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What Is Blockchain Technology? The Ultimate Guide

What Is Blockchain Technology? The Ultimate Guide

What is blockchain?

A blockchain is a special type of database. You may also have heard the term distributed ledger technology (or DLT) – in many cases, they're referring to the same thing. A blockchain has certain unique properties. There are rules about how data can be added, and once the data has been stored, it's virtually impossible to modify or delete it.

Data is added over time in structures called blocks. Each block is built on top of the last and includes a piece of information that links back to the previous one. By looking at the most up-to-date block, we can check that it has been created after the last. So if we continue all the way down the "chain," we'll reach our very first block – known as the genesis block.

To analogize, suppose that you have a spreadsheet with two columns. In the first cell of the first row, you put whatever data you want to hold.

The first cell's data is converted into a two-letter identifier, which will then be used as part of the next input. In this example, the two-letter identifier KP must be used to fill out the next cell in the second row (defKP). This means that if you change the first input data (abcAA), you'd get a different combination of letters in every other cell.

A database where each entry is linked to the last. A database where each entry is linked to the last.

Looking at row 4 now, our most recent identifier is TH. Remember how we said you can't go back and remove or delete entries? That's because it would be easy for anyone to tell that it's been done, and they'd just ignore your attempted change.

Suppose you change the data in the very first cell – you'd get a different identifier, which would mean your second block would have different data, leading to a different identifier in row 2, and so on. TH is, in essence, a product of all the information coming before it.

How are blocks connected?

What we discussed above – with our two-letter identifiers – is a simplified analogy of how a blockchain uses hash functions. Hashing is the glue that holds blocks together. It consists of taking data of any size and passing it through a mathematical function to produce an output (a hash) that's always the same length.

The hashes used in blockchains are interesting, in that the odds of you finding two pieces of data that give the exact same output are astronomically low. Like our identifiers above, any slight modification of our input data will give a totally different output.

Let's illustrate with SHA256, a function used extensively in Bitcoin. As you can see, even changing the capitalization of letters is enough to completely scramble the output.

The fact that there aren't any known SHA256 collisions (i.e., two different inputs that give us the same output) is incredibly valuable in the context of blockchains. It means that each block can point back to the previous one by including its hash, and any attempt to edit older blocks will immediately become apparent.

Each block contains a fingerprint of the previous. Each block contains a fingerprint of the previous.

Blockchains and decentralization

We've explained the basic structure of a blockchain. But when you hear people talking about blockchain technology, they’re likely not just talking about the database itself, but the ecosystems built around blockchains.

As standalone data structures, blockchains are only really useful in niche applications. Where things get interesting is when we use them as tools for strangers to coordinate amongst themselves. Combined with other technologies and some game theory, a blockchain can act as a distributed ledger that's controlled by no one.

What this means is that no one has the power to edit the entries outside of the rules of the system (more on the rules shortly). In that sense, you could argue that the ledger is simultaneously owned by everyone: participants reach an agreement on what it looks like at any given moment.

The Byzantine Generals Problems

The real challenge standing in the way of a system like that described above is something called the Byzantine Generals Problem. Conceived in the 1980s, it describes a dilemma in which isolated participants must communicate to coordinate their actions. The specific dilemma involves a handful of army generals that surround a city, deciding whether to attack it. The generals can only communicate via messenger.

Each must decide whether to attack or retreat. It doesn't matter whether they attack or retreat, as long as all generals agree on a common decision. If they decide to attack, they will only be successful if they move in at the same time. So how do we ensure that they can pull this off?

Sure, they could communicate via messenger. But what if the messenger is intercepted with a message that says "we’re attacking at dawn," and that message is replaced with “we're attacking tonight”? What if one of the generals is malicious and intentionally misleads the others to ensure they're defeated?

All generals are successful when attacking (left). When some retreat while others attack, they will be defeated (right). All generals are successful when attacking (left). When some retreat while others attack, they will be defeated (right).

We need a strategy wherein consensus can be reached, even if participants turn malicious or messages get intercepted. Not being able to maintain a database isn't a life-and-death situation like attacking a city without reinforcements, but the same principle holds. If there's no one to oversee the blockchain and to give users “correct” information, then the users must be able to communicate amongst themselves.

To overcome the potential failure of one (or several) users, the mechanisms of the blockchain must be carefully engineered to be resistant to such setbacks. A system that can achieve this is referred to as Byzantine fault-tolerant. As we'll see shortly, consensus algorithms are used to enforce robust rules.

Why do blockchains need to be decentralized?

You could, of course, operate a blockchain by yourself. But you'd end up with a database that's clunky in comparison to superior alternatives. Its real potential can be exploited in a decentralized environment – that is, one where all users are equal. That way, the blockchain can’t be deleted or maliciously taken over. It's a single source of truth that anyone can see.

What's the peer-to-peer network?

The peer-to-peer (P2P) network is our layer of users (or the generals in our previous example). There's no administrator, so instead of phoning into a central server anytime they want to exchange information with another user, the user sends it directly to their peers.

Consider the graphic below. On the left, A needs to route their message through the server to get it to F. On the right-hand side, however, they're connected without an intermediary.

A centralized network (left) vs. a decentralized one (right). A centralized network (left) vs. a decentralized one (right).

Normally, the server holds all the information that users need. When you access Binance Academy, you're asking its servers to feed you all the articles. If the website goes offline, you won't be able to see them. However, if you downloaded all of the content, you could load it on your computer without querying Binance Academy.

In essence, that's what every peer does with the blockchain: the entire database is stored on their computer. If anyone leaves the network, the remaining users will still be able to access the blockchain, and share information with each other. When a new block is added to the chain, the data is propagated across the network so that everyone can update their own copy of the ledger.

What are blockchain nodes?

Nodes are simply what we call the machines connected to the network – they're the ones that store copies of the blockchain, and share information with other machines. Users don't need to manually handle these processes. Generally, all they need to do is download and run the blockchain’s software, and the rest will be taken care of automatically.

The above describes what a node is in the purest sense, but the definition can also encompass other users that interact with the network in any way. In cryptocurrency, for instance, a simple wallet application on your phone is what's known as a light node.

Public vs. private blockchains

As you may know, Bitcoin laid the foundation for the blockchain industry to grow into what it is today. Ever since Bitcoin has started proving itself as a legitimate financial asset, innovators have been thinking about the potential of the underlying technology for other fields. This has resulted in an exploration of blockchain for countless use cases outside of finance.

Bitcoin is what we call a public blockchain. This means that anyone can view the transactions on it, and all it takes to join is an Internet connection and the necessary software. Since there aren't any other requirements for participation, we may refer to this as a permissionless environment.

In contrast, there are other types of blockchains out there called private blockchains. These systems establish rules regarding who can see and interact with the blockchain. As such, we refer to them as permissioned environments. While private blockchains may seem redundant at first, they do have some important applications – mainly in enterprise settings.

How do transactions work?

If Alice wants to pay Bob via bank transfer, she notifies her bank. Let’s assume that the two parties use the same bank for simplicity’s sake. The bank checks that Alice has the funds to perform the transaction, before updating its database (e.g., -$50 to Alice, +$50 to Bob).

This isn’t too dissimilar to what goes on with a blockchain. After all, it’s also a database. The key difference is that there isn’t a single party performing the checks and updating the balances. All of the nodes must do it.

If Alice wants to send five bitcoins to Bob, she broadcasts a message saying this to the network. It won’t be added to the blockchain straight away – nodes will see it, but other actions must be completed for the transaction to be confirmed. See How are blocks added to the blockchain?

Once that transaction is added to the blockchain, all of the nodes can see that it’s been made. They’ll update their copy of the blockchain to reflect it. Now, Alice can’t send those same five units to Carol (thus, double-spending), because the network knows that she’s already spent them in an earlier transaction.

There’s no concept of usernames and passwords – public-key cryptography is used to prove ownership of funds. To receive funds in the first place, Bob needs to generate a private key. That’s just a very long random number that would be virtually impossible for anyone to guess, even with hundreds of years at their disposal. But if he tells anyone his private key, they’ll be able to prove ownership over (and therefore spend) his funds. So it’s important that he keeps it secret.

What Bob can do, however, is derive a public key from his private one. He can then give the public key to anyone because it’s near-infeasible for them to reverse-engineer it to get the private key. In most cases, he’ll perform another operation (like hashing) on the public key to get a public address.

how a blockchain transaction works

He’ll give Alice the public address so that she knows where to send funds. She constructs a transaction that says pay these funds to this public address. Then, to prove to the network that she isn’t trying to spend funds that aren’t hers, she generates a digital signature using her own private key. Anyone can take Alice’s signed message and compare it with her public key, and say with certainty that she has the right to send those funds to Bob.

How to make Bitcoin transactions

To illustrate how you can make Bitcoin transactions, let’s imagine two different scenarios. The first consists of you withdrawing bitcoins from Binance, and the second of sending funds from your TrustWallet to your Electrum wallet.

How to withdraw bitcoins from Binance

  1. Log in to your Binance account. If you don’t have any bitcoins yet, check out our Bitcoin guide on how to buy some.

  2. Hover over Wallet and select Spot Wallet.

selecting spot wallet from the wallet dropdown on binance

  1. Click on Withdraw on the sidebar on the left.

  2. Choose the coin you’d like to withdraw – in this case, BTC.

  3. Copy the address you’d like to withdraw your bitcoins to, and paste it in Recipient's BTC Address.

binance withdrawal screen

  1. Specify the amount you’d like to withdraw.

  2. Click on Submit.

  3. You’ll receive a confirmation email shortly. Carefully check if the address is correct. If it is, confirm the transaction in the email.

  4. Wait for your transaction to go through on the blockchain. You can monitor its status under the Deposit & Withdrawal History tab or using a block explorer.

How to send bitcoins from Trust Wallet to Electrum

In this example, we’ll send some bitcoins from Trust Wallet to Electrum.

  1. Open the Trust Wallet app.

  2. Tap on your Bitcoin account.

  3. Tap on Send.

  4. Open your Electrum wallet.

  5. Click on the Receive tab in Electrum and copy the address.

screenshot of elextrum wallet

Alternatively, you can go back to Trust Wallet and tap on the [–] icon to scan the QR code pointing to your Electrum address.

screenshot of trustwallet

  1. Paste your Bitcoin address to Recipient Address in Trust Wallet.

  2. Specify the amount.

  3. If everything seems correct, confirm the transaction.

  4. You’re done! Wait for your transaction to be confirmed on the blockchain. You can monitor its status by copying your address into a block explorer.

Who invented blockchain technology?

Bitcoin technology was formalized in 2009 with the release of Bitcoin – the first and most popular blockchain. However, its pseudonymous creator Satoshi Nakamoto took inspiration from earlier technologies and proposals.

Blockchains make heavy use of hash functions and cryptography, which were in existence for decades prior to the release of Bitcoin. Interestingly, the blockchain’s structure could be traced back to the early 1990s, though it was merely used for timestamping documents such that they couldn’t be altered later.

For more on the subject, see History of Blockchain.

Pros and cons of blockchain technology

Properly-engineered blockchains solve a problem that plagues stakeholders in a number of industries, ranging from finance to agriculture. A distributed network presents many advantages over the traditional client-server model, but it also comes with some trade-offs.

Pros

One of the immediate benefits noted in the Bitcoin white paper is that payments could be transmitted without involving an intermediary. Subsequent blockchains have taken this even further, allowing users to send all kinds of information. Eliminating counterparties means that there’s less risk for users involved, and results in lower fees as there is no intermediary taking a cut.

As we mentioned earlier, a public blockchain network is also permissionless – there’s no barrier to entry since there’s no one in charge. If a prospective user can connect to the Internet, then they’re able to interact with other peers on the network.

Many would argue that the most important quality of blockchains is that they have a high degree of censorship-resistance. To cripple a centralized service, all that a malicious actor would need to do is target a server. But in a peer-to-peer network, every node acts as a server of its own.

A system like Bitcoin has over 10,000 visible nodes scattered around the world, making it virtually impossible for even a well-resourced attacker to compromise the network. It should be noted that there are many hidden nodes, too, which aren’t visible to the broader network.

These are some general advantages. There are many specific use cases that blockchains can cater to, as you’ll see in What is blockchain used for?

Cons

Blockchains are not silver bullets to every problem. In being optimized for the advantages in the previous section, they end up lacking in other areas. The most obvious obstacle to mass adoption of blockchains is that they don’t scale very well.

This is true of any distributed network. Since all participants must stay in sync, new information can’t be added too fast as nodes would be unable to keep up. Therefore, developers tend to intentionally limit the speed at which the blockchain can update to ensure that the system remains decentralized.

For users of a network, this can manifest itself in lengthy waiting periods if too many people are trying to make transactions. Blocks can only hold so much data, and they’re not added to the chain instantly. If there are more transactions than can fit in the block, then any additional ones must wait for the next block.

Another possible con of decentralized blockchain systems is that they can’t easily be upgraded. If you’re building your own software, you can add new features as you please. You don’t need to work with others or ask for permission to make modifications.

In an environment with potentially millions of users, making changes is considerably more difficult. You could change some of the parameters of your node software, but you’d eventually find yourself separated from the network. If the modified software is incompatible with other nodes, they will recognize this and refuse to interact with your node.

Suppose you wanted to change a rule about how big blocks can be (from 1MB to 2MB). You could try sending this block to nodes you’re connected to, but they have a rule that says “do not accept blocks over 1MB”. If they receive anything bigger, they will not include it in their copy of the blockchain.

The only way to push changes is to have the majority of the ecosystem accept them. With major blockchains, there can be months – or even years – of intensive discussion in forums before changes can be coordinated. See Hard Forks and Soft Forks for more on this.

How does blockchain work?

How are blocks added to the blockchain?

We’ve covered a lot so far. We know that nodes are interconnected and that they store copies of the blockchain. They communicate information about transactions and new blocks to each other. We’ve already discussed what nodes are, but you might be wondering: how are new blocks added to the blockchain?

There’s no single source to tell users what should be done. Because all nodes have equal power, there needs to be a mechanism for fairly deciding who can add blocks to the blockchain. We need a system that makes it expensive for users to cheat but rewards them for acting honestly. Any rational user will want to act in a way that is economically beneficial to them.

Because the network is permissionless, block creation needs to be accessible to anyone. Protocols often ensure this by requiring the user to put some “skin in the game” – they must put their own money at risk. Doing so will allow them to participate in block creation, and if they generate a valid one, they’ll be paid out a reward.

However, if they attempt to cheat, the rest of the network will know. Whatever stake they’ve put forward will be lost. We call these mechanisms consensus algorithms because they allow network participants to reach consensus on what block should be added next.

Mining (Proof of Work)

Proof of work

Mining is by far the most commonly-used consensus algorithm. In mining, a Proof of Work (PoW) algorithm is used. This involves users sacrificing computing power to try and solve a puzzle set out by the protocol.

The puzzle requires users to hash transactions and other information included in the block. But for the hash to be considered valid, it must fall below a certain number. Since there’s no way of predicting what a given output will be, miners have to keep hashing slightly modified data until they find a valid solution.

Evidently, repeatedly hashing data is computationally expensive. In Proof of Work blockchains, the “stake” that users put forward is the money invested in mining computers and the electricity used to power them. They do this in hopes of getting a block reward.

Remember how we said earlier that it’s practically impossible to reverse a hash, but it’s easy to check it? When a miner sends a new block to the rest of the network, all the other nodes use it as the input in a hash function. They simply need to run it once to verify that the block is valid under the rules of the blockchain. If it isn’t, the miner doesn’t receive the reward, and they’ll have wasted electricity for nothing.

The first Proof of Work blockchain was Bitcoin’s. Since its creation, many other blockchains have adopted the PoW mechanism.

Pros of Proof of Work

  • Tried-and-tested – to date, Proof of Work is the most mature consensus algorithm and has secured hundreds of billions of dollars’ worth of value.

  • Permissionless – anyone can join the mining competition or simply run a validating node.

  • Decentralization – miners compete against each other to produce blocks, which means that the hash power is never controlled by a single party.

Cons of Proof of Work

  • Wasteful – mining consumes a tremendous amount of electricity.

  • Increasingly high barriers to entry – as more miners join the network, protocols increase the difficulty of the mining puzzle. To remain competitive, users must invest in better equipment. This might price out a lot of miners.

  • 51% attacks – though mining promotes decentralization, there is the possibility that one miner acquires the majority of the hash power. If they do, they can theoretically undo transactions and undermine the security of the blockchain.

Staking (Proof of Stake)

In Proof of Work systems, the thing that incentivizes you to act honestly is the money you’ve paid for mining computers and electricity. You won’t get a return on your investment if you don’t mine blocks correctly.

With Proof of Stake (PoS), there’s no external cost. Instead of miners, we have validators who propose (or “forge”) blocks. They can use a regular computer to generate new blocks, but they must put a significant portion of their funds at stake for the privilege. Staking is done with a predefined amount of the blockchain’s native cryptocurrency, according to the rules of each protocol.

Different implementations have different variations, but once a validator stakes their units, they can be randomly selected by the protocol to announce the next block. In doing so correctly, they’ll receive a reward. Alternatively, there might be multiple validators that agree on the next block, and a reward is distributed proportionately to the stake each has put forward.

“Pure” PoS blockchains are less common than DPoS (Delegated Proof of Stake) ones, which require that users vote on nodes (witnesses) to validate blocks for the whole network.

Ethereum, the leading smart contracts blockchain, will soon be transitioning to Proof of Stake in its migration to ETH 2.0.

Pros of Proof of Stake

  • Environmentally-friendly – the carbon footprint of PoS is a fraction of that of PoW mining. Staking removes the need for resource-intensive hashing operations.

  • Faster transactions – since there’s no need for spending additional computing power on arbitrary puzzles set by the protocol, some proponents of PoS argue that it could increase transaction throughput.

  • Staking rewards and interest – instead of going to miners, rewards for securing the network are paid directly to token holders. In some cases, PoS allows users to make passive income in the form of airdrops or interest, simply by staking their funds.

Cons of Proof of Stake

  • Relatively untested – PoS protocols are yet to be tested on a large scale. There may be some undiscovered vulnerabilities in its implementation or cryptoeconomics.

  • Plutocracy – there are concerns that PoS encourages a “rich get richer” ecosystem, as validators with a large stake tend to earn more rewards.

  • Nothing-at-stake problem – in PoW, users can only “bet” on one chain – they mine on the chain they believe to be the most likely to succeed. During a hard fork, they can’t bet on multiple ones with the same hash power. However, validators in PoS can work on multiple chains with little added costs, which might cause economic problems.

Other consensus algorithms

Proof of Work and Proof of Stake are the most common consensus algorithms, but there are many more. Some are hybrids that combine elements from both systems, while others are different methods altogether.

Can I revert blockchain transactions?

Blockchains are, by design, very robust databases. Their inherent properties make it extremely difficult to remove or modify blockchain data after it’s been recorded. When it comes to Bitcoin and other large networks, it’s almost impossible. So, when you’re making a transaction on a blockchain, it’s best to think of it as set in stone forever.

With that said, many different implementations of blockchain exist, and the most fundamental difference between them is how they reach consensus within the network. This means that, in some implementations, a relatively small group of participants may garner enough power within the network to effectively revert transactions. This is especially concerning for altcoins that run on small networks (with low hash rates due to little mining competition).

What is blockchain scalability?

Blockchain scalability is typically used as an umbrella term to refer to a blockchain system’s ability to serve increasing demand. While blockchains have desirable properties (such as decentralization, censorship-resistance, immutability), these come at a cost.

In contrast to decentralized systems, a centralized database can work with considerably higher speed and throughput. This makes sense since there’s no need for thousands of nodes scattered around the world to synchronize with the network each time its contents are modified. But this isn’t the case with blockchains. As a result, scalability has been a highly debated topic among blockchain developers for years.

A number of different solutions have been either proposed or implemented to mitigate some of the performance drawbacks of blockchains. At this point, however, there isn’t a clear best approach. It’s likely that many different solutions need to be trialed until there are more straightforward answers to the scalability problem.

On a broader level, there is a fundamental question concerning scalability: Should we improve the performance of the blockchain itself (on-chain scaling), or should we allow for transactions to be executed without bloating the main blockchain (off-chain scaling)?

There may be clear advantages to both. On-chain scaling solutions could be reducing the size of transactions, or even just optimizing how data is stored in blocks. On the other hand, off-chain solutions involve batching transactions off of the main blockchain, and only adding them later. Some of the most notable off-chain solutions are called sidechains and payment channels.

Why does blockchain need to scale?

If blockchain systems are to compete with their centralized counterparts, they need to be at least as performant as them. Realistically, though, they’ll probably have to perform even better to incentivize developers and users to switch over to blockchain-based platforms and applications.

This means that when compared to centralized systems, using blockchains needs to be faster, cheaper, and easier both for developers and users. Not an easy feat to achieve while maintaining the defining characteristics of blockchains we’ve discussed earlier.

What is a blockchain fork?

As with any software, blockchains need upgrades to fix issues, add new rules, or remove old ones. Since most blockchain software is open-source, in theory, anyone can propose new updates to be added to the software that governs the network.

Bear in mind that blockchains are distributed networks. Once the software is upgraded, thousands of nodes scattered around the world need to be able to communicate and implement the new version. But what happens if participants can’t agree on what upgrade to implement? Typically, there isn’t an organization with an established decision flow to decide. This leads us to soft and hard forks.

Soft forks

If there’s a general agreement on how an upgrade should look like, it’s a relatively simple matter. In a scenario like this, the software is updated with a backward-compatible change, meaning that nodes that are updated can still interact with nodes that aren’t. In reality, though, it’s expected that nearly all nodes will upgrade over time. This is called a soft fork.

Hard forks

A hard fork is more complicated. Once implemented, the new rules will be incompatible with the old rules. So, if a node that’s running the new rules tries to interact with a node that’s running the old rules, they won’t be able to communicate. This results in the blockchain splitting into two – in one, the old software is running, in the other, the new rules are implemented.

After the hard fork, there are essentially two different networks running two different protocols in parallel. It’s worth noting that at the time of the fork, the balances of the blockchain’s native unit are cloned from the old network. So, if you had a balance on the old chain at the time of the fork, you’ll also have a balance on the new one.

What is blockchain used for?

Blockchain for supply chains

Efficient supply chains are at the core of many successful businesses and concern themselves with the handling of goods from the supplier to the consumer. The coordination of multiple stakeholders in a given industry has traditionally proven difficult. However, blockchain technology could allow for new levels of transparency in many industries. An interoperable supply chain ecosystem that revolves around an immutable database is just what many industries need to become more robust and reliable.

Blockchain and the gaming industry

The gaming industry has become one of the biggest entertainment industries in the world, and it could greatly benefit from blockchain technology. Typically, gamers tend to be at the mercy of game developers. In most online games, gamers are forced to rely on the developers’ server space and follow their ever-changing sets of rules. In this context, blockchain could help decentralize the ownership, management, and maintenance of online games.

What might be the biggest problem, however, is that gaming items can’t exist outside of the titles, eliminating the chances of real ownership and secondary markets. By going for a blockchain-based approach, games could become more sustainable in the long-run, and in-game items issued as crypto-collectibles could garner real-world value.

blockchain in gaming

Blockchain for healthcare

Storing medical records in a reliable manner is vital for any healthcare system, and the reliance on centralized servers leaves sensitive information in a vulnerable position. The transparency and security of blockchain technology make it an ideal platform on which to store medical records.

In cryptographically securing their records on a blockchain, patients could maintain their privacy, while being able to share their medical information with any healthcare institution. If all participants of the currently fragmented healthcare system could tap into a secure, global database, information flow would be much faster between them.

Blockchain remittance

Sending money internationally is a hassle with traditional banking. Predominantly due to a convoluted network of intermediaries, the fees and settlement times make using traditional banks both expensive and unreliable for urgent transactions.

Cryptocurrencies and blockchains eliminate this ecosystem of middlemen and can allow for cheap, rapid transfers around the world. While blockchains undoubtedly sacrifice performance for some of their desirable properties, a range of projects are harnessing the technology to allow for cheap, near-instant transactions.

Blockchain and digital identity

Securely managing identity on the Internet is in dire need of a fast solution. An extraordinary amount of our personal data is stored on centralized servers and analyzed by machine learning algorithms without our knowledge or consent.

Blockchain technology allows users to take ownership of their data and selectively reveal information to third parties only when it’s needed. This type of cryptographic magic could allow for a smoother experience online without sacrificing privacy.

Blockchain and the Internet of Things (IoT)

An extraordinary amount of physical devices are getting connected to the Internet, and this number is only going to increase. Some speculate that communication and cooperation between these devices could significantly be augmented by blockchain technology. Automated machine-to-machine (M2M) micropayments could create a new economy reliant on a secure, high-throughput database solution.

Blockchain for governance

Distributed networks can define and enforce their own forms of regulation in the shape of computer code. It’s unsurprising then that blockchain may have a chance at disintermediating various governance processes on the local, national, or even international level.

What’s more, it could solve one of the biggest problems that open-source development environments currently face – lack of a reliable mechanism for the distribution of funding. Blockchain governance ensures that all participants can be involved in decision-making, and provides a transparent overview of which policies are being implemented.

Blockchain for charity

Charity organizations are often impeded by the limitations of how they can accept funds. Even more frustratingly, the ultimate destination of the donated funds can be hard to precisely track, which undoubtedly discourages many from supporting these organizations.

”Crypto-philanthropy” concerns itself with the use of blockchain technology to circumvent these limitations. Relying on the technology’s inherent properties to ensure greater transparency, global participation, and reduced expenses, the emerging field seeks to maximize the impact of charities. One such organization is the Blockchain Charity Foundation.

Blockchain for speculation

Undoubtedly, one of the most popular uses of blockchain technology is speculation. Frictionless transfers between exchanges, non-custodial trading solutions, and a growing ecosystem of derivatives products make it an ideal playing field for all types of speculators.

Due to its inherent properties, blockchain is an excellent instrument for those willing to take the risk of participating in such a sprouting asset class. Some even think that once the technology and the surrounding regulation matures, the global speculative markets may all be tokenized on the blockchain.

blockchain and prediction markets

Crowdfunding with blockchain

Online crowdfunding platforms have been laying the groundwork for the peer-to-peer economy for almost a decade now. The success of these sites shows that there’s a real interest out there for crowdfunded product development. However, as these platforms act as custodians of the funds, they may take a considerable portion of them as fees. In addition, they’ll each have their own ruleset for facilitating the agreement between the different participants.

Blockchain technology, and more specifically smart contracts, could allow for more secure, automated crowdfunding where the terms of the agreements are defined in computer code.

Another application of crowdfunding using blockchain is Initial Coin Offerings (ICOs) and Initial Exchange Offerings (IEOs). In token sales like these, investors raise funds in hopes that the network will be successful in the future, and they’ll get a return on their investment.

Blockchain and distributed file systems

Distributing file storage on the Internet has many benefits compared to conventional centralized alternatives. Much of the data stored in the cloud relies on centralized servers and service providers, which tend to be more vulnerable to attacks and data loss. In some cases, users may also face accessibility problems due to censorship from centralized servers.

From the user perspective, blockchain file storage solutions work just like other cloud storage solutions – you can upload, store, and access files. What’s going on in the background, however, is quite different.

When you upload a file to a blockchain storage, it’s distributed and replicated across several nodes. In some cases, each node will store a different portion of your file. They can’t do much with the partial data, but you can later request the nodes to provide each part, so you can combine them to get the complete file back.

The storage space derives from the participants who provide their storage and bandwidth to the network. Typically, these participants are economically incentivized to provide those resources, and economically punished if they don’t follow the rules or fail to store and serve files.

You could think of this type of network as one similar to Bitcoin. In this case, however, the main goal of the network isn’t to support monetary value transfers but to enable censorship-resistant, decentralized file storage.

Other open-source protocols such as the InterPlanetary File System (IPFS) are already paving the way for this new, more permanent, and distributed Web. While the IPFS is a protocol and a peer-to-peer network, it is not precisely a blockchain. But, it applies some principles of blockchain technology to enhance security and efficiency.

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The Wyckoff Method Explained

The Wyckoff Method Explained
Данный торговый метод был разработан Ричардом Вайкоффом в начале 1930-х годов. Он состоит из ряда принципов и стратегий, изначально разработанных для трейдеров и инвесторов. Вайкофф посвятил значительную часть своего жизненного опыта для изучения поведений на рынке, и его работа до сих пор оказывает влияние на большую часть современного технического анализа (ТА). В настоящее время, метод Вайкоффа применяется ко всем видам финансовых рынков, хотя изначально он был ориентирован только на акции.
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An Introduction to The Dow Theory

An Introduction to The Dow Theory
Essentially, the Dow Theory is a framework for technical analysis, which is based on the writings of Charles Dow concerning market theory. Dow was the founder and editor of the Wall Street Journal and the co-founder of Dow Jones & Company. As part of the company, he helped create the first stock index, known as the Dow Jones Transportation Index (DJT), followed by the Dow Jones Industrial Average (DJIA).
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Об инвестировании, хаосе и аппроксимации рынка

Об инвестировании, хаосе и аппроксимации рынка
Данную статью я решил написать, потому что мне часто пишут в личных сообщениях с вопросами, насколько профессиональна ваша команда управляющих? Владеете ли вы инсайдерской информацией при торговле? Как поведет себя портфель на падающем рынке? и так далее. Ниже я постараюсь прояснить стратегии, и кратко объяснить почему они работают. На просторах Сети полным полно торговых стратегий, материалов, мануалов, готовых решений, сборок, обученных нейросетей и прочего добра, посвященного прогнозированию цен на криптовалютные и традиционные биржевые активы, пахнущего быстрыми и легкими доходами с минимумом усилий. И хоть пишут их разные люди, с разными подходами, на разных платформах и с разными парадигмами, у них всех есть один неизменный общий атрибут — они не работают. Другими словами с их помощью невозможно со стопроцентной вероятностью спрогнозировать куда пойдет график в том или ином отрезке времени в будущем.
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What Is Livepeer (LPT)?

What Is Livepeer (LPT)?
Livepeer is a decentralized video protocol built on the Ethereum blockchain. It was designed for anyone to seamlessly integrate video content into applications in a decentralized manner and at a fraction of the cost of traditional solutions. Decentralization of video processing is accomplished by distributing the transcoding process to a network of node operators. Transcoding is an essential step in ensuring smooth delivery of video content to end users. It involves taking raw video files and converting them to the optimal state for each end user, based on factors such as device screen size or internet connection.
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Что делать с долларом сегодня

Что делать с долларом сегодня
Сегодня в России для россиян доллар становится очень токсичной валютой. То есть им (долларом) тяжело владеть, если ты владеешь им, то на тебя накладывают различные комиссии, вы наверное уже в курсе, что есть комиссия за хранение валюты на брокерских счетах, на банковских счетах, блокируют swift переводы и так далее. В чём главная опасность? И почему банки сейчас так выжимают людей из доллара? Главная опасность в возможной блокировке российских банков, а точнее корреспондентских счетов российских банков в иностранных банках. Что это такое? В чём суть?
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What Are Nodes?

What Are Nodes?
The definition of a node may vary according to the context. When it comes to computer or telecommunication networks, nodes may act either as a redistribution point or as a communication endpoint. Usually, a node consists of a physical network device, but there are some cases where virtual nodes are used.
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Coin Mixing and CoinJoins Explained

Coin Mixing and CoinJoins Explained
Bitcoin is often referred to as digital cash, but this is a questionable comparison. If Alice pays Bob ten dollars in cash, Bob has no idea where the money came from. If he later goes on to give it to Carol, she will be unable to deduce that Alice was once in possession of it. Bitcoin is different because of its inherent public nature. The history of a given coin (more precisely, an unspent transaction output or UTXO) can be trivially observed by anyone. It’s a bit like writing the transaction amount and names of participants on a bill every time it’s used.
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What Is Anti-Money Laundering (AML)?

What Is Anti-Money Laundering (AML)?
AML regulations attempt to stop the illegal laundering of illicit funds. Individual governments and multinational organizations like the FATF legislate against money laundering activities. Money laundering takes “dirty” money and turns it into clean money. This can be done by disguising the origins of the funds, mixing them with legitimate transactions, or investing them into legal assets.
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What Are Crypto Cards and How Do They Work?

What Are Crypto Cards and How Do They Work?
A typical crypto card lets you earn crypto rewards or instantly convert your crypto to fiat currency to pay for goods and services. Both Mastercard and Visa issue crypto cards, meaning you can use your crypto in millions of locations globally. A prepaid crypto card is similar to a debit card in that it has to be pre-loaded with crypto to spend. You can get a crypto card from a licensed issuer such as a crypto exchange or bank. However, crypto cards aren't without risk. Your funds stored on the card can still lose their market value, and any transactions you make with your card are likely to be taxable.
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What Is Play-to-Earn and How to Cash Out?

What Is Play-to-Earn and How to Cash Out?
Play-to-earn games allow users to farm or collect crypto and NFTs that can be sold on the market. By playing the game regularly, each player can earn more items or tokens to sell and generate an income. Some players have even begun to supplement or replace their salaries playing these blockchain games. However, such activity involves risk, as you typically need to put up an initial investment to purchase characters and items to play the game. Blockchain helps guarantee the collectibility of these items and create working digital economies. Blockchain technology and NFTs allowed for the creation of digital items that are impossible to duplicate. This created the concept of digital scarcity.
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What Is Uniswap and How Does It Work?

What Is Uniswap and How Does It Work?
Uniswap is a set of computer programs that run on the Ethereum blockchain and allow for decentralized token swaps. It works with the help of unicorns (as illustrated by their logo). Traders can exchange Ethereum tokens on Uniswap without having to trust anyone with their funds. Meanwhile, anyone can lend their crypto to special reserves called liquidity pools. In exchange for providing money to these pools, they earn fees. How do these magical unicorns convert one token to the other? What do you need to use Uniswap? Let’s read on.
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Mining Pools Explained

Mining Pools Explained
Mining is integral to the security of Proof of Work blockchains. By computing hashes with certain properties, participants are able to secure cryptocurrency networks without the need for a central authority. When Bitcoin first launched in 2009, anyone with a regular PC could compete with other miners to guess a valid hash for the next block. That’s because the mining difficulty was low. There wasn’t much hash rate on the network. As such, you didn’t need specialized hardware to add new blocks to the blockchain.
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Who Is Satoshi Nakamoto?

Who Is Satoshi Nakamoto?
Satoshi Nakamoto is the pseudonym behind the development of Bitcoin and the authorship of the original Bitcoin whitepaper. The question “who is Satoshi Nakamoto?” has led to speculation of their true identity as well as people falsely claiming they are Satoshi Nakamoto. The creator of Bitcoin has been clouded in mystery for more than a decade. However, it’s clear that Satoshi still owns bitcoins since their public keys were traced from the genesis block, which Satoshi mined.
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What Is Cryptocurrency Mining?

What Is Cryptocurrency Mining?
Cryptocurrency mining refers to the process of verifying and validating blockchain transactions. It’s also the process that creates new units of cryptocurrencies. The work done by miners requires intensive computational resources, but it’s what keeps a blockchain network secure. Honest and successful miners are rewarded for their work with newly created cryptocurrencies plus transaction fees.
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A Quick Guide to Binance Dual Investment

A Quick Guide to Binance Dual Investment
We all know that to get a return on an investment, we need to buy low and sell high. Investing in cryptocurrency is no different. Binance Dual Investment provides a great way to seize Buy Low and Sell High opportunities while also providing you with additional returns. Let’s dive into how it works and exactly how you can get started.
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Hybrid PoW/PoS Consensus Explained

Hybrid PoW/PoS Consensus Explained
A blockchain’s consensus mechanism serves to ensure that there is agreement among participants on the current state of the blockchain. The consensus mechanism determines who is able to add new blocks of transactions, and one of its primary aims is to ensure that the chain is not re-written.
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Your Guide to Binance Earn

Your Guide to Binance Earn
Not interested in trading but still looking to increase your crypto holdings? Is the 0.05% interest your local bank offers on your savings account not exciting enough? Well, you’ll find alternative choices within the Binance Earn product suite. Binance Earn is your crypto savings account. Here, you’ll find a great variety of options for earning passive income with your crypto holdings.
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Delegated Proof of Stake Explained

Delegated Proof of Stake Explained
The Delegated Proof of Stake (DPoS) consensus algorithm is considered by many as a more efficient and democratic version of the preceding PoS mechanism. Both PoS and DPoS are used as an alternative to the Proof of Work consensus algorithm, since a PoW system requires, by design, lots of external resources. The Proof of Work algorithm makes use of a large amount of computational work in order to secure an immutable, decentralized and transparent distributed ledger. Contrarily, PoS and DPoS require fewer resources and are, by design, more sustainable and eco-friendly. To understand how Delegated Proof of Stake works, one must first grasp the basics of the Proof of Work and Proof of Stake algorithms that preceded it.
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Proof of Burn Explained

Proof of Burn Explained
While most blockchain systems either make use of a Proof of Work (PoW) or a Proof of Stake (PoS) consensus algorithm, the Proof of Burn (PoB) is being tested as a possible alternative to those.
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Proof of Authority Explained

Proof of Authority Explained
The cryptocurrency space has changed a lot since the first blockchain transaction on the Bitcoin network. Along with the well-known Proof of Work and Proof of Stake algorithms, other consensus mechanisms were proposed, with alternative methods for reaching consensus within a blockchain system.
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What Is a DoS Attack?

What Is a DoS Attack?
In short, a DoS attack (or Denial-of-Service attack) is a method used to disrupt legitimate users' access to a target network or web resource. Typically, this is accomplished by overloading the target (often a web server) with a massive amount of traffic - or by sending malicious requests that cause the target resource to malfunction or crash entirely.
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What Is a 51% Attack?

What Is a 51% Attack?
Before diving into the 51% attack, it is crucial to have a good understanding of mining and blockchain-based systems. One of the key strengths of Bitcoin and its underlying blockchain technology is the distributed nature of building and verifying data. The decentralized work of the nodes ensures that the protocol rules are being followed and that all network participants agree on the current state of the blockchain. This means that the majority of nodes need to regularly reach consensus in regards to the process of mining, to the version of the software being used, to the validity of transactions, and so forth.
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Delayed Proof of Work Explained

Delayed Proof of Work Explained
Delayed Proof of Work (dPoW) is a security mechanism designed by the Komodo project. It is basically a modified version of the Proof of Work (PoW) consensus algorithm that makes use of Bitcoin blockchain’s hashpower as a way to enhance network security. By using dPoW, Komodo developers are able to secure not only their own network but also any third-party chain that ends up joining the Komodo ecosystem in the future. In fact, dPoW can be implemented for any project that develops an independent blockchain using a UTXO model.
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What Is a Blockchain Consensus Algorithm?

What Is a Blockchain Consensus Algorithm?
A consensus algorithm is a mechanism that allows users or machines to coordinate in a distributed setting. It needs to ensure that all agents in the system can agree on a single source of truth, even if some agents fail. In other words, the system must be fault-tolerant (see also - Byzantine Fault Tolerance Explained). In a centralized setup, a single entity has power over the system. In most cases, they can make changes as they please – there isn’t some complex governance system for reaching consensus amongst many administrators.
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5 BSC Metaverse Projects You Should Know

5 BSC Metaverse Projects You Should Know
The metaverse is an online, immersive space where users can work, play, and socialize in a 3D environment. The metaverse is still developing, but blockchain technology already plays a significant role. BNB Smart Chain (BSC) is the home to many metaverse projects experimenting with play-to-earn blockchain games and community sandboxes.decentral.games lets users play and run their own casino through governance mechanisms. Cyber Dragon and Alien Worlds both provide an RPG-like experience where players have their own character, missions, and loot. TopGoal is also gaming-related but focuses on the collectability of Non-Fungible Tokens (NFTs) to represent sports stars like trading cards.
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A Beginner's Guide to Earning Passive Income With Crypto

A Beginner's Guide to Earning Passive Income With Crypto
Trading or investing in projects is one way to make money in the blockchain industry. However, that typically requires detailed research and a substantial investment of time – but it still won’t guarantee a reliable source of income. Even the best investors can experience prolonged periods of loss, and one of the ways to survive them is to have alternative sources of income.
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What Is Crypto Lending and How Does It Work?

What Is Crypto Lending and How Does It Work?
Crypto lending lets users borrow and lend cryptocurrencies for a fee or interest. You can instantly get a loan and start investing just by providing some collateral. This could be through a DeFi lending DApp or a cryptocurrency exchange. When your collateral falls below a certain value, you will need to top it up to the required level to avoid liquidation. When you return your loan plus a fee, your capital is unlocked.
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A Beginner's Guide to Decentralized Finance (DeFi)

A Beginner's Guide to Decentralized Finance (DeFi)
DeFi lets users access crypto financial services with just no more than a wallet with some crypto. A range of DApps facilitates lending, liquidity provision, swaps, staking, and more across many blockchains. While Ethereum was DeFi's original home, most blockchains with smart contract capabilities now host DeFi DApps. Smart contracts are essential to the services DeFi offers, which include staking, investing, lending, harvesting, and more.
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5 NFT Projects You Should Know

5 NFT Projects You Should Know
The interest in NFTs has exploded. While many NFT projects had a small community of enthusiasts since their early existence, 2021 has brought forth a bit of an NFT bubble. Many thought DeFi would bring mainstream adoption to the crypto space. However, it seems like the value proposition of NFTs is much easier to grasp for people not involved with blockchain technology. As such, some NFT projects have even entered the mainstream. But which ones are they?
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Top 3 NFT Projects on Binance Smart Chain

Top 3 NFT Projects on Binance Smart Chain
The demand for non-fungible tokens (NFTs) keeps growing on Binance Smart Chain (BSC). The blockchain’s speed and low transaction fees make it very attractive for both users and developers. On BSC, Battle Pets, PancakeSwap, and BakerySwap have all pushed further the limits of what an NFT can do. Both Battle Pets and BakerySwap combine collectibles with Decentralized Finance (DeFi) staking for their tokens. PancakeSwap is also experimenting with NFTs that merge collectability, financial utility, and gamification.
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Top 7 NFT Use Cases

Top 7 NFT Use Cases
Massive interest in non-fungible tokens has led to a boom in crypto-collectibles and NFT art. These are two of the most prominent use cases in the DeFi ecosystem, but they aren’t the only applications. Scarcity and uniqueness make non-fungible tokens a good match for real-world assets, logistics, music royalties, and more. As NFTs mature, we can expect to see further adoption of more experimental use cases.
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What Are NFT Games and How Do They Work?

What Are NFT Games and How Do They Work?
NFTs are unique digital collectibles on the blockchain. This feature makes them suitable to use in games as representations as characters, consumables, and other tradeable items. NFT games have become popular in the Game-fi world as a way to earn income. You can sell your in-game NFTs to other collectors and players and even earn tokens with play-to-earn models.
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What Is the Metaverse?

What Is the Metaverse?
The metaverse is a concept of a persistent, online, 3D universe that combines multiple different virtual spaces. You can think of it as a future iteration of the internet. The metaverse will allow users to work, meet, game, and socialize together in these 3D spaces.
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What Are CryptoPunks?

What Are CryptoPunks?
CryptoPunks are collectible pieces of crypto art, represented by NFTs on the Ethereum blockchain. There are 10,000 small, 8-bit-style punks, all with unique features. As one of the first famous NFT projects, they inspired a lot of crypto artists and even the development of the ERC-721 token standard for digital collectibles. The project became more popular in 2021 after some CryptoPunks were sold for millions of dollars, making them some of the most expensive NFTs.
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What Is an Automated Market Maker (AMM)?

What Is an Automated Market Maker (AMM)?
You could think of an automated market maker as a robot that’s always willing to quote you a price between two assets. Some use a simple formula like Uniswap, while Curve, Balancer and others use more complicated ones.
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A Guide to Crypto Collectibles and Non-fungible Tokens (NFTs)

A Guide to Crypto Collectibles and Non-fungible Tokens (NFTs)
The creation of Bitcoin introduced the concept of trustless, digital scarcity. Before it, the cost of digitally copying something was next to nothing. With the advent of blockchain technology, programmable digital scarcity has become possible – letting us map the digital world to the real world. Non-fungible tokens (NFTs), often referred to as crypto collectibles, expand this idea. Unlike cryptocurrencies, where each token is equal, non-fungible tokens are unique and limited in quantity.
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Decentralized Autonomous Organizations (DAOs) Explained

Decentralized Autonomous Organizations (DAOs) Explained
Blockchains are already radically transforming our financial system. However, properties such as trustlessness and immutability aren’t only useful in monetary applications. Another potential candidate ripe for disruption by this technology is governance. Blockchains could enable entirely new types of organizations that can run autonomously without the need for coordination by a central entity. This article will give an introduction to what these organizations might look like.
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A Beginner's Introduction to Cryptoeconomics

A Beginner's Introduction to Cryptoeconomics
In simple terms, cryptoeconomics provides a way to coordinate the behavior of network participants by combining cryptography with economics. More specifically, cryptoeconomics is an area of computer science that attempts to solve participant coordination problems in digital ecosystems through cryptography and economic incentives.
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Pyramid and Ponzi Schemes

Pyramid and Ponzi Schemes
Most individuals that invest in Bitcoin – or that participate in Initial Coin Offering (ICO) events – are usually concerned about two things. First, the Return of Investment (ROI), which represents the profits they will eventually make from the initial investment. Then, there is a second concern, which is related to the amount of risk involved with the investment. When the risks are too high, investors are more likely to lose their initial investment (in parts or completely), which would result in a negative ROI.
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What is Public Key Cryptography?

What is Public Key Cryptography?
Public key cryptography (PKC), also known as asymmetric cryptography, is a framework that uses both a private and a public key, as opposed to the single key used in symmetric cryptography. The use of key pairs gives PKC a unique set of characteristics and capabilities that can be utilized to solve challenges inherent in other cryptographic techniques. This form of cryptography has become an important element of modern computer security, as well as a critical component of the growing cryptocurrency ecosystem.
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History of Cryptography

History of Cryptography
Cryptography, the science of writing codes and ciphers for secure communication, is one of the most important elements that goes into making modern cryptocurrencies and blockchains possible. The cryptographic techniques used today, however, are the result of an incredibly long history of development. Since ancient times, people have used cryptography to transmit information in a secure manner. Following is the fascinating history of cryptography that has led up to the advanced and sophisticated methods used for modern digital encryption.
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What Is Axie Infinity (AXS)?

What Is Axie Infinity (AXS)?
It’s 2021, and that means you can earn money by playing games and breeding virtual pets. An easy way to think of Axie Infinity is to imagine a blockchain game that combines Pokémon, CryptoKitties, and card game elements.
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Is Bitcoin a Store of Value?

When you think of a safe-haven asset, precious metals like gold or silver probably come to mind. They’re investments that individuals flock to as hedges against turmoil in traditional markets. The debate over whether Bitcoin follows in the footsteps of these assets rages on. In this article, we’ll look at some of the main arguments for and against Bitcoin being a store of value.
When you think of a safe-haven asset, precious metals like gold or silver probably come to mind. They’re investments that individuals flock to as hedges against turmoil in traditional markets. The debate over whether Bitcoin follows in the footsteps of these assets rages on. In this article, we’ll look at some of the main arguments for and against Bitcoin being a store of value.
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What Is VeChain (VET)?

What Is VeChain (VET)?
VeChain provides blockchain solutions for businesses around the globe. With plenty of existing industry blockchain applications from supply chain management to anti-counterfeiting and carbon credits, their systems have been proven in the real world. VET is the coin that underpins VeChain, where VTHO is the gas token that’s used for transactions on the VeChainThor blockchain (like Ethereum’s gas).
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Приготовьтесь! Биткойн будут сливать, но это не точно

Приготовьтесь! Биткойн будут сливать, но это не точно
Только что в Twitter наткнулся на пост от Jacob Canfield, якобы есть инсайдерская информация, о том что Bitcoin планируют сливать, дабы выбить некоторых конкурентов, потом обратно откупить, подняв стоимость до $70к.
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More about the Crypto Fans club

More about the Crypto Fans club
Now I will tell you what our club is, how it works and what advantages it has. A minimum of water, a maximum of specifics. The club is a kind of trust fund, which consists of a team of Asset Managers, on the one hand, who invest in the crypto market, and Investors, on the other. I will not describe in this article what cryptocurrency is, why it is growing, and what are its advantages, this topic is worthy of a separate article. You can google all this, or go to coinmarketcap.com and see how the value of a particular cryptocurrency has grown at least this year, and doubts about investing in cryptocurrency should disappear.
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What Is The Sandbox (SAND)?

What Is The Sandbox (SAND)?
The Sandbox is a play-to-earn game that combines blockchain technology, DeFi, and NFTs in a 3D metaverse. Its virtual world allows players to create and customize their games and digital assets with free design tools. The virtual goods created can then be monetized as NFTs and sold for SAND tokens on The Sandbox Marketplace.
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What Is Tether (USDT)?

What Is Tether (USDT)?
Tether (USDT) is one of the most popular stablecoins out there. It was designed to hold a one-to-one value with the US dollar. The coin exists on many different blockchains and has experienced rising trading volumes and improved liquidity over the past few years.
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What Is Solana (SOL)?

What Is Solana (SOL)?
Solana is a blockchain network focused on fast transactions and high throughput. It uses a unique method of ordering transactions to improve its speed. Users can pay their transaction fees and interact with smart contracts with SOL, the network’s native cryptocurrency.
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What Is Polkadot (DOT)?

What Is Polkadot (DOT)?
Polkadot positions itself as the next-generation blockchain protocol, capable of connecting multiple specialized chains into one universal network. With a strong focus on building infrastructure for Web 3.0 – and founded by the Web3 Foundation – Polkadot aims to disrupt Internet monopolies and empower individual users.
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What Is Harmony (ONE)?

What Is Harmony (ONE)?
Harmony is a layer-1 blockchain using sharding and Effective Proof of Stake to achieve scalability, security, and decentralization. The network was launched in 2019 and features trustless cross-chain bridges and four shards, which process transactions in parallel. Effective Proof of Stake encourages decentralization of validators, and sharding shares the network's load among validators, delegators, and users.
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What Is Filecoin (FIL)?

What Is Filecoin (FIL)?
FFilecoin is a decentralized, peer-to-peer digital storage marketplace using blockchain technology. It’s built on top of InterPlanetary File System (IPFS) and allows users to rent unused hard disk space and earn FIL tokens in return. Let’s see how Filecoin aims to shake up the online storage space.
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What Is Decentraland (MANA)?

What Is Decentraland (MANA)?
Decentraland is a virtual world and community based on blockchain technology. Users develop and own plots of land, artwork, and Non-Fungible Tokens (NFT). Members also participate in the platform’s Decentralized Autonomous Organization (DAO).
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What Is Ethereum 2.0 And Why Does It Matter?

What Is Ethereum 2.0 And Why Does It Matter?
Ethereum 2.0 is a long-awaited upgrade to the Ethereum (ETH) network that’s promised significant improvements to the functionality and experience of the network as a whole. Some of the more notable upgrades include a shift to Proof of Stake (PoS), shard chains, and a new blockchain at the core called the beacon chain. All of this and more is expected to be phased in through a carefully planned roadmap.
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What Is BUSD?

What Is BUSD?
BUSD is a regulated, fiat-backed stablecoin pegged to the U.S. dollar. For every unit of BUSD, there is one U.S. dollar held in reserve. In other words, the supply of BUSD is pegged to the U.S. dollar at a 1:1 ratio. Holders can swap their tokens for fiat and vice versa. Paxos, the token’s issuer, releases monthly attestations of BUSD’s reserves.
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What Is Avalanche (AVAX)?

What Is Avalanche (AVAX)?
Avalanche attempts to improve scalability without compromising speed or decentralization. Three blockchains make up its core platform - the Exchange Chain (X-Chain), Contract Chain (C-Chain), and Platform Chain (P-Chain). The X-Chain is used for creating and trading assets. The C-Chain is for smart contract creation. The P-Chain is for coordinating validators and Subnets.
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What Are Wrapped Tokens?

What Are Wrapped Tokens?
A wrapped token is a cryptocurrency token pegged to the value of another crypto. It’s called a wrapped token because the original asset is put in a wrapper, a kind of digital vault that allows the wrapped version to be created on another blockchain.
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What Is a Stablecoin?

What Is a Stablecoin?
A stablecoin is a cryptoasset pegged to another asset, such as fiat currencies or precious metals. Stablecoins are designed to maintain a relatively stable price so that users can avoid the volatility risks common in the crypto markets.
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Tokenized Bitcoin on Ethereum Explained

Tokenized Bitcoin on Ethereum Explained
Tokenized Bitcoin is a way to use bitcoin on other blockchains. But wait, isn’t Bitcoin great already? Indeed it is! It has a solid use case, and it already acts as a kind of public good. At the same time, its purposely limited features leave little room for further innovation.
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How to Use WalletConnect

WalletConnect is a protocol used by many crypto wallets that allows you to easily connect with the many DApps of decentralized finance (DeFi). Simply find the DApp you want to interact with, connect with a QR code or deep link, and you’re good to go. Always remember to disconnect at the end of any session for maximum security
WalletConnect is a protocol used by many crypto wallets that allows you to easily connect with the many DApps of decentralized finance (DeFi). Simply find the DApp you want to interact with, connect with a QR code or deep link, and you’re good to go. Always remember to disconnect at the end of any session for maximum security
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What Is Ethereum? (ETH)

Ethereum is a decentralized computing platform. You can think of it like a laptop or PC, but it doesn't run on a single device. Instead, it simultaneously runs on thousands of machines around the world, meaning that it has no owner.
Ethereum is a decentralized computing platform. You can think of it like a laptop or PC, but it doesn't run on a single device. Instead, it simultaneously runs on thousands of machines around the world, meaning that it has no owner.
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What Is Bitcoin (BTC)

Bitcoin is a digital form of cash. But unlike the fiat currencies you’re used to, there is no central bank controlling it.
Bitcoin is a digital form of cash. But unlike the fiat currencies you’re used to, there is no central bank controlling it. Instead, the financial system in Bitcoin is run by thousands of computers distributed around the world. Anyone can participate in the ecosystem by downloading open-source software.
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How to Use MetaMask

If you’re interested in the Ethereum ecosystem, you need an application like MetaMask. Far more than a simple wallet, it allows you to interact with websites that integrate Ethereum.
If you’re interested in the Ethereum ecosystem, you need an application like MetaMask. Far more than a simple wallet, it allows you to interact with websites that integrate Ethereum.
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A Beginner's Guide to Bitcoin's Lightning Network

A Beginner's Guide to Bitcoin's Lightning Network
Cryptocurrencies have some pretty unique properties. They can’t be hacked or shut down easily, and anyone can use them to transmit value around the globe without a third party’s intervention. To ensure that these features remain, significant trade-offs must be made. Since many nodes are responsible for running a cryptocurrency network, throughput is limited. As a result, the number of transactions per second (TPS) a blockchain network can process is relatively low for a technology that aims to be adopted by the masses.
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What is Fundamental Analysis (FA)?

What is Fundamental Analysis (FA)?
When it comes to trading – whether you’re dealing with century-old stocks or nascent cryptocurrencies – there’s no exact science involved. Or, if there is, Wall Street’s top players ensure that the formula remains a well-kept secret.
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History of Blockchain

The underlying technology behind cryptocurrencies is the blockchain. It allows every client in the network to reach consensus without ever having to trust each other.
The underlying technology behind cryptocurrencies is the blockchain. It allows every client in the network to reach consensus without ever having to trust each other.
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How Does Blockchain Work?

In short, a blockchain is a list of data records that works as a decentralized digital ledger. The data is organized into blocks, which are chronologically arranged and secured by cryptography.
In short, a blockchain is a list of data records that works as a decentralized digital ledger. The data is organized into blocks, which are chronologically arranged and secured by cryptography.
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What Is MakerDAO (DAI)?

What Is MakerDAO (DAI)?
MakerDAO is a Decentralized Finance (DeFi) project with a crypto-collateralized, stablecoin DAI pegged to the US dollar. Its community manages the coin via a Decentralized Autonomous Organization (DAO). Users generate DAI by locking cryptocurrency in a Maker Vault at a certain Liquidation Ratio. For example, a 125% Liquidation Ratio requires $1.25 of crypto collateral value for each $1 of DAI.
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What Is a Crypto Wallet?

In short, a crypto wallet is a tool that you can use to interact with a blockchain network. There are various crypto wallet types, which can be divided into three groups - software, hardware, and paper wallets. Depending on their working mechanisms, they may also be referred to as hot or cold wallets.
In short, a crypto wallet is a tool that you can use to interact with a blockchain network. There are various crypto wallet types, which can be divided into three groups - software, hardware, and paper wallets. Depending on their working mechanisms, they may also be referred to as hot or cold wallets.
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What Is Tulip Mania?

The Tulip Mania is considered by many as the first recorded story of a financial bubble, which supposedly occurred in the 1600s. Before discussing if the Tulip Mania was really a financial bubble or not, let’s go through the most common narrative that considers it to be a real bubble.
The Tulip Mania is considered by many as the first recorded story of a financial bubble, which supposedly occurred in the 1600s. Before discussing if the Tulip Mania was really a financial bubble or not, let’s go through the most common narrative that considers it to be a real bubble.
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What Is Technical Analysis?

What Is Technical Analysis?
Technical analysis (TA), often referred to as charting, is a type of analysis that aims to predict future market behavior based on previous price action and volume data. The TA approach is extensively applied to stocks and other assets in traditional financial markets, but it is also an integral component of trading digital currencies in the cryptocurrency market.
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What Is Staking?

What Is Staking?
You may think of staking as a less resource-intensive alternative to mining. It involves holding funds in a cryptocurrency wallet to support the security and operations of a blockchain network. Simply put, staking is the act of locking cryptocurrencies to receive rewards.
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What Is Phishing?

What Is Phishing?
Phishing is a type of cyber attack where a malicious actor poses as a reputable entity or business in order to deceive people and collect their sensitive information - such as credit card details, usernames, passwords, and so forth. Since phishing involves psychological manipulation and relies on human failures (instead of hardware or software) it is considered a type of social engineering attack.
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What Is Inflation?

Ever hear your grandmother talk about how everything was cheaper when she was younger? That’s because of inflation. It’s caused by irregularities in supply and demand for products and services, leading to an increase in prices.
Ever hear your grandmother talk about how everything was cheaper when she was younger? That’s because of inflation. It’s caused by irregularities in supply and demand for products and services, leading to an increase in prices.
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What Is Hyperinflation?

All economies experience some level of inflation, which occurs when the average price of goods increases, as the purchasing power of that currency decreases. Usually, governments and financial institutions work together to ensure inflation occurs at a smooth and gradual rate. However, there have been many instances in history where inflation rates have accelerated at such an unprecedented degree that it caused the real value of that country's currency to be diminished in alarming proportions. This accelerated rate of inflation is what we call hyperinflation.
All economies experience some level of inflation, which occurs when the average price of goods increases, as the purchasing power of that currency decreases. Usually, governments and financial institutions work together to ensure inflation occurs at a smooth and gradual rate. However, there have been many instances in history where inflation rates have accelerated at such an unprecedented degree that it caused the real value of that country's currency to be diminished in alarming proportions. This accelerated rate of inflation is what we call hyperinflation.
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What Is Hashing?

What Is Hashing?
Hashing refers to the process of generating a fixed-size output from an input of variable size. This is done through the use of mathematical formulas known as hash functions (implemented as hashing algorithms).
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