
- What is key sharding in crypto custody?
- What is multi-party computation (MPC) in crypto wallets?
- What is a multisig wallet?
- What are the different crypto custody models?
- What is self-custody in crypto?
- What is the difference between self-custody and exchange custody?
- What is cold storage for crypto?
- What is a crypto exchange insurance fund?
- Are crypto assets on Indian exchanges insured?
- How does Proof of Reserves protect my crypto holdings?
- How does Qatobit separate user funds from operational funds?
- Are my assets on Qatobit insured?
- What is a SIM swap attack and how does it affect crypto?
- What happens to my crypto on an exchange if it gets hacked?
- How do I recover crypto sent to the wrong wallet address?
- What happens to my crypto wallet after I die?
- How is inherited crypto taxed in India?
NFTs, DAOs & Web3
36- What is an NFT?
- How does an NFT work?
- How are NFTs taxed in India?
- What is the ERC-721 token standard?
- What does it mean to mint an NFT?
- What is NFT floor price?
- What are NFT royalties?
- What is the difference between fungible and non-fungible tokens?
- What is a DAO?
- How does a DAO work?
- What is Web3?
- What is the difference between an NFT and a cryptocurrency?
- What is the difference between ERC-721 and ERC-1155?
- What is the difference between ERC-20 and ERC-721 tokens?
- What are gas fees when minting an NFT?
- How is NFT floor price calculated?
- How do NFT creator royalties work?
- What is an NFT marketplace?
- What is NFT metadata?
- What is NFT wash trading?
- What is an NFT airdrop?
- How are NFT airdrops taxed in India?
- How does DAO governance voting work?
- What is token-weighted voting in a DAO?
- What is a DAO treasury?
- What is the difference between a DAO and a traditional company?
- Are DAOs legal in India?
- What is the difference between Web2 and Web3?
- What is decentralized identity (DID)?
- What is a soulbound token (SBT)?
- What is a Web3 wallet and how does it differ from an exchange account?
- What is the metaverse?
- What is play-to-earn (P2E) gaming?
- How is play-to-earn gaming income taxed in India?
- What is an NFT rug pull?
- How do I verify if an NFT is authentic?
Traditional Investing & Portfolio Theory
36- What are rebalancing bands and how do they work?
- What is portfolio rebalancing?
- What is goal-based investing?
- What is an asset class?
- Is crypto an asset class?
- What is asset allocation?
- What is drawdown in investing?
- Why does a 50% loss need a 100% gain to recover?
- What is diversification in a portfolio?
- What is the efficient frontier in portfolio theory?
- What is Modern Portfolio Theory?
- What is the difference between calendar rebalancing and threshold rebalancing?
- What is the difference between goal-based investing and returns-chasing?
- What are the main asset classes available to Indian investors?
- What is strategic asset allocation?
- What is the difference between strategic and tactical asset allocation?
- How does drawdown recovery work?
- What is sequence of returns risk?
- What is a glide path in investing?
- What is factor investing?
- What is correlation between asset classes?
- Does crypto reduce or increase portfolio diversification?
- What is beta in investing?
- What is alpha in investing?
- What is risk tolerance and how do I assess mine?
- What is the difference between rupee cost averaging and lump-sum investing?
- What is the time value of money?
- What is an investment time horizon?
- What is the difference between CAGR and absolute returns?
- What is XIRR and how is it used for portfolio returns?
- What is the difference between nominal and real returns?
- How does inflation affect investment returns?
- What is the difference between active and passive investing?
- What is an emergency fund and how does it fit into investing?
- What is the difference between speculation and investing?
- What is a benchmark index and why does it matter?
Crypto Core Education
34- What is public-key cryptography in crypto?
- What is a private key and why does it matter?
- What is the difference between a public key and a wallet address?
- What is a digital signature in cryptocurrency?
- What is a cryptographic hash function?
- What is the SHA-256 hashing algorithm?
- What is a hierarchical deterministic (HD) wallet?
- What is a BIP-39 seed phrase?
- What is the difference between a seed phrase and a private key?
- What is the maximum supply of a cryptocurrency?
- What is the difference between circulating supply and total supply?
- What is the ERC-20 token standard?
- What is the ECDSA signature scheme?
- What is elliptic curve cryptography in blockchain?
- What is a hash collision and why does it matter?
- What is a Merkle root and how is it built?
- What is the difference between encryption and hashing?
- What is a checksum in a crypto address?
- What is a nonce in cryptography and blockchain?
- What is key derivation in a crypto wallet?
- What are the different Bitcoin address types?
- What is a SegWit address?
- What does an Ethereum address look like and how is it formed?
- What is multi-signature (multisig) in crypto?
- What is a coin burn and how does it affect supply?
- What is token inflation in cryptocurrency?
- What does a deflationary cryptocurrency mean?
- What is a fixed supply versus an uncapped supply coin?
- What is a token vesting schedule?
- What is the ERC-721 NFT standard?
- What are token decimals in a crypto contract?
- What is a smallest unit like a satoshi or wei?
- What is a token contract address?
- What is the difference between a fungible and a non-fungible token?
Trading & Technical Analysis
28- What is technical analysis in crypto trading?
- What is a candlestick chart and how do you read one?
- What is the RSI indicator and how does it work?
- What is the MACD indicator and how do you read it?
- What is a moving average in crypto trading?
- What are support and resistance levels in crypto?
- What is arbitrage in crypto trading?
- What is dollar-cost averaging (DCA) in crypto?
- What is a stop-loss order and how does it work?
- What is the difference between a market order and a limit order?
- How is crypto day trading income taxed in India?
- What is divergence in technical analysis?
- What is market making in crypto?
- How does crypto arbitrage work across exchanges?
- Is crypto arbitrage profit taxed in India?
- How do you time DCA buys in a volatile market?
- What is the difference between DCA and lump-sum investing?
- What is a trading volume indicator and why does it matter?
- What is a trend line and how do you draw one?
- What are Fibonacci retracement levels in crypto trading?
- What is a take-profit order in crypto trading?
- What is slippage in crypto trading?
- What is the bid-ask spread?
- What is an order book in crypto trading?
- What is liquidity in a crypto market?
- What is the difference between day trading and swing trading?
- What is the difference between technical analysis and fundamental analysis?
- What is market sentiment and how do indicators measure it?
Blockchain Infrastructure
23- What is Solana and how does it work?
- What is Polygon (POL) and how does it work?
- What is Arbitrum and how does it work?
- What is a Layer 2 (L2) in crypto?
- What is the difference between Layer 1 and Layer 2 blockchains?
- What is a rollup in blockchain?
- What is a blockchain bridge and how does it work?
- What is the difference between Solana and Ethereum?
- How are Solana (SOL) gains taxed in India?
- What are gas fees and why do they differ across chains?
- What is sharding in blockchain?
- What is MEV (Maximal Extractable Value) in crypto?
- What is the blockchain trilemma?
- What is the difference between Arbitrum and Optimism?
- What is the difference between Polygon and Ethereum?
- How are Polygon (POL) gains taxed in India?
- How is bridging crypto between chains taxed in India?
- What is the EVM (Ethereum Virtual Machine)?
- What does EVM-compatible mean for a blockchain?
- Why are Solana fees so much lower than Ethereum fees?
- What is throughput (TPS) in a blockchain?
- What is a validator in a blockchain network?
- What is a node in a blockchain?
Mutual Funds & ETFs
20- How is a gold ETF taxed in India?
- What is an international mutual fund?
- How are international funds taxed in India?
- What is the lock-in period in an ELSS fund?
- What is an exit load in mutual funds?
- How are equity mutual funds taxed in India?
- How are debt mutual funds taxed in India after 2023?
- What is the difference between short-term and long-term capital gains on mutual funds?
- How is the expense ratio a drag on mutual fund returns?
- What is the difference between a regular plan and a direct plan?
- What is Assets Under Management (AUM) in a mutual fund?
- What is the difference between an ETF and an index fund?
- How are ETFs taxed in India?
- What is the difference between SWP and dividend payout?
- How does an STP work between two funds?
- How is an STP taxed in India?
- How does an NFO work and should you invest in one?
- What is the difference between an NFO and an IPO?
- Is an NFO at Rs 10 NAV cheaper than an existing fund?
- How is tracking error calculated?
Payments, Fintech & Accounts
12- What is UPI and how does it work in India?
- What is a UPI mandate (UPI AutoPay) and how does it work?
- How does UPI AutoPay work for a SIP?
- What is eKYC and how does it work in India?
- What is Video KYC (V-CIP) and how does it work?
- What is a PAN card and why is it required for crypto and investing in India?
- What is a nominee and how do I add one to my investment account?
- What is the difference between IMPS, NEFT, and RTGS?
- How do I deposit and withdraw INR on Qatobit?
- What is Proof of Reserves and how do I verify it?
- What is a SIP (Systematic Investment Plan) and how does autopay fund it?
- What is TDS on crypto deposits and withdrawals in India?
Equity, Fixed Income & Macro
5Put the theory to work.
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