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Financial Mathematics for Cryptocurrencies
book

Financial Mathematics for Cryptocurrencies

by Tom Espel
April 2026
Intermediate
288 pages
9h 2m
English
Wiley
Content preview from Financial Mathematics for Cryptocurrencies

Glossary

A

Actively validated service, AVS
microservices on a blockchain, associated with LRTs.
Altchain
blockchains that are neither Bitcoin nor Ethereum.
Altcoin
coins that are associated with altchains.

B

Bank for International Settlements, BIS
an international financial institution that serves as a bank for central banks and fosters international monetary and financial cooperation.
Basis point
one hundredth of one percent.
Basis risk
the financial risk that arises when the price of a derivative instrument does not move in line with the price of its underlying.
Block time
the time it takes to mine a new block on a blockchain.
Blockchain
a technology that consists of a shared database distributed across a network.

C

Capital asset pricing model, CAPM
an economic model that describes the relationship between the return of an investment and the market as a whole.
Central bank digital currency, CBDC
digital forms of fiat money issued by a country’s central bank.
Centralized exchange, CEX
a digital asset trading platform operated by a central authority, responsible for custody and trading operations.
Coin
the native asset on a blockchain, used to compensate for the processing of transactions.
Consensus mechanism
the protocol that allows the nodes on a network to agree on the state of the blockchain.
Credit default swap, CDS
financial derivatives that allow investors to manage their exposure to a credit event, such as a default.
Custodian
an entity responsible for holding and ...
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Publisher Resources

ISBN: 9781394370078