Here at DaniWeb, we have a folding group as well. Folding actually isn't a tech term at all. Folding proteins is the scientific process of gathering data about proteins and doing a bunch of data analysis and number crunching on them in all of their different molecular configurations. (When you fold proteins, you change their molecular configuration / structure, or something like that. A biologist / chemist can correct me).
Basically, by performing number crunches on folded proteins, scientists can find cures to diseases such as cancer. However, the amount of number crunching that would need to take place would take thousands of years even on today's fastest machines. Therefore, we use what is called distributed computing - thousands (and even millions) of computers (in this case, all of our PCs!) all working together to do the number crunching, and hopefully get all the work done millions times faster. The way that it works is you install software to your machine, and when your computer is not in use, your unused CPU clockcycles are used to do number crunching on proteins (protein folding) ... and the data is periodically sent back over the Internet.
In addition to protein folding, there is another distributed computing project called Seti@Home (it's NASA funded, I believe) which does number crunching on space probes to try to find intelligent life in outer space. But I think finding a cure for cancer is a more worthwhile cause
Seti@Home -
http://setiathome.ssl.berkeley.edu
Folding@Home -
http://folding.stanford.edu
And to join DaniWeb's Folding@Home Team,
http://www.daniweb.com/techtalkforums/thread15414.html 
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