Crypto Basics: 5 Concepts Every Beginner Needs

Just entered crypto and the jargon is overwhelming: KYC, gas, TVL, APY… don’t panic. This guide covers only the 5 concepts you genuinely need to know, and in 5 minutes you’ll have a working foundation.

1. Exchanges: where you buy and sell

Think of them like stockbrokers. The biggest ones globally are Binance, OKX and Coinbase. You register, deposit and trade there. Choosing one matters — see our exchange comparison.

2. Wallets: the tools that hold your coins

Coins sitting in an exchange account are strictly speaking “held by the exchange for you”. A real wallet (such as the OKX Web3 Wallet or MetaMask) is one where you hold the private keys yourself. Keeping everything on the exchange is fine to start; learn about wallets once you get more advanced.

3. USDT: the “dollar” of crypto

USDT is a stablecoin: 1 USDT ≈ 1 US dollar and the price barely moves. Newcomers typically buy USDT first, then use USDT to buy BTC, ETH and other coins. It’s the trading medium of the crypto world.

4. KYC: identity verification

Know Your Customer. Exchanges require you to upload an ID plus a face check, on the same logic as opening a brokerage account. No KYC, no trading. See the KYC guide for details.

5. Trading fees: you pay on every trade

Both spot and futures trades cost you a fee. The rate directly affects your returns over time, which is why referral rebates matter — being able to claw back 20% of your fees. The mechanics are covered in the rebate explainer.

Next steps

You’ve got the concepts, so let’s get hands-on: OKX registration guide (5 steps, rebates included) → deposit funds → place your first trade.

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