Glossary of Terms

Description of key terminology

Term	Description
Synthetic Asset	An crypto-asset that tracks the value of something else.
DeFi	Decentralised Finance
DAO	Distributed Autonomous Organisation
Clay	Sumero's native currency
SumSwap	Sumero's native exchange
cSynth	A synthetic asset created on Sumero. A "clay synth" or cSynth for short.
Collateral	An asset of value staked to mint a synthetic asset. Sumero permits both ether (ETH) and USDC.
ETH	Ether (ETH) is the Ethereum blockchain's native cryptocurrency.
USDC	A USD coin issued by centre consortium and backed by assets held in State Street bank.
zClay Bond	A zero coupon Clay bond.
Zero Coupon Bond	A bond that only pays interest at maturation date. There are "zero coupon" payments during its lifetime.
Oracle	Blockchain oracles are entities that connect blockchains to external systems, thereby enabling smart contracts to execute based upon inputs and outputs from the real world.
Optimistic Oracle	An optimistic oracle is an oracle where real-world data is integrated with decentralized systems (e.g. blockchains), and the data is accepted as true if it is not disputed during a certain period.