Terminology
This page is dedicated to explaining some terms relevant to the protocol that might be a bit hard to understand!
Bondingrelated

Liveness Bond: The bond provided by a block’s assigned prover, serving as a commitment to initially prove the first transition and to provide postcontest proofs within the corresponding proving window.

Validity Bond: The bond provided by the actual prover of a proof, signifying their commitment that the proof is indeed correct and that they are ready to withstand a contest.

Contest Bond: The bond provided by the contester.
In layman’s terms, the above terms relate to the protocol in the following manner:

A Liveness Bond is deposited when a prover gets assigned a block to prove; when the block gets verified it gets returned to the prover.

A Validity Bond is only handled when someone other than the original prover proves with a higher tier. The higher tier prover has to deposit it in TaikoL1. If the new proof is correct, it gets returned; otherwise it gets burned.

A Contest Bond is someone putting up a bond to say that a block should be contested and a higher tier should handle this case. If the higher tier proof is incorrect then contestBond is forfeited.