Trustless
A system where you rely on code and math instead of trusting a middleman.
Trustless is a confusing word. It does not mean no trust at all. It means you don't have to trust a specific person or company, because the rules are enforced by software and verified by the network. You trust the system, not a counterparty.
When you swap tokens on a decentralized exchange, no firm holds your funds or can refuse the trade. The smart contract executes or it doesn't. The flip side: if that code has a bug, there is no help desk to call. You inherit the risk along with the autonomy.
Related terms
Spreading control and data across many independent participants so no single party can dictate or shut things down.
Smart ContractSelf-executing code on a blockchain that runs exactly as written when its conditions are met, with no party able to intervene.
Decentralized Exchange (DEX)An on-chain venue where smart contracts let users swap tokens directly from their wallets, with no custodian.