Yes, chip is a Scrabble word!

Verb

1. Break off (a piece from a whole)

2. Cut a nick into

3. Play a chip shot

4. Form by chipping

5. Break a small piece off from

Noun

1. A small fragment of something broken off from the whole

2. A triangular wooden float attached to the end of a log line

3. A piece of dried bovine dung

4. A thin crisp slice of potato fried in deep fat

5. A mark left after a small piece has been chopped or broken off of something

6. A small disk-shaped counter used to represent money when gambling

7. Electronic equipment consisting of a small crystal of a silicon semiconductor fabricated to carry out a number of electronic functions in an integrated circuit

8. (golf) a low running approach shot

9. The act of chipping something