Skip to main content

Web3 Terms Every Professional Should Know

 Jose Triana SideCar

Web3 Terms Every Association Professional Should Know

For most people, Web3 is an often confused and hard-to-imagine future version of our world complete with its own financial systems and virtual realities we’ll use to interact. And while many of these new technologies sound exciting, a polished and functional version of them is still a ways away. 

However, many of the tools and systems that will be used in the future are already being experimented with and are quickly making their way into the association and non-profit industry. 

This is why having a basic knowledge of Web3 terms and concepts is key to not only understanding the possibilities for your organization, but also the future implications you need to prepare for as an association leader. 

Understanding Web3

At its most basic, however, Web3 is a future iteration of the internet that will be secured by blockchain technology, likely immersive and decentralized, and using alternative finances to keep things moving. 

Whether that means it’s a fully immersive world that replaces day-to-day interactions or simply an upgrade to the web as we know it is yet to be seen. 

Of course, there is a lot more to it than that, and if you need a full primer, be sure to check our Guide to Web3. 

Related: How To Talk to Your Members About Web3
Learn More >

Essential Web3 Terms You Should Know

One of the biggest reasons Web3 is misunderstood is because of all the components and terminology that go into how it functions. While terms will continue to develop as the technology does, having a basic understanding of critical Web3 terms can ensure that you and your organization are prepared for the future.

Building Blocks

  • Blockchain – A virtual or digital ledger that is used to record any and all transactions. Using cryptography and duplication across a network of nodes. This duplication is what helps create a secure process because all changes are tracked and recorded on the ledge, which allows for complete transparency. 
Related: How to Talk to Your Members About Blockchain
Learn More >
  • Smart Contracts – A smart contract is an agreement that’s converted into computer code, which is stored on the blockchain, and self-executes when the terms of the agreement are complete. By relying completely on blockchain networks, there is no need for an intermediary and agreements are always executed, assuming the terms have been met.   
  • Decentralization – Many of the applications and systems in Web3 are considered decentralized. As opposed to our current systems, which have oversight by either a private company or government, a decentralized system wouldn't have a central authority in charge. Instead, decision-making happens within a group. 
  • Decentralized Autonomous Organization (DAO) – The future of associations and organizations. Members would buy into a DAO using a token, which then affords them a vote on any decisions the organization makes – anything from purchases to organizational structure. 
  • Decentralized Application (Dapp) – Software applications built on blockchain technology. They often use smart contracts and can be designed for applications like games, NFT marketplaces and accounts to store and save cryptocurrencies. 
  • Decentralized Finance (DeFI) – An entire decentralized financial system that combines decentralized apps, exchanges and cryptocurrencies. Not only will it allow users to exchange coins, but it can also create opportunities for lending, borrowing and investing, with all interactions being executed via smart contracts and secured by blockchain. 
  • Decentralized Exchange (DEX) – A decentralized exchange that allows users to exchange cryptocurrencies. There is no intermediary and users can exchange any type of coin in most systems. 

Finance

  • Cryptocurrency – A digital currency encrypted on the blockchain and used for secure transactions. There are over 17,000 currently in existence and more are being created daily. Their appeal often depends on uses and the amount minted. For example, Bitcoin is one of the most valuable and sought after because of its wide usage and finite amount. 
Related: What Are The Major Cryptocurrencies?
Learn More >
  • Wallet (Crypto wallet) – A wallet is designed to store your private keys, which prove ownership of a specific cryptocurrency. They are also critical when connecting to any decentralized exchange or app. Wallets can either come as software, which is stored on your computer, or hardware, which is a physical device that stores your keys. 
  • Bitcoin – The cryptocurrency that launched it all. Bitcoin has the largest market cap and is viewed as a stable store of value due to its universal acceptance. It was created in 2008 by Satoshi Nakamoto with a limit of 21 million to ever be created. 
  • Ethereum – Launched in 2015, Ethereum is one of the more popular cryptocurrencies. It has become the foundation of things like NFTs, event tickets and real estate transactions on the blockchain, which also allows it to be used to build Dapps. 
  • Altcoin – Officially, an altcoin is any cryptocurrency that is not Bitcoin. While they can still represent currency and are stored and secured by the blockchain, they also have wider applicability, including stable coins and governance tokens. 
  • Mining – When transactions need to be confirmed on a blockchain, a complex mathematical problem is used. When it’s solved, cryptocurrency is created and the transaction is added to the blockchain. This process is called mining and it's one of the ways new cryptocurrency units are created. 
  • Proof-of-Stake (PoS) – One of the methods used to confirm transactions on the blockchain. Users stake their own cryptocurrencies to validate transactions that are being added to the blockchain. Once confirmed, they are also given portions of the cryptocurrency as payment. 
  • Proof-of-Work (PoW) – Unlike PoS, where you need to put your own cryptocurrency as stake, PoW works by solving mathematical problems. Once solved, the miner is also awarded cryptocurrency. 

Tokenization & Collectibles

  • Creator Coins – Whether you’re an organization or an individual creator, you can create your own cryptocurrency that is categorized as a creator coin. Not only can they be used to purchase things like merchandise and NFTs, but they can work as a key to additional features, membership perks and content. 
  • Fungibility – In order to understand what an NFT is, you need to know the fungibility aspect. “In less geeky terms, fungible simply means replaceable,” says Amith Nagarajan. So if an item or collectible is non-fungible, this means it is not replaceable and there is only one (i.e. the Mona Lisa).  
  • Non-Fungible Token (NFT) – “NFT” stands for “nonfungible token.” It’s a unit of data on blockchain that represents digital files or collectibles. While many of the current applications and use-cases of NFTs are artwork, creators will be able to use NFTs to represent things like certifications or licenses, deeds for homes or even tickets to your next association event. 
Related: Can Event NFTs Be the Next Big Thing for Your Association?
Learn More >
  • Non-Transferable Tokens (NTTs) – Unlike NFTs that can be sold and traded in the marketplace, NTTs are considered “soulbond.” Designed with inspiration from video games, where achievements cannot be traded or sold, these tokens would represent the most important of “achievements” or credentials. Things like employment history, licenses and certifications would all be verifiable on the blockchain – creating a Web3 reputation that cannot be falsified.  
  • Minting – Whether you create a new NFT and add it onto the blockchain, you’re “minting” that item. Minting can also be used for new cryptocurrencies and creator coins. 

Immersion 

  • Metaverse – A virtual representation of our regular world. It should allow people to recreate or replace daily routines, like meetings, visits to offices and even vacations, in a fully immersive 3D virtual world. 
Related: How to Talk to  Your Members About The Metaverse
Learn More >
  • Augmented reality – An emerging technology that allows you to augment your real-world surroundings. Generally using phones or glasses, you’ll be able to interact and see 3D elements in the real world. 
  • Virtual Reality – A more immersive experience, virtual reality relies on full headsets like the Oculus Quest headset. An entire world, or Metaverse, will be created that you can then interact with as you would in the real world. 
  • Avatars – A digital representation of you! As users explore a metaverse, there will need to be a way for you to interact with that world, and that’s where avatars come into play. Not only will you be able to customize them with in-world purchases and NFTs, but you’ll also likely be able to use them to interact with others, attend virtual experiences and even enter your virtual workplace. 

This list is in no way exhaustive and will likely be a living document that we consistently update and improve. However, it does give you an understanding of jargon and terminology that can help you make informed decisions and plan for emerging technology. 

The Future of Web3 Is Still Unknown

The bottom line is that the implications and functionality of Web3 are still very much in their infancy. However, with investments from major organizations around the world, their application and impact will likely be felt in the very near future.

Understanding key concepts and Web3 terms are key to helping keep your association ahead of the curve and prepared to integrate and leverage them for organizational growth and connection with members.

Comments

Post a Comment

Please no profanity or political comments.

Popular posts from this blog

Growing Your Credit Union Without Expanding Your FOM

For many firefighter and other credit union primarly serving first responders, growth often feels tied to one big decision: expanding the Field of Membership (FOM). But what if you didn’t have to? What if growth could come from within —by deepening relationships, increasing engagement, and capturing more of the financial lives of the members you already serve? The truth is: it can. But it requires a shift in strategy. Rethinking What “Growth” Really Means Most institutions define growth as adding more members. But for single-sponsor credit unions, especially those serving first responders, a more powerful definition is: Growth = more value per member Many members only use one or two products—often a checking account and maybe an auto loan. Meanwhile, larger banks capture mortgages, credit cards, and investments. The opportunity isn’t just new members. It’s: More products per member Higher balances per relationship Greater share of wallet Your Biggest Advantage: The First Responder Life...
Post a Comment
Read Complete Article HERE>»

When Vendors Price for Giants

 Grant Sheehan CCUE | CEO Opinion: When Vendors Price for Giants, They Shrink the Future of Small Credit Unions ! There’s a quiet squeeze happening in the credit union industry, and it’s not coming from regulators or competition from big banks. It’s coming from the very vendors that claim to support the ecosystem. For small credit unions, the problem is increasingly simple and factual: the tools required to compete with digital banking platforms, fraud systems, compliance software, analytics, and payments infrastructure are priced for institutions ten or even 100 times their size. The result is a market where access to essential services is determined not by mission or member need, but by asset size. This isn’t just inconvenient. It’s structurally threatening. Vendors often defend their pricing models as a reflection of complexity or scale. Larger credit unions have more users, more transactions, more integrations, so they pay more, and that seems fair on the surface. But t...
Post a Comment
Read Complete Article HERE>»

How's Your Posture?

      April Blog   How's Your Posture?   Scenario Planning Is Dead! Long Live Strategic Posture. by That One Consultant You Hired and Then Ignored   Somewhere in your credi...
Post a Comment
Read Complete Article HERE>»

Fed still holds off on rate increase | 2015-07-30 | CUNA News

  WASHINGTON (7/30/15)--Citing “moderate” economic expansion, the Federal Open Market Committee continues to do “a balancing act,” said CUNA Senior Economist Perc Pineda. The Federal Reserve’s monetary policy-making body completed its meeting Wednesday without edging up the federal funds interest rate. Fed Chair Janet Yellen has said the committee will opt for an interest-rate increase sometime this fall. The July meeting, however, was not the time. “The Federal Reserve continues to do a balancing act: the U.S. economy is not in a recession and definitely not overheating,” Pineda told News Now . “Changes in monetary policy after all are meant to influence an underperforming or an overheating economy.” Household spending growth has been moderate, and housing has shown additional improvement, the committee said. Labor conditions continue to improve with declining unemployment and solid job gains. Inflation is anticipated to remain near its recent low level in the near term,...
Post a Comment
Read Complete Article HERE>»

NCOFCU Promotes its First Class of Credit Union Professionals (CCUP)

Announcing the First Class of Certified Credit Union Professionals (CCUP) Key West, Florida – The National Council of Firefighter Credit Unions Inc. (NCOFCU) is thrilled to announce the inaugural class of Certified Credit Union Professionals (CCUP), taking a significant step towards advancing the standards of professionalism and expertise in credit union governance. This elite certification program, launched during the NCOFCU annual educational conference, provides participants with a unique opportunity to enhance their professional development, gain specialized training, and expand their network while receiving guidance from industry leaders. Over the course of two years, participants will have engaged in comprehensive sessions covering critical topics such as governance best practices, regulatory compliance, risk management, and strategic planning. "Earning the CCUP certification signifies a professional's 2-year commitment to excellence and continuous learning in cred...
Post a Comment
Read Complete Article HERE>»

2 Historical Moments: CUNA Mutual Officially Changes Name Today, As Union Also Calls Strike

MADISON, Wis.–One of the most iconic names in credit unions and credit union history in the U.S. will officially change today when CUNA Mutual Group begins operating under the TruStage brand across the enterprise. All enterprise, business-to-business and consumer brands are now unified under the single brand name of TruStage, which the company has been using for some of its products for a number of years. The new brand is being introduced at the same time approximately 450 employees represented by Office & Professional Employees Local 39 have gone on strike. It is the first strike in the company and the union's history. As CUToday.info has been reporting, the company and the union have been at an impasse since February of 2022, when t...
Post a Comment
Read Complete Article HERE>»

Please Support the Tunnels 2 Towers Foundation

The mission of the Stephen Siller Tunnel to  Towers   Foundation is to honor the sacrifice of firefighter Stephen Siller, who laid down his life to save others on September 11, 2001. We also honor our military and first responders who continue to make the supreme sacrifice of life and limb for our country. In response to COVID-19 , Tunnels to Towers has established the COVID-19 Heroes Fund , pledging to support frontline health care workers by providing meals, personal protective equipment (PPE) and, should tragedy strike, financial relief through temporary mortgage payments on homes of health care workers who lose their lives and leave behind young children. Through the  Fallen First Responder Home Program , Tunnel to Towers aims to pay off the mortgages of fallen law enforcement officers and firefighters killed in the line of duty that leave behind young children.  The Foundation’s goal is to ensure stability and security to these families facing sudden, tra...
Post a Comment
Read Complete Article HERE>»

Sunday Reading - Landmine Rat Honored

  Landmine Rat Honored   Cambodia unveiled the world’s first statue honoring a landmine-detecting rat (w/photo) Friday. Magawa the rat lived to 8 years old and identified more than 100 landmines and other explosives from 2016 to 2021.  There are more than 100 African pouched rats deployed in landmine detection operations across the world. To identify mines, the rats are trained to sniff out explosive compounds like trinitrotoluene, or TNT. (The rats are not heavy enough to trigger detonation.) In Cambodia, up to 6 million landmines remain undiscovered, most planted during three decades of conflict, from the Vietnam War era through Cambodia's civil war . Since 1979, roughly 20,000 people have been killed in Cambodia, and roughly 40,000 wounded as a result of the mines. Magawa cleared more than ...
Post a Comment
Read Complete Article HERE>»

Pickup Truck Sales Increase

LAWRENCEVILLE, Ga.—Used vehicle values saw a slight increase in September, thanks to a surge in the values of full-sized pickup trucks, Black Book reports. The company’s Used Vehicle Retention Index hit an all-time high in September (130.8), a +1.8-point change from August (129.0). The uptick in values continues what many analysts have called surprising strength in the used market this year. However, big declines are expected before year’s end. “Overall, the Index increased slightly in September,” said Alex Yurchenko, senior vice president, data science at Black Book. “The increase was driven mostly by the strength of the full-size pickup segment in the first part of September as most of the other segments saw a drop in the Index. We expect the continuation of weakening of most of the segments including full-size pickups in the next several months as the economy remains weak and there is an expected glut of used supply.” The Black Book Used Vehicle Retention Index is calc...
Post a Comment
Read Complete Article HERE>»

No Change! Federal Reserve issues FOMC statement

  January 28, 2026 Federal Reserve issues FOMC statement For release at 2:00 p.m. EST Share Available indicators suggest that economic activity has been expanding at a solid pace. Job gains have remained low, and the unemployment rate has shown some signs of stabilization. Inflation remains somewhat elevated. The Committee seeks to achieve maximum employment and inflation at the rate of 2 percent over the longer run. Uncertainty about the economic outlook remains elevated. The Committee is attentive to the risks to both sides of its dual mandate. In support of its goals, the Committee decided to maintain the target range for the federal funds rate at 3‑1/2 to 3‑3/4 percent. In considering the extent and timing of additional adjustments to the target range for the federal funds rate, the Committee will carefully assess incoming data, the evolving outlook, and the balance of risks. The Committee is strongly committed to supporting maximum employment and returning inflation to its 2 p...
Post a Comment
Read Complete Article HERE>»