Blockchain and crypto have made an incredible impact on our world. Blockchain technology is disrupting the traditional financial system by helping to rethink our structures for digital identities, and only a few ever considered investing in bitcoin until 2013. Mainstream blockchain technology has led to the explosion of many more Initial Coin Offerings (ICOs) and blockchain companies, reaching the public's attention. Something in this industry can impact your life within the next ten years, from lower prices to faster transactions. Blockchain can make global commerce more efficient, secure, and transparent. The technology behind it is distributed ledger technology (DLT), which has been used for many years under different names in several industries, including healthcare and banking. Overview of the Top 10 Blockchain Platforms for 2023 Several companies and organizations are working on and growing DLT projects in 2023; here, we have identified 10 of the top blockchain platforms that should prove helpful to you when learning about this exciting technology. Ethereum Ethereum is a platform that utilizes the blockchain and allows developers to build decentralized applications (dApps), smart contracts, NFTs, cryptocurrencies, and more. Created in 2015, Ethereum has become one of the most popular blockchain platforms, operating on a decentralized, peer-to-peer network that provides secure and transparent transactions. Ethereum uses its programming language, Solidity, to write and execute smart contracts and dApps that run on its network, which operates on a proof-of-work consensus mechanism. Ethereum's token, Ether (ETH), is used to pay for transactions and computational services. The platform hosts decentralized finance (DeFi) applications and prediction markets with various use cases. Its actively developed and improved, making it a leading platform in the blockchain space. IBM Blockchain Platform IBM Blockchain Platform is a fully integrated enterprise-grade blockchain platform built on the Hyperledger Fabric blockchain framework. It provides a complete solution for developing, deploying, and managing secure blockchain networks, with features like high performance, flexible network membership, and strong privacy. It also includes tools for managing network administration and smart contract development and a user-friendly interface for monitoring network activity and managing transactions. The IBM Blockchain Platform enhances various industries, including financial services, supply chain management, and healthcare. Hyperledger Fabric Hyperledger Fabric is a "permissioned" blockchain platform for developing applications using smart contracts and distributed ledger technology. Released by the Linux Foundation in 2016, and provides a platform for developers to build trusted applications for enterprise-level scenarios. Its modular design allows full use of the processing chain through tools such as chain code protocols and an encryption model based on consensus mechanisms. Hyperledger Sawtooth Hyperledger Sawtooth is an open-source blockchain platform developed by the Linux Foundation for the Hyperledger project. It is designed for flexibility and scalability, offering unique consensus algorithms and customizable architecture for various use cases. Sawtooth is well-suited for enterprise applications and provides features like permissions, smart contract execution, and support for multiple programming languages. The supply chain and digital asset management industries commonly use Hyperledger Sawtooth. Corda Corda is an open-source blockchain platform for businesses to manage and execute financial transactions. R3 developed Corda, a consortium of more than 200 financial institutions, and provides a secure, private, and scalable solution for sharing data and processing transactions between organizations. Corda is based on blockchain technology and uses smart contracts to enforce the terms of an agreement. Still, it differs from traditional blockchains in that it only shares data with parties with a legitimate need to know. This feature allows Corda to offer improved privacy and security compared to public blockchains. Stellar Stellar is an open-source blockchain platform designed to provide a decentralized platform for fast and affordable cross-border transactions of digital assets. The platform operates on the Stellar Consensus Protocol for efficient and secure transactions and supports smart contracts. Stellar prioritizes accessibility and inclusion, making cross-border transactions possible for individuals and financial institutions, even in developing countries. The network is also known for its strong security measures, including preventing double-spending and advanced encryption for privacy protection. Stellar is a versatile platform focusing on accessibility, security, and affordability for financial institutions, developers, and individuals. Polkadot Polkadot is an open-source project that seeks to transform blockchain by introducing more complexity into its infrastructure. It enables users to create sidechains that operate as independent networks governed by the parent chain. Sidechains give participants control over their private networks while benefiting from the safeguards provided by public ledgers like the Bitcoin blockchain network. Ripple Ripple is an open-source protocol designed to facilitate peer-to-peer transactions and support virtual currency payments between individuals and institutions worldwide without the need for intermediaries or manual management by regulators. Ripple uses its distributed ledger technology for compliance tracking. It allows efficient transfers in any fiat currency through its XRP token or other currency formats like USD or EUR using settlement options like SWIFTNET or SEPA transfers. Quorum Quorum is a blockchain platform based on Ethereum, explicitly designed for business use. Its focus on scalability and security, such as private state blocks, allows for flexible data sharing among partners with the option for public data visibility, all while meeting global privacy requirements. This privacy option makes it ideal for financial services companies looking to use cutting-edge technology while complying with industry regulations. The platform has ready-made features like smart contracts, token storage, and custom UI designs. A team of experienced database administrators and blockchain experts also maintains it. Quorum supports decentralized cloud computing and has a private consensus mechanism, making it a good choice for large companies and multinational consortiums. The platform continually improves through audits and new protocol updates and supports high-throughput fintech applications and NFTs. Avalanche Avalanche is a decentralized platform that allows developers to build applications on existing blockchains with minimal user fees quickly. Avalanche also has a consensus process that only requires some nodes in the network to have synchronous information. Its team pushes for further innovation through validator clients and upgradeable logic modules. This platform has great potential for increased adoption, improved stability, and reduced risk for asset investors. Conclusion In conclusion, blockchain technology has come a long way and is constantly evolving to meet the changing needs of businesses and individuals. The top 10 blockchain platforms for 2023 are analyzed and evaluated, considering security, scalability, and adaptability factors. The above list shows that each platform has its strengths and weaknesses, and the right choice ultimately depends on your specific business needs and goals. As the world continues to embrace this innovative technology, the possibilities and opportunities are endless. As you make your next power move in the blockchain world, it is essential to carefully evaluate the available platforms and choose the one that aligns with your vision and mission. So, how can you leverage the power of blockchain to disrupt your industry and drive growth for your business? Follow my Twitter @JoyyuanWeb3 to learn about the trends of Blockchain, Crypto, Metaverse, and Web3!

The goal of the Ripple money transfer network is to meet the needs of the existing financial services industry. The native cryptocurrency token of the Ripple network is called XRP, and it consistently ranks in the top ten by demand capitalization. The firm behind XRP is called Ripple, and it operates a network for trading currencies and a system for payment agreements. What is XRP The cryptocurrency XRP serves as Ripple's native token. Like other cryptocurrencies on the market, XRP has a currency regulation similar to Ethereum's Ether (ETH). The Ripple team introduced the XRP tally in 2012, which featured XRP, which would act as the native token. The development of XRP primarily improves currency exchange and international financial transactions. Compared to most other cryptocurrencies, the XRP blockchain runs slightly differently. Some other cryptocurrencies allow anyone who can quickly solve complex equations with computing equipment to participate in the blockchain verification processes. Transactions are secure yet are only added to the blockchain if the network participant agrees with the verification. The Ripple network of XRP employs an agreement mechanism and graciously centralizes impacts. Although anybody may utilize its confirmation software, it also keeps a specific node list from which users can choose to confirm their transactions according to which actors they believe to have the lowest likelihood of defrauding them. Crucial implications The native coin of Ripple, created in 2011 by Jed McCaleb and Chris Larsen, is called XRP. There are 100 billion XRP tokens in circulation, and they were pre-mined. Transactions on the XRP ledger (XRPL), a decentralized, open-source blockchain, are made possible via the Ripple transaction protocol (RTXP). Compared to bitcoin, XRP is more efficient, quicker for transactions, ecological, and scalable. How does Ripple XRP work Ripple Net, Ripple's blockchain service, aims to provide banks with rapid, affordable, and straightforward cross-border transactions. Ripple is a viable alternative to the Society for Worldwide Interbank Fiscal Telecommunication (SWIFT), the most widely utilized international payments system. The XRP cryptocurrency uses a multi-server agreement system owned by banks to verify transactions. By comparing proposed agreements to the most current interpretation of the XRP Ledger, validators confirm that the deals are legitimate. A transaction needs to be approved by the validators for confirmation. Ripple Net offers a wide range of cross-border payment outcomes for enterprises and monetary institutions. Advantages of Ripple XRP A peer-to-peer trust network is the simple definition of the initial concept of XRP from the beginning. According to Ripple, XRP is a more rapidly, affordably, and energy-efficient digital currency than some of its rival cryptocurrencies. It can complete transactions in only a few seconds and uses less energy overall. Transaction confirmations happen rather quickly. In contrast to the days banks could need to complete a wire transfer or the seconds or even hours it might take for Bitcoin transactions to be confirmed, they typically take four to five seconds. On the Ripple network, a transaction only costs 0.00001 XRP, or around one penny at current rates. Large businesses may also use Ripple as a platform for sales. Numerous companies, like Standard and Bank of America, use this network, proving that it has historically had higher institutional request relinquishment than the majority of cryptocurrencies. Which Top Banks use Ripple and why? The benefits of using Ripple XRP in the banking and Fintech industries are excellent. Today, Ripple XRP is a well-known trading platform many banks use worldwide. Here are several large banks that utilize Ripple XRP. Standard Charted Bank In 2016, Standard Chartered, a multinational banking and financial services company headquartered in London, England, joined the Ripple blockchain network. They began to implement xCurrent in 2016 but continued to trumpet the growth of the Ripple (XRP) Network. By the end of 2018, they want to offer cross-border payments for a further five pairs of nations. Still, the bank opted in November to use Ripple (XRP) to increase its influence and enter the $15 billion commerce corridor between India and Singapore. J.P. Morgan Chase Shockingly, this financial institution has ties to cryptocurrency, even with the CEO's tough stance against digital currencies. On the other hand, JP Morgan and Ripple partner with Al Fardan Exchange LLC, a financial institution based in the United Arab Emirates. The organization wants to quickly and inexpensively reuse cross-border payments via ripple net. Bank of America (USA) Bank of America (BofA), the second-largest bank in the United States in terms of asset value and one of the top 10 banks worldwide, has been collaborating with Ripple for a long time. In 2020 XRP and Bank of America began a public partnership. Several of BofA's senior directors were involved in building up Ripple Net's guidelines, along with its compliance standards for international payments. The bank is crucial to ensuring that Ripple XRP is functionally and legally compliant. Final Thoughts Adopting blockchain technology for global banking comes with many difficulties, but XRP is making strides with big financial players. The XRP blockchain has many applications, and many banks employ it because of its practical advantages. The use cases and demand for Ripple XRP should grow in the upcoming years. Considering significant improvements and direct competition to the SWIFT banking network, XRP could become a future standard for international bank payments. Follow my Twitter @JoyyuanWeb3 to learn about the trends of Blockchain, Crypto, Metaverse, and Web3!

Exploring the benefits of cryptocurrencies backed by real-world assets. We all know that feeling: you just got a new job, and you're getting settled in, but you're finding it challenging to learn the ins and outs of the industry. Cryptocurrencies are relatively the same—the sheer number of coins and tokens on the market can be daunting for the newcomer. There are layer-one blockchains, blue chips, utility coins, and pump-and-dump schemes. But there's one type of coin that every tried-and-true cryptocurrency investor has used. These cryptocurrencies are called "stablecoins." Stablecoins are a class of cryptocurrencies designed to provide stability and reduce volatility in the cryptocurrency market. They are becoming increasingly popular as they help mitigate market volatility risk. Let's dive into the world of stablecoins and explore how they work, what they are, and why they are gaining popularity. What are stablecoins? Stablecoins are a type of cryptocurrency pegged on a 1:1 basis to a stable asset, such as the US dollar or gold, to reduce volatility and provide stability to their value. For instance, if there are 1,000 of the stablecoin XYZ in circulation, the issuer of XYZ must hold $1,000 or more of an asset in their reserve, be it cash, other cryptocurrencies, commodities, or cash equivalents. Stablecoins provide a less volatile cryptocurrency than other cryptocurrencies, such as Bitcoin or Ethereum. You can think of stablecoins as digital tokens backed with fiat currencies like US dollars or other stable assets. They both retain their value as they're supported by a reserve: an entity (in this case, the government), precious metals, etc. Without a reserve asset, stablecoins and US dollars would hold no value. How do stablecoins work? Stablecoins operate by pegging themselves to an underlying asset and maintaining a reserve of the asset. For instance, a stablecoin pegged to the US dollar will have a reserve of US dollars to support its value. When the demand for the stablecoin increases, the price does not increase, but the reserve of underlying assets also increases, and vice versa. During market changes or economic fluctuations, this helps to maintain the stability of the stablecoin. Additionally, stablecoins can be traded on crypto exchanges and used for transactions, just like any other cryptocurrency. Types of stablecoins There are three main types of stablecoins: fiat-collateralized, crypto-collateralized, and algorithmic. Fiat-collateralized stablecoins Fiat-collateralized stablecoins have a fiat currency reserve backing, such as the US dollar, and the value of the stablecoin and the value of the underlying reserve are directly linked. The most popular fiat-backed stablecoins are USDT, USDC, and BUSD. USDT, also known as Tether, is the most popular stablecoin with a market cap of over $68 billion. Tether's assets are primarily held in cash or cash equivalents by its issuer, iFinex. Fiat-collateralized stablecoins are integral to merging traditional finance and banking with the cryptocurrency world. The fiat collateral is often locked up in the issuer's bank account, not in a smart contract like its crypto and algorithmic counterparts. Crypto-collateralized stablecoins Crypto-collateralized stablecoins have a reserve and backing of another cryptocurrency, such as Ethereum or Bitcoin. The value of the stablecoin and the underlying reserve are linked. Unlike fiat-collateralized stablecoins, in which the issuer keeps the reserves off-chain, crypto-collateralized stablecoins use smart contracts to lock up collateral tokens in exchange for issued stablecoins. In the pursuit of a completely decentralized financial ecosystem, DeFi traders, liquidity miners, and yield farmers use crypto-collateralized stablecoins such as MakerDAO (DAI) to keep the value of their profits. Algorithmic stablecoins Algorithmic stablecoins differ drastically from fiat- and crypto-collateralized stablecoins because their complex algorithms can use a burn/mint mechanism with a sister cryptocurrency to retain the stablecoin's value. Others use an elastic supply which algorithmically adjusts the total supply based on market supply and demand. For example, if the price of the cryptocurrency ABC sits at $4, a trader can issue or "mint" one stablecoin XYZ by "burning" or taking four ABCs out of circulation. In this case, XYZ is worth ¼ of ABC. Algorithmic stablecoins aimed to improve decentralization. However, time and time again, they prove to be a risky asset class. On May 7, 2022, the prominent algorithmic stablecoin Terra (UST) de-pegged and ultimately spiraled out of control due to the mass withdrawal of LUNA by a handful of wealthy UST holders. Why are stablecoins popular? Stablecoins have become increasingly popular due to their numerous use cases. For one, by providing stability in a relatively new and unregulated market known for its volatility, stablecoins offer an attractive and stable crypto asset class. Stablecoins are: A relatable currency without the inherent risk of losing value due to market fluctuations. Offering convenience for trading cryptocurrencies. Swapping tokens. Sending money internationally. The crypto community has embraced stablecoins to bring traditional finance into the cryptocurrency ecosystem. They provide a bridge between the conventional financial system and the crypto world, facilitating a seamless transfer between the two. Final Thoughts Stablecoins are a promising development in the world of cryptocurrency. They offer stability, versatility, and a bridge to the traditional financial system. Stablecoin transfers are instantaneous, sending funds across the globe in seconds. It provides an alternative option to wire transfers and other slower money transfer services. Market volatility risk mitigation is hard to ignore. Overall, stablecoins are a revolutionary technology that will evolve and grow for years. Follow my Twitter @JoyyuanWeb3 to learn about the trends of Blockchain, Crypto, Metaverse, and Web3!

Are you familiar with the term ChatGPT? If not, you are missing out on an exciting technology revolutionizing how we interact and use data. With increasing use cases and applications, ChatGPT is gathering momentum in many fields, especially in blockchain technology. ChatGPT is a powerful Artificial Intelligence (AI) platform developed by Open AI, allowing developers to build natural language processing systems quickly and easily. The platform offers various tools such as: Create tools that generate training datasets Multi-turn Dialogues that encourage context-adaptive conversations Dialogue Management tools for improved response accuracy Language Models to understand human words better The platform offers countless options, each as easy to implement as writing a few lines of code. In this article, let's dive into the world of ChatGPT and discuss why it has taken the digital world by storm. We'll discuss its features and use cases in various scenarios, including chatbots powering customer service operations and managing logistics through bots in the supply chain industry. Lastly, we will explore how the blockchain industry leverages ChatGPT. Application of ChatGPT ChatGPT, developed by OpenAI and Microsoft, is a natural language processing model that allows developers to build highly accurate chatbots that understand human language in a particular context. The model uses deep learning algorithms to generate chatbots with a "human-like" personality that can interact with users as if they were real people. ChatGPT uses AI techniques such as semantic understanding and natural language modeling to accurately interpret user inputs during dialogues and generate outputs that are linguistically diverse and appropriate. Various fields use ChatGPT, such as customer service, gaming, and product recommendations. It can keep up with technological advancements such as blockchain and IoT without needing manual updates, making them cost-effective solutions for businesses looking for efficient digital transformations within their industry. Its ability to carry automated conversations and dialogue better than traditional coding methods is highly sought after by businesses today due to its potential value ads during customer service interactions. Here are just some use cases for this technology: 1. Generate Text Responses: The most common application of chatGPT is for generating text responses to user queries in real-time conversations with bots. Chatbots powered by GPT can accurately generate appropriate answers to even complex questions with contextual understanding among users' conversation histories. 2. Automatic Summarization: Another use case of chatGPT is automatic summarization, which involves summarizing long texts into shorter ones without changing their content or meaning. The main advantage is that it speeds up the text-reading process by condensing the necessary information into a few concise sentences, often disregarding unnecessary details such as slang terms or colloquialisms. 3. Content Generation: Chat GPT can generate content, such as automatically generating summaries from articles or replacing keywords with synonyms in an engaging manner. These applications benefit businesses that need to quickly generate large amounts of unique content for their products or services. They need more time to write out every article and description themselves manually. 4. Intelligent Search Engine Queries: Chatbots enabled with advanced GPT capabilities are also used for making intelligent search engine queries based on user input that accurately returns results relevant to their question. This type of capability saves users time spent searching through various websites manually. It reduces the chances they'll get irrelevant results due to a misworded or misunderstood query phrase having similar words but different intentions behind them - all while allowing quick corrections without restarting the entire search session over again! 5. Dialogue systems: ChatGPT can be used to build conversational agents and chatbots that can hold natural language conversations. 6. Sentiment analysis: ChatGPT can be used to determine the sentiment (positive, neutral, negative) of text, making it useful for tasks such as social media sentiment analysis ChatGPT Technology also enables developers to create bots with similar characteristics to those people with terms that identify intents and underline objectives behind specific requests and incoming query patterns. This value addition has significantly impacted the field-related development of scaled decentralized apps based on the Ethereum blockchain example. Transforming dApps functioning automated assistants help inform participants to personalize token sales setups scaling efficiency altogether – utilizing frameworks like OpenAi, and Bitcoin might provide the perfect solution direction needed moving forward to sustain advanced progress happening area entirely. Here are ways you can use ChatGPT in the blockchain world: 1. Use ChatGPT for Simplifying Smart Contract Management One way you can use ChatGPT in your blockchain project is by simplifying smart contract management. A smart contract is a set of computer instructions stored on a blockchain network that autonomously performs specific tasks based on certain programmed rules and conditions. Using ChatGPT, you can automate basic instruction-based processes such as deployment, compilation, testing, and auditing smart contracts on different blockchains. 2. Adopting Automated Relationship Management with Customers Using ChatGPT for customer relationship management does not require additional development resources compared to traditional marketing methods like email campaigns or SMS messages. The process works almost identically but only takes a fraction of the time and effort to set up and manage than those traditional methods do. 3. Collecting Payments Anyone who wants to collect payments can do so through almost all messenger platforms. Suppose your business deals with collecting payments through blockchains and wallets. In that case, you may be interested in trying out an automated system such as ChatGPT, which lets customers pay through various messengers like WhatsApp or Telegram using wallet tokens or digital currencies like Bitcoin or Ethereum instead of hard cash or card payments. This kind of payment system could be highly beneficial for online businesses as more people use messengers than ever due to their simplicity and convenience. 4. Making Cross-Chain Transactions Easier The ability to perform cross-chain transactions is one of the most sought-after features within the cryptocurrency ecosystem today, but it is often slow and expensive - until now! With the help of AI-powered chatbots such as ChatGPT, you can make transactions across multiple blockchains much more manageable by setting up automated processes that will execute transfers from one user's account to another without requiring either user to manually approve each transaction beforehand, making them faster, cheaper and more convenient overall. Conclusion ChatGPT, developed by OpenAI and Microsoft, is an AI-driven model that allows users to build highly precise chatbots with the ability to interact with people in a human-like manner. This new technology can be used for customer service, gaming, and product recommendation purposes and can keep up with technological advances without any manual updates. Additionally, ChatGPT can simplify the management of smart contracts on a blockchain network and automate instruction-based processes such as deployment, compilation, and testing. Although the number of usages is limited now, ChatGPT will have a profound impact on the blockchain industry in the future, as it has the potential to automate activities that usually require human intervention. Follow my Twitter @JoyyuanWeb3 to learn about the trends of Blockchain, Crypto, Metaverse, and Web3!

In November 2022, the crypto exchange FTX rocked the industry with the news it had declared bankruptcy, and its CEO, Sam Bankman-Fried, resigned. The fall came when FTX's rival and the world's largest crypto exchange, Binance, withdrew from a plan to purchase the firm. The collapse of FTX shocked the volatile crypto market, which lost billions at the moment, plunging below a $1 trillion valuation. The fallout from this disaster is still felt throughout the market as crypto investors struggle to understand what happened and why. Let's dive in to discuss how FTX collapsed and what to do about it. Introduction to FTX FTX is one of the major cryptocurrency exchanges in the world. Customers can exchange digital currencies for traditional wealthy elites or other digital currencies, and vice versa. It is based in the Bahamas and managed by Sam Bankman-Fried. It has spent millions of dollars pushing US lawmakers to enact crypto-friendly legislation. Early on, the company used risky trading options not authorized in the United States. The cryptocurrency business has long been the object of regulatory scrutiny on Capitol Hill and worldwide. What Became of FTX? The fall of FTX occurred over a ten-day period in November 2022. On November 2nd, a report by crypto news outlet CoinDesk showed that Alameda Research, the quant trading firm founded by Bankman- Fried, had a position valued at $5 billion in FTT, the native currency of FTX. According to the research, Alameda's investment foundation was likewise in FTT, the token that its sister business had created, rather than a ruling currency or another cryptocurrency. Firms around the crypto sector noted the concealed power and solvency of Bankman-Fried's companies. Binance backed out of a pact to save rival crypto exchange FTX Binance canceled its agreement to provide Sam Bankman-Fried's FTX with financial rescue, citing concerns about its business operations and investigations by US financial regulators. The decision came only a day after Binance, one of the world's largest crypto trading platforms, informally agreed to acquire FTX due to a liquidity crisis. "As a consequence of business due diligence, as well as recent press stories mentioning mismanaged client resources and disputed US division investigations, we've determined that we will not shadow the implicit accession of FTX.com," Binance declared in a statement late in November 2022. Why is the cryptocurrency market so volatile? The Cryptocurrency Market: where tremendous price fluctuations make even a roller coaster ride seem mild. Anything and everything influences market sentiment. In the case of cryptocurrency, an additional element is that it is a new and emerging market with a fundamentally different nature from previous stock markets. A decentralized market was an unfathomable thought ten years ago. Although it is becoming more popular, the community size is still rising. So, more than crypto fundamentals, Fear Of Missing Out (FOMO), terror, and uncertainty influence the crypto market mood. However, projected to wane with time—the influence of more government controls on the market is yet to happen. The Need for Better Regulation and Oversight The collapse of FTX had a domino effect on the crypto market as a whole, with many other exchanges and crypto assets also experiencing significant losses. Partly due to the crypto market's interconnectedness, traders and investors tend to move their capital from one exchange or asset to another in search of the best returns. However, the collapse of FTX also highlighted the need for better regulation and oversight in the crypto market. Many investors and traders have been calling for more stringent regulations to prevent similar crises from happening in the future, including better oversight of exchanges and their operations and more transparency and disclosure around the risks and rewards of trading in the crypto market. Crypto Market Influencing Factors Cryptocurrencies are volatile, and the crypto market is no different. Cryptocurrency values may change considerably over short periods, and various variables, including economic circumstances, government laws, media attention, and more, can contribute to this volatility. Economic situation Inflation, interest rates, and unemployment may all impact the cryptocurrency market. People may be more likely to invest in cryptocurrencies to hedge against inflation, for example, if inflation is high. Government rules and regulations Government laws may have a considerable influence on the cryptocurrency industry. For example, if governments implement stringent rules on the usage of cryptocurrencies, it may dissuade individuals from using them, causing the market to fall. Fears about security The demise of FTX was the final nail in the coffin. For a lengthy period, this has resulted in a bleeding crypto market. One of the primary worries for cryptocurrency investors is the fragility of smart contracts. Conclusion: Moving Forward with a More Stable and Secure Crypto Market In conclusion, the collapse of FTX was a harsh reminder of the volatility and risk inherent in the crypto market. However, it is also an opportunity for the market to learn from its mistakes and to move forward with better regulations and oversight to prevent similar crises from happening. The crypto market is growing, with much room for growth and innovation. With the right approach and regulations in place, the crypto market can continue to mature and evolve into a more stable and secure investment option for traders and investors. Follow my Twitter @JoyyuanWeb3 to learn about the trends of Blockchain, Crypto, and Web3!

What is Avalanche (AVAX)? Avalanche is a blockchain platform that uses a unique Proof of Stake (PoS) mechanism to overcome the blockchain trilemma of scalability, security, and decentralization. Like Ethereum, Avalanche allows smart contracts to power decentralized applications (dApps) on its network. Avalanche intends to provide improved blockchain interoperability by integrating a variety of decentralized financial (DeFi) ecosystems, including well-established systems like Aave and Curve. Avalanche's smart contracts use the solidity language already used by Ethereum. • The Avalanche platform's native token, AVAX, is used for sending transactions throughout its ecosystem. • AVAX is a token that acts as a tool for distributing system expenses, participating in governance, and facilitating transactions on the network. • It's designed to help you manage your expenses more efficiently by providing an easy way to pay for them. Recognizing Avalanche Avalanche's architecture allows for the creation of new chains or can be used to connect to existing ones, such as Ethereum. Avalanche smart contracts allow for usage on the Avalance blockchain or in conjunction with other blockchains. Here are some features that set Avalanche apart: Coin development rate The maximum number of AVAX tokens is 720 million. However, users of the AVAX cryptocurrency can choose how rapidly new coins are issued. AVAX holders can influence the rate of new currency creation by boosting the amount of AVAX delivered as payment for adding a new block to the Avalanche network. Cost of the Transaction Depending on the sort of transaction and the amount of network traffic Avalanche must deal with, other sales have different processing costs. All fees are destroyed, or taken out of circulation, to allow AVAX to become rarer over time. User voting decides the price of an Avalanche, and therefore AVAX rates fluctuate often. Mechanism of Mutual Acquiescence When you send a transaction to the Avalanche blockchain, it needs confirmation from an extensive series of small, random subsets of network members before it can be confirmed. Avalanche's unique validation process relies on the fact that all transactions are confirmed by multiple parties simultaneously. Incentives for participation The proof-of-stake medium primarily governs Avalanche. AVAX holders must share their AVAX or promise not to trade or sell it in exchange for the right to assist AVAX transactions. How does the Avalanche platform work? Avalanche's world-leading feature is that it uses three blockchains instead of the conventional one. This architectural choice has a clever justification: • Each blockchain in the Avalanche ecosystem consolidates on a specific function rather than having one chain manage everything. • The Avalanche platform may provide the blockchain's decentralization, security, and scalability requirements by dividing tasks across several chains. Exchange Chain (X-Chain) The Exchange Chain (X-Chain) is the blockchain that enables the creation and trading of Avalanche assets. AVAX, Avalanche's native token, is now the most popular cryptocurrency on the network, while other decentralized exchange tokens JOE and PNG, aren't far behind. AVAX is used to pay transaction fees on the X-Chain. Chain of Contracts (C-Chain) The C-Chain is an innovative smart contract platform for the Avalanche platform compatible with the Ethereum Virtual Machine (EVM). Anyone may use Avalanche to deploy Ethereum smart contracts since it is EVM compliant. So what's the big deal here? Avalanche is a new blockchain built on Ethereum, which means that inventors can continue using the same tools they were using before. Because Avalanche is an Ethereum application, it will likely have a similar impact on the blockchain industry as other DeFi titans like Aave and Maker DAO. Platform Chain (P-Chain) These blockchains are known as subnets in Avalanche, with the P-Chain serving as the default subnet for everyone. To manage the landscape of Avalanche subnets, the P-Chain keeps track of validators. However, subnets are also in charge of validating the P-Chain. Avalanche subnets Each Avalanche subnet is a collection of validators that work together to resolve a Blockchain consensus state. Its initial concept is to create autonomous low-cost Blockchains supported by a highly sophisticated and secure Blockchain. • With a subnet, anybody may create a Blockchain at a small cost while ensuring maximum security to avoid a 51% network attack. • The newly created subnet will be built on top of the Avalanche Primary network and confirmed by Avalanche nodes. • A knot can share resources across many subnets. • As previously stated, each subnet has its specific use case and restrictions due to the nature of independent Blockchains. • A subnet can create its native token for payment of gas figures. Builders can deploy NFT and Smart Contracts to any other POS(Proof-of-stake) EVM-compliant chain. Why would you want to build on Avalanche? Rapid confirmation and transaction speeds The Avalanche consensus technique is unusual because it reaches transaction finality inside a single block, which usually takes 2 seconds on the C-Chain. Avalanche's consensus method is a game-changer for blockchains. The infinite number of validators Decentralization increases as the number of validators on a network increases. One of the biggest problems with blockchain is how centralized it can be. The more validators on a network, the more decentralized it is, and the Avalanche consensus technique can maintain rapid block speeds while scaling to an infinite number of validators. Subnet Interoperability in the Future Most subnets will likely link to existing blockchains to bring new users. In contrast, native ecosystem interoperability is not currently available. Final Thoughts Avalanche (AVAX) is a cryptocurrency and blockchain technology that competes with Ethereum in terms of speed, scalability, and decentralization. The smart contracts platform from Avalanche enables both decentralized apps and independent blockchains. The Avalanche blockchain design allows for theoretically infinite blockchains, coins, NFTs, smart contracts, dApps, and more to be created. The intelligent design, use cases, and popularity will likely increase adoption exponentially over the coming years. Follow my Twitter @JoyyuanWeb3 to learn about the trends of Blockchain, Crypto, and Web3!

This significant upgrade, also known as The Merge or Ethereum 2.0, has happened, but what does that mean? Ethereum 2.0 rapidly and effectively transitioned the world's most extensive smart contract network from a proof of work to a proof of stake. Do you want to learn more about how The Merge affects Ethereum? Please continue reading to learn about the upgrades and why they are essential. What is the Ethereum Merge The Ethereum blockchain transitioned from the legacy proof-of-work (PoW) protocol to Ethereum's proof-of-stake (PoS), combining the Beacon Chain and Ethereum Mainnet. The Ethereum 2.0 merge officially shifted to a PoS paradigm in mid-September 2022. The upgrade resulted in a 99.95 percent decrease in Ethereum's energy use. What is Proof of Work? You've probably heard of cryptocurrency miners who verify blockchain transactions for rewards, like Bitcoin proof of work. Crypto miners utilize specialized computing equipment requiring high amounts of energy to solve mathematical equations. Several popular cryptocurrencies that use proof-of-work mechanisms, most notably Bitcoin, have come under fire for rapidly rising energy usage. How does Ethereum staking work? Ethereum staking entails locking up ETH on the blockchain — or "staking" it, as it were — to earn the opportunity to verify transactions and earn ETH as a reward, as opposed to using powerful computers to solve complex mathematical problems in exchange for compensation. A validator must securely attest and place bets on the consensus process to produce blocks. A validator is assigned a job every 6 minutes; if completed, the validator receives a reward. The process of "sharding" involves breaking the Ethereum network into multiple pieces. The contents of each shard would have its own set of account balances and smart contracts. Post-Merge ETH has become obsolete? Platforms that provide liquid staking derivations are increasing the appeal of staked ETH since it is more capital efficient and profitable than ordinary ETH. Lido-staked Ethereum (stETH) and other liquid staking derivatives may soon replace ether as an asset. By owning stETH or any other ETH liquid-capitalizing by-product, conventional decentralized finance (DeFi) users may benefit from pricing that was previously reserved solely for insiders following the switch from proof of work (PoW) to proof of sharing (PoS). Staked ETH has increased the interest from individuals to institutions across centralized finance (CeFi) and decentralized finance (DeFi). Titans of the assiduity, such as Coinbase and Frax, have produced ETH liquid capitalization derivations. Liquid staking derivations extend the benefits of normal ETH, which also function as a secondary asset that generates profits. In other words, holders can capitalize on benefits while gaining exposure to ETH's fee action and maintaining liquidity. Advantages of Merge-ETH Ethereum makes it possible for more people to join the network Many Ethereum network users will benefit from the Merge since more of them will be able to benefit from incentives for contributing to and protecting the network. Miners will no longer verify transactions on the blockchain as proof of stake (PoS) replaces proof of work. The Merge makes sharding possible The Merge is significant because it will provide the groundwork for Ethereum to expand its capacity someday, making it faster, more efficient, and less expensive. Sharding is the next technological advancement for blockchain. Improved environmental impact The Merge, the proof-of-stake method, would result in a staggering 99.95% decrease in energy use. The Ethereum network will no longer require powerful, costly computers, reducing the demand for specialized gear and electricity waste. Disadvantages of Merge-ETH The community has expressed some disagreement with the proposed Ethereum merger. The following are a few drawbacks of the Merge: The quantity of work and capital required of miners would also grow due to the Merge. As a result, users' fees increased, and Ethereum became less decentralized. Decreased network usage and participation because all proof-of-work miners are no longer required, with no more mining incentives. Conclusion The Merge will enable a flourishing phase for Ethereum on the back of several innovations, decentralized applications, and new use cases, despite any immediate drawbacks that may arise. Liquid staking opens new opportunities for generating yield from synthetic assets. Decreasing the environmental impact by more than 99% is a catchy headline, but making $4 billion worth of Ethereum hardware obsolete makes the blockchain less decentralized, and fewer people contribute without mining incentives. Overall, the Ethereum 2.0 Merge was successful without any significant issues, paving the way for future growth. Follow my Twitter @JoyyuanWeb3 to learn about the trends of Blockchain, Crypto, and Web3!

Solana is a blockchain and highly functional open-source project that hosts decentralized and scalable applications. Created by Anatoly Yakovenko in 2017, Solana aimed to scale throughput more than popular blockchains' previous achievements while keeping costs low. Solana uses an innovative hybrid consensus model that merges a unique Proof-of-History (POH) algorithm with the lightning-fast synchronization engine, a Proof-of-Stake (POS) version. With this, the Solana network can process 50,000 transactions per second without scaling solutions. SOL started trading at less than a dollar per coin as a digital currency, but its price has risen above $200, experiencing a dip alongside other cryptocurrencies in 2022. By January 2023, Solana dipped to under $16, though it is still among the top 15 largest cryptocurrencies according to market cap. Also, the platform is a highly active open-source project that implements a new high-speed and permissionless layer-1 blockchain. Solana is a proliferating blockchain similar to Ethereum, and some have named it the "Ethereum Killer." Solana offers tools to developers for building decentralized applications (dApps), smart contracts, and more, just like Ethereum. The Solana blockchain recently enabled compatibility with the Ethereum Virtual Machine (EVM) through a third party, Neon Labs. Developers can now port Ethereum smart contract code to Solana without modifying the existing codebase. Like Ethereum, you can buy Solana tokens on most major exchanges. However, its real value is conducting transactions on the Solana network, which has unique benefits. How Does Solana Work? Solana operates on a combination of delegated proof-of-stake and proof-of-history protocols. This combination is because Solana is trying to process lots of transactions faster. Although, processing transactions rapidly sacrifices decentralization, leading to centralization. Since the main aim of blockchain technology is to provide decentralized systems, Solana tries to achieve this by processing transactions at a sizeable centralized speed. At the same time, it aims to maintain the decentralization of Bitcoin. But due to the Blockchain Tri-Lemma, increasing speed has its drawbacks. Please read the upcoming article on the Blockchain Tri-Lemma for more details. This speed makes increased scalability possible since Solana's systems' environmental and monetary costs are lower. However, the rate for added blockchain requires additional levels of security for the blockchain. This is where the proof-of-history algorithm is needed, a sequence of computations that gives a digital record that ensures an event has occurred on the network at any given time. This algorithm timestamps each block to maintain the system's security. Solana's token is then staked and used as collateral for transaction processing on the network. These transactions include validating smart contracts and using Solana as a non-fungible token (NFT) marketplace. Solana had its big break in August 2021, over a year since its inception, when Degenerate Ape Academy became the first major NFT project on the Solana NFT marketplace. What Makes Solana Unique? Considering the delegated proof of stake and a unique blend of proof of history, Solana offers faster transaction speeds than its closest competitors, Cardano (ADA) and Ethereum (ETH). Unlike proof of stake, which uses staked tokens to determine the next block, and proof of work, which uses high-powered computing, known as miners, to determine the next block in a chain, proof of history uses timestamps to define blocks for the Solana chain. This innovative system allows validators to vote on the timestamps of blocks in the chain. They keep the chain decentralized while simultaneously allowing faster and more secure computations. The most significant advantage of Solana is its cheap and speedy transactions. Solana can handle up to 65,000 transactions within a second and $0.00025 for average cost per transaction. This platform can do this because it uses proof of history, a unique algorithm to authenticate transactions. Most other blockchains use either proof of stake or proof of work consensus mechanisms. In addition, Solana is an open-source blockchain which means that developers can use it in different ways. The Solana ecosystem enables the following: Selling, trading, and minting non-fungible tokens (NFTs). Creating decentralized finance (DeFi) platforms, like a decentralized crypto exchange. Building blockchain games and partnering with big companies such as Forte, Lightspeed, and FTX. One exciting development made by Solana is Solana Pay, a free-to-use payment framework. This framework allows merchants to receive payments directly from customers through the Solana network. In addition, customers pay in stablecoins, such as USDT, designed to maintain a stable price. As a result, businesses can avoid high payment processing fees when using Solana Pay, significantly reducing costs compared to Ethereum. Unpredictable transaction fees can range anywhere from $1-200+ during peak Ethereum network usage. Does Solana have long-term value? Once introduced to the market, Solana rose quickly but tumbled alongside other cryptocurrencies. However, before concerning yourself with gains, losses, and fear of missing out, you should first understand the value of Solana based on its pros and cons. Pros Fast Transactions and Low Fees Some crypto enthusiasts believe that Solana is Ethereum's biggest rival. Ethereum supports 14 transactions per second, but Solana supports 50,000. Ethereum migrated from proof of work consensus to proof of stake consensus, and the gas fees remained expensive. Also, Ethereum says 10,000 TPS can be possible with future ETH2 upgrades, including rollups, sharding, and bandwidth growth. Solana currently has an edge on transaction speed and costs. Since Solana is proof of stake, users secure and verify the Solana network by coin ownership. Proof of stake is less costly than proof of work consensus, and Solana issues less than 1 cent for transaction fees. NFTs and Smart Contracts The non-Fungible Tokens (NFT) industry has grown exponentially over the last few years. NFT technology became a high-profile industry following the epic sale of NFT "Everyday" by Michael Winkelmann, a digital artist known as Beeple, at Christie's for $69 million. After this highest-grossing sale, demand for NFTs has steadily increased. NFTs are available on various platforms offering NFT art, music, video, and more. Capitalizing on this expanding industry, Solana jumped into the market to share the NFT action. They are now gaining market share with Solanart, an NFT marketplace that runs on the Solana network. The most significant benefit for NFT buyers on Solanart is lower fees and faster transactions. Low Environmental Impact One of the significant disadvantages of Bitcoin is its negative impact on the environment. In the early days of Bitcoin, miners could mine Bitcoin using personal PCs and laptops without issue. But the hash difficulty problem became more complex over the years, making it necessary to use specialized computing equipment (ASICs), which require large amounts of power to mine profitably. Solana boasts that its network is carbon neutral. The Solana Foundation has been climate-focused, and the greater community is building a better, more energy-efficient web3. In comparison to Bitcoin, Solana claims to have negligible, if not no, environmental impact. Cons Adjustable Tokenomics Solana aims to have a stable supply of SOL coins. So it began to increase the yearly supply of SOL tokens by 8%, which means that there was a 15% decrease in the inflation rate, and it will decline no further at this rate. Unlike Bitcoin, with a set algorithmic supply reduction every four years, the Solana Foundation can increase and decrease the yearly supply distribution. Adjustable tokenomics could make Solana's price more volatile when compared to other cryptocurrencies with tokenomics set in stone. Fewer Projects Although the Solana website says it has over 350 projects, including NFTs, DeFi, DEX, games, Metaplex, and exchange, this total represents just 10% compared to Ethereum projects. However, Solana claims to have thousands of creators, artists, and developers using Solana, and the size of the ecosystem may increase over time. Why Is Solana Vulnerable? Solana has two significant vulnerabilities you should understand for the potential longevity of the network. These two vulnerabilities include its monolithic chain construction and overall security. Solana is a large concentration of on-chain wealth held by a small number of addresses, which potentially causes issues with governance, reduces overall network security, and limits the number of individuals that could be validators. Most significantly, large institutional investors could unload holdings over the broader market creating a price freefall. Monolithic chain construction is less efficient because core functions of execution, settlement, consensus, and data availability run in parallel on the same layer. dApps, NFTs, and smart contracts compete for the same block space, which is limited. Modular chains compartmentalize core blockchain functions running more efficiently at scale. As of June 2022, the Solana blockchain has gone offline seven times in 12 months. Some question whether Solana is a viable long-term blockchain. Others wonder if Solana's outages are becoming the network's new norm. Solana's core technology is robust and fast, but it needs more security at scale. You can only choose two in the blockchain Tri-Lemma: Decentralization, Scalability, and Security. Solana decided to focus on scalability, speed, and throughput. Fifty thousand transactions per second are costly, drastically decreasing decentralization and security. Conclusion Solana offers incredible speed with a thriving ecosystem to create dApps, NFTs, smart contracts, and more. A carbon-neutral blockchain, 50,000 transactions per second, and extremely low transaction fees are great selling points. But under the hood, Solana needs to improve when it comes to decentralization and blockchain security. In terms of long-term viability and reliability, Solana struggles. What do you think? Is Solana the actual "Ethereum Killer," or just another blockchain and cryptocurrency in the market? Leave your thoughts below. Follow my Twitter @JoyyuanWeb3 to learn about the trends of Blockchain, Crypto, and Web3!

Polygon, formerly known as Matic Network, is a cryptocurrency and Ethereum token that powers the Polygon Network. It is a layer two solution designed to scale the Ethereum network and enhance its functionality. This protocol gives a faster and cheaper Ethereum transaction using sidechains and a blockchain that runs fast HOV lanes with the Ethereum main chain. In addition, you can bridge some of the cryptos over to Polygon to use it and then interact with different popular crypto apps that were exclusive to the main Ethereum blockchain before. You can deposit Ethereum tokens to a Polygon smart contract, interconnect with them within Polygon, and then withdraw them later to the Ethereum main chain. The MATIC token participates in proof-of-stake consensus and pays transaction fees. How Does Polygon Work? Polygon's MATIC Sidechain works like every other Proof-of-stake-based blockchain. Its structure, client nodes, token, local dApps, validator nodes, etc., is very similar to other networks. However, the factor is that exchanges are clustered and settled over the Ethereum mainchain. Interestingly, Polygon has promoted a layer-2 network for building compatibility, Ethereum-viable blockchain networks. However, layer-2 scaling solutions imply off-chain solutions, including lessening or removing components with evaluation power from the primary blockchain before their execution somewhere else, like sidechains. The sidechain assembles throughput on the mainchain and spreads the evaluating proficiency around the network—layer-2 solutions play an essential role in the mass adoption of cryptocurrency as money. As a result, sidechains have expanded in fame. The modular system of Polygon for gathering custom networks permits developers to send preset blockchain networks faster. In addition, it makes it easier to cooperate with another blockchain with no problem. The Matic sidechain is an essential section of the vast universe of Ethereum, which gives clients a prevalent project implementation and a quality user experience. Moreover, all Ethereum-based decentralized apps or other Ethereum-viable blockchains can be changed to the Matic sidechain to function in a considerably enhanced climate. A large number of decentralized financial applications support Polygon. To avoid unnecessary fees, you can check if your app is compatible before you bridge assets from Ethereum's main chain. In December 2021, popular decentralized applications like Sushiswap, Aave, and Curve Finance enabled Polygon support. To engage in the Polygon network, you need a multi-chain wallet such as Coinbase or MetMask Wallets. For example, you can browse the Polygon Bridge to exchange Ethereum assets using your Wallet and monitor your balances across different networks. What makes Polygon valuable? Polygon has many uses, and it has become prevalent among investors. However, if you are a beginner or need to learn more about Polygon tokens, you must familiarize yourself with the cryptocurrency. Some important things you should know include the following: 1)A Framework for Blockchain Networks Polygon plans to offer a framework for blockchain networks in the future, allowing users to create interconnecting blockchain networks. If this happens, developers will have a lot of freedom for network creation. Also, they can develop flexible, standalone, and scalable blockchains without starting from scratch. 2)Ethereum Virtual Machine Compatibility Most blockchain developers use the user-friendly Ethereum Virtual Machine to create decentralized apps. With EVM compatibility, it is easier for developers to build decentralized apps and port them using Polygon. Also, developers have established many Ethereum apps on Polygon, including Aave and SushiSwap. 3)Increase in Polygon Price by 13,000% Polygon increased by 13,000% between January and May 2021, from less than 0.02 cents to $2.68. Although there was a brief decrease, it rose again, reaching an all-time high of $2.8768 in December 2021. Sadly, this higher price did not last for long. Like other popular cryptocurrencies, Polygon went into a freefall in later December 2021 and is currently still going downward. As of June 2022, Polygon held a value of $0.4231. Polygon's price demonstrates the market's volatility, a risk to be aware of in emerging markets. 4)Similar Networks Before you invest in Polygon, you must analyze any roadblocks it might face in the future. The primary concern for the platform is the presence of other blockchain network projects, such as Polkadot and Avalanche. These projects may start coexisting in the future, leaving no room for Polygon to expand. Besides, Ethereum has recently upgraded its platform to Ethereum 2.0, referred to as "The Merge." The upgrade transitioned the Ethereum blockchain from a proof-of-work chain to a new proof-of-stake chain. Is Polygon a Safe Investment? Polygon is hiring amid a cryptocurrency bear market with several companies, including BlockFi and Coinbase, laying off staff. Although, a slew of high-profile partnerships could be part of the reason. Popular brands such as Dolce & Gabbana, Prada, Macy's, Adidas, Adobe, Stripe, Draft Kings, and Meta have all launched projects on Polygon. Also, Mark Cuban, a cryptocurrency forerunner and billionaire, invested in Polygon. The volume of the apps Polygon supports is enough to keep the platform relevant for a long time. However, Polygon attached to Ethereum is a potential risk. The network is competing with other currencies and Ethereum, which it depends on to operate. Polygon developers have argued that their network will remain relevant even after the Ethereum 2.0 Merge. Their reason was that Polygon offers faster transactions and allows Ethereum's communication with other networks. The problem is another programmable blockchain might overtake Ethereum in the future, taking Polygon down with it. Does Polygon have long-term value? Polygon is volatile, just like every other cryptocurrency. Although the developers might have big plans for it in the future, there is no way to know that Ethereum or other blockchain networks would not cause the coin to decline in popularity and worth. Who Invests in Polygon's MATIC? 1)Day Traders Day traders take advantage of multiple percentage swings in the prices of assets during the day. With its high volatility and persistent daily trading volumes, having this cryptocurrency in your portfolio as a day trader can bring a decent passive income within short periods. 2)Cryptocurrency Traders Cryptocurrency traders specialize in trading cryptocurrencies for a living. These traders can use technical analysis and fundamental research to predict Matic's potential future price. Research helps them decide when and when not to invest and make a profit both in the long and short term. 3)Decentralized Finance Enthusiasts Due to their high percentage yields, decentralized applications continue to trend online. And since Polygon integrates decentralized applications (dApps), reading about the number of dApps on the platform with the volume recorded on the network compared to Ethereum can go a long way to help an enthusiast decide on MATIC. 4)Growth Investors Growth investors are primarily interested in projects with long-term prospects. Polygon is the latest project that has brought innovation to the DeFi space, and MATIC is a financial instrument that Growth Investors are considering. Conclusion Looking at the progress and potentials of Polygon MATIC, this platform has, to a considerable extent, successfully solved the blockchain scalability issues for Ethereum. In addition, different blockchain developers can build their decentralized network with the provided features and tools from the Polygon platform, allowing developers to access customization options. Follow my Twitter @JoyyuanWeb3 to learn about the trends of Blockchain, Crypto, and Web3!

A Decentralized Exchange (DEX) is where peer-to-peer transactions occur between crypto traders. DEXs satisfy one of crypto’s primary responsibilities: to foster financial transactions without brokers, banks, payment processors, or any other intermediary. The most popular DEXs, such as Uniswap and Sushiswap, use the Ethereum blockchain and are one of the growing suites of decentralized finance tools called DeFi. DeFi creates an atmosphere where financial services are made available directly from a compatible crypto wallet. DEXs are flourishing; they gained approximately $217 billion in transactions through decentralized exchanges in the first quarter of 2021. There were also over 2 million traders as of April 2021, which is up to ten times increase from May 2020. As mentioned in the second paragraph, one of the leading DEXs is Uniswap. Uniswap is the world’s most straightforward automated market maker (AMM). Since its inception on November 2, 2018, it has been widely accepted in the world of crypto and has exploded in volume, crowning itself as the world’s largest DEX. Read along to find out how Uniswap became the king of DEXs, the functions of the Uniswap coin, and far Uniswap has dominated the market. What is Uniswap? Uniswap is an exchange platform that uses a new trading model called automated liquidity protocol. Launched in 2018 on the Ethereum blockchain, the Uniswap platform is the second-biggest cryptocurrency project by market capitalization. Uniswap is compatible with all Ethereum Request for Comment 20 (ERC-20) tokens and infrastructures like MyEtherWallet and MetaMask. Eventually, Uniswap introduced an updated version in May 2020. The new version was called Uniswap V2. While the first version allowed users to swap between ETH and one ERC-20 token, the V2 uses Wrapped Ether (WETH) for core contracts, allowing users to pull ERC-20 tokens directly with other ERC-20 tokens. Also, the prices became lower and more difficult to manipulate the price. As a result, they released another version in 2021, which was called Uniswap V3. Uniswap V3 gives liquidity providers access to multiple fee tiers and concentrated liquidity for better capital allocation while capturing more fees. Uniswap V3 also gives easier and cheaper oracle integration with TWAP (time-weighted average price) on demand which calculates for up to 9 days. With this, individual liquidity providers enjoy more control, allowing them to get paid for taking varying risks. Uniswap operates on two smart contracts: the Factory contract and the Exchange contract. These two are automatic computer programs designed to perform certain functions once you meet specific conditions. For example, the factory smart contract adds a new token to the platform, and the exchange contract facilitates all token swaps. How Does Uniswap Work? The Uniswap protocol was motivated by the on-chain automated market maker (AMM) concept by Vitalik Buterin. It mainly uses the Constant Product Market Maker Model (CPM) pricing mechanism. CPM is an alternative to the Automated Market Making (AMM) system for traders to trade against it. The platform is open-source, meaning anyone can use the code to create decentralized exchanges. In addition, unlike other centralized exchanges that charge very high fees to list new coins, Uniswap allows users to list tokens on the business for free. Since it is a decentralized exchange, users control their funds every time, unlike a centralized exchange that holds private keys. In addition, this allows the logging of orders to an internal database instead of executing on a blockchain, which can be more expensive and time-consuming. Retaining control of private keys eliminates the risk of asset loss if the exchange is hacked. How Uniswap Became A Prominent DEX Uniswap reigned as the unchallenged leader of the DEX revolution. The exchange depended on an intelligent algorithm available on the platform for buyers and sellers to fix prices on hundreds of ERC-20 token pairs. Since its rise, there have been several other inventions in AMMs; there has been an emergence of a legion of Uniswap descendants, each with unique features. Though they all have a similar design to Uniswap, they are all designed with particular pricing functions. Take Balancer, for example; a multi-dimensional surface determines its multi-asset function, or Curve, which uses a mix of constant sum and constant product. They also have shifted curves that needed more inventory, such as the one Foundation uses to sell limited edition goods. Decentralized exchanges such as Uniswap depend on mathematical formulas to set the price of assets. The technology used for this is called an automated market marker (AMM) which removes the need for an intermediary to set prices for the market. Uniswap gained mass adoption because anybody can offer liquidity to the platform, publish a token without signing up, or undergo rigorous identification verification. The exchange depends on a sophisticated algorithm rather than a central order book to dictate the values of the hundreds of trading pairs of ERC-20 tokens. Also, it has cheap trading costs and a user base that is rapidly expanding. Benefits of Uniswap 1.It is Simple to Implement Uniswap is simple to implement, meaning there is low complexity, low integration costs, and low surface area for hacks. Also, it has low gas costs, which is very important when implementing your trades on an equivalent decentralized graphing calculator. 2.It Has A Small Regulatory Surface Uniswap is decentralized and requires no off-chain inputs. Unlike other book DEXs that operate an exchange, Uniswap is free to utilize pure financial innovation. 3.It Is Easy to Provide Liquidity to Uniswap With a click on “set and forget it, “it is much easier to provide liquidity than getting active market makers to give liquidity on an order book exchange, especially since DeFi is beginning to attract serious volume. Beneficent whales provide most of the liquidity of Uniswap and are less sensitive to returns. The one-click experience on Uniswap makes it less stressful for them to participate. Unfortunately, most crypto designers ignore mental transaction costs and assume market participants are infinitely industrious. However, Uniswap makes liquidity provisions that have eventually paid off. 4.It Is the Most Successful Decentralized Exchange Not only does Uniswap allow you to swap crypto tokens, but it also allows you to earn interest on your crypto holdings with liquidity pools. The Uniswap Coin Uniswap coin is a token given through an airdrop to every Ethereum address that has joined the Uniswap platform before September 2020. Every participant received 400 UNI tokens. At the time, the token was worth $3 per coin, which amounted to a $1,200 airdrop, which was a lot. Anyone with a Uniswap coin can decide the direction of the Uniswap protocol. The more Uniswap coin a person has, the more influence they have when deciding whether to support ideas that would affect the Uniswap protocol. For instance, Uniswap token holders can vote on the first community request to decrease the barrier to propose a modification to the protocol. Someone could disrupt the protocol with around $35 million worth of Uniswap. However, many will be able to influence this decision if they lower the barrier because many are holding coin worth close to that amount. The Uniswap Method Uniswap is the leading candidate in Ethereum decentralized exchanges. Although there are more than 500 trading pairs registered under Uniswap, only about 50 of these trading pairs hold more than $500,000 volume per day. Coins on the Uniswap platform don’t trade against Ethereum (ETH) but with Wrapped Ether (WETH), which is the most noticeable feature of the network. Like WBTC, WETH is just Ethereum wrapped in a smart contract to create an ERC20 token. The ERC20 token is available on Uniswap and dozens of protocols in the DeFi ecosystem. For anyone who wants to create a system that supports both Ethereum and ERC20, you will need to put more effort than just converting ETH to WETH. However, WETH holders have unlimited access to an on-demand ETH conversion service. How Uniswap Acquires Liquidity Controlled exchanges increase the platform’s liquidity by connecting sellers and buyers. Uniswap is unique. On Uniswap, a user who adds two coins to the forum in an equivalent amount to the one the provider wants to trade is called a liquidity provider. For example, an equivalence of $50 of DAI to WETH. Depending on the number of DAI or WETH they deposit into their liquidity pool, each liquidity provider gets a trading fee incentive. Also, the liquidity provider may request that their coins be returned anytime. Uniswap now has $3 billion from various liquidity sources, compared to less than $2.5 million secured in May 2020, meaning they are expanding exponentially. In daily trading activity, the decentralized exchange sees more than $100 million with a rise in transaction volume. As a result, Uniswap is one of the notable decentralized global exchanges regarding daily trading volume. Conclusion Uniswap enjoys being the first-mover, and they might be leading in the competition for trade volume so far. However, if Uniswap can maintain this win, only time will tell. Nevertheless, the company manages the platform effectively, and its success in the future seems inevitable. Follow my Twitter @JoyyuanWeb3 to learn about the trends of Blockchain, Crypto, and Web3!

Only a few protocols on blockchain enable interoperability. Interoperability means carrying out transfers across the blockchain of any data or asset. Polkadot is a protocol that links blockchains, allowing value and data to be transferable across previously incompatible networks (Bitcoin and Ethereum, for example). Its design is such to accommodate speed and scalability. The DOT token, which can be bought or sold on exchanges such as Coinbase, is used for staking and governance. Polkadot is one of the DOT networks founded to solve problems other blockchains cannot solve. This capstone project was brought into the limelight in 2020 after about four years of being conceived. Blockchains characterize decentralization, speed, and security without fail. However, scarcely can a blockchain provide all three or more than one of these factors. Take, for example, Ethereum and Bitcoin. They both are not ultimately scalable. Also, these networks are not interoperable; they are not allowed to exchange information. This uniqueness is the mainstay of Polkadot in the world of cryptocurrency. Polkadot gained massive recognition in June 2021 when it became listed on Coinbase. It is a highly innovative blockchain that has a relay chain and parachain. The relay chain controls security and deals, ensuring communication runs smoothly between blockchains. Parachains are independent layer-one blockchains running in parallel within the Polkadot ecosystem. Polkadot is a flexible network that provides that blockchains can be separate entities working together under the same ecosystem putting scalability into consideration. Emerging blockchain by developers can utilize Polkadot because of its flexibility and workability. This prominent, accommodating feature makes it unique among others. Polkadot allows experimentation on transition functions; consequently, dozens and hundreds of parachains connect to the Polkadot network. The simplicity of Polkadot is its user-friendly interface yet functioning as decentralized finance (DeFi). History of Polkadot Polkadot and Ethereum were brought into existence by the same founder, in the person of Gavin Wood. After he left Ethereum in 2016, he proceeded to develop another blockchain. It was during this period that he published Polkadot's whitepaper. Polkadot houses a parachain, and the parachain is not independent of the relay chain. Parachains are custom blockchains linked with the Polkadot relay chain to provide a technology for smooth communication across chains. On the other hand, the virtue of the relay chain is that it determines the network's consensus, shared security, and interoperability across chains. Another of the developers' goals for Polkadot is to create a fully decentralized internet 3.0 based on Web 3. The whitepaper was published in 2016 and raised about $145 million after a year. At the first Proof-of-Authority (PoA) phase, the network governance was managed by the Web 3 foundation, while the same foundation launched the Proof-of-stake in June. What makes Polkadot different? Polkadot is one of the newest cryptocurrencies and has recently gained popularity. It is a multichain consisting of a series of blockchains. Since there is more than one pathway, network overload is less likely. The first parachain operated by Polkadot was Moonbeam. According to research by CoinDesk, Deutsch Telekom uses Polkadot, one of Europe's largest telecommunication companies, to support blockchain technology. Numerous investors are becoming curious about Polkadot; unlike other coins, Polkadot is quite affordable and presents more expansion opportunities. Since Ethereum prices rose to all-time highs in 2021, investors and traders believe that other alternatives to Ethereum, like Polkadot, can do the same. Although there are risks associated with the splurge on investment, the likely risk of Polkadot is the volatility of price, and a tangible asset does not back that. Polkadot is compatible with other blockchain platforms, which makes it interoperable, and users do not have to choose one network over the other. Polkadot is built with a Substrate blockchain framework, meaning other Substrate blockchains can deploy custom chains quickly and easily. How does Polkadot work? Polkadots is a decentralized blockchain that allows users to be in control through an interoperable protocol that scales the network. Here, blockchains can work independently of each other and can exchange transactions. On Polkadot, public and private key cryptography can send funds from one digital wallet to another. Beyond transacting, its relay chain allows it to process data on several chains called Parachains. Unlike older blockchains, Polkadot splits transactions between shards rather than across an entire network. Sharding offers an advantage over other blockchains due to reduced fees, less network congestion, and blockchain compatibility and interoperability. Polkadot's consensus mechanism is Proof-of-stake (PoS), which rewards users through staking. Introducing the DOT's utility As of December 2022, the DOT was ranked 12th on CoinMarketCap. This significant recognition poses that it is an innovative and reliable coin. DOT has three main functions: Governance, Staking, and Bonding. Governance validates or determines how transactions are decided upon and implemented. Here, there is an integration of code. Proof-of-stake protocol manages the governance of Polkadot, also known as nominated Proof-of-Stake (NPoS). Governance in Polkadot is through a consensus mechanism called GRANDPA, an acronym for Ghost-based Recursive ANcestor Deriving Prefix Agreement), which provides a secure, reliable, and more resilient network. The Relay chain, which is Polkadot's main network, will determine the protocol's decision-making. By staking, validators can earn rewards for maintaining network security and consensus. Coin holders can earn DOT by staking. While Bonding contributes to parachain allocation such that each parachain is attached to the relay chain via a rent-like mechanism. Final Words Pokaldot's governance is sound, as it's been around for years. Wonder why? Every token holder helps Polkadot from falling by swaying the protocol progression through its economic value. Since Pokaldot's launch in May 2020, staking, on-chain identity, and on-chain governance features were all added. These improvements suggest that Pokaldot is still developing. But Polkadot is releasing more features in the future. Follow my Twitter @JoyyuanWeb3 to learn about the trends of Blockchain, Crypto, and Web3!

Cardano is a top 10 cryptocurrency by market capitalization. It is a blockchain platform that facilitates decentralized applications based on smart contracts. Cardano has proven to be a promising Crypto project, a layer-one blockchain with massive hype. Let’s examine Cardano and see what makes this Cryptocurrency technology so valuable. The History Of Cardano The Cardano blockchain and its native coin, ADA, are named after the Italian polymath Gerolamo Cardano and the British mathematician Ada Lovelace. Cardano’s development began in 2015 and launched in 2017. It was the creation of Charles Hoskinson, the co-founder of Ethereum. Hoskinson left Ethereum due to disagreements over how the Ethereum project should proceed. In December 2016, Cardano launched the ADA token through an Initial Coin Offering (ICO) to raise finances for the Cardano project. The ICO raised 62 million dollars, providing funds to build a next-generation blockchain platform. The purpose of the Cardano blockchain was to enhance and build on the technology at the time. It aimed to conquer the limitations such as interoperability, scalability, and sustainability. ADA – What is it? ADA is the native cryptocurrency coin on the Cardano network. ADA works similarly to ETH tokens used on the Ethereum network. They are used to pay gas fees (i.e., transaction fees) when using any application built on the blockchain. Additionally, validators stake ADA to participate in the proof of stake consensus and reward mechanism by which Cardano operates. In time, ADA will act as the governance token on the blockchain. Holders will have the opportunity to vote on the direction of the project. How does Cardano work? The Cardano blockchain follows the proof-of-stake mechanism called Ouroboros. This technology differs from older blockchains, such as Bitcoin, which uses the proof-of-work concept. Its competitor, Ethereum, also used the proof-of-work approach until it migrated to the proof-of-stake practice in the fall of 2022. Cardano’s Proof Of Stake Mechanism With the proof of stake mechanism, validating computers (called nodes) in the network must own Cardano’s native coin, ADA. Validating nodes receive rewards randomly based on the number of coins possessed compared to other networked nodes. The greater the number of coins owned by the node, the better the chance of becoming selected. The chosen node validates transactions and receives confirmations from other nodes in the system— writing transactions to the blockchain upon confirmation. Cardano’s Proof-Of-Stake vs. Bitcoin’s Proof-Of-Work In Cardano’s proof-of-stake concept, only one node acts to verify the transaction. It is in contrast to the proof-of-work idea used by Bitcoin. With Bitcoin, all nodes compete to serve as a verifier. They try to solve a complex mathematical problem and award the winner the opportunity to add to the blockchain. The commonality between proof-of-work and proof-of-stake is that the node that validates the transaction receives a reward fee (a process called mining). It is in the form of a token associated with the blockchain. The Advantages Of Cardano’s Ouroboros Proof-Of-Stake Mechanism Efficiency Choosing a validator node is a quick process. And as a result, Cardano is efficient and operates at a higher speed than many other blockchains. The outcome is the completion of transactions quickly. Requires less energy Because there are no complex mathematical problems to solve, the nodes use less electrical energy, are more cost-effective, and are more environmentally friendly. No need for regular hardware updates Since Cardano does not require massive amounts of computing power, the hardware for validating the blockchain transactions lasts longer. A lower barrier to entry It means a broader pool of individuals and organizations is in a position to participate. No costly equipment or power sources are necessary to become a validator. The Disadvantages Of the Ouroboros Proof-Of-Stake Mechanism New technology The proof-of-stake mechanism is newer than proof-of-work and is more susceptible to security breaches and hacks. Large holder advantage Validators with a more significant number of tokens are in an advantageous position. Validators that maintain more ADA tokens are more likely to be picked to process the transactions and have the edge over others. Requires staking and lock-up To actively participate, ADA tokens must be staked and locked up, making them inaccessible for any other purpose. The Cardano Roadmap The project’s roadmap has five well-defined phases to upgrade and add functionality to the Cardano network. Roadmap phase names represent extraordinary mathematicians, scholars, and scientists. What are these 5 phases? Byron Phase Named after the poet Lord Byron, this was the first of the five stages in the roadmap. In September 2017, after two years of development and testing, the Cardano main net went live and became fully functional. It became possible for users to buy and sell the ADA cryptocurrency on its Ouroboros blockchain. Shelley Phase Named after Mary Shelley, a novelist, this phase introduced community-run nodes to make the blockchain fully decentralized. The stage saw the Mary Upgrade, which allowed users to stake their Cardano native token to create staking networks. Goguen Phase Named after Joseph Goguen, a famous computer scientist, this phase is the 3rd of the five steps in Cardano’s roadmap. The goal of this phase was to enable smart contract creation and usage in decentralized applications (dApps) by technical and non-technical users on the Cardano blockchain. The Goguen phase was completed in September 2021, thanks to the Alonzo Upgrade. Bashō Phase Matsuo Bashō was a Japanese poet. Cardano is currently in the Bashō phase. Here Cardano’s scalability and interoperability are set to be improved; it will better support applications that have higher transaction volumes. We will see the launch of Hydra, Cardano’s Layer-2 solution. Voltaire Phase The final phase, named after the French philosopher Voltaire will introduce decentralized governance. During this phase, the running of the blockchain will move away from the founders and into the Cardano community. A treasury system governs where network participants can vote on how the project will proceed. Final Thoughts Since its inception, Cardano has delivered on the roadmap promises. With Charles Hoskinson as the founder, this project has enormous potential. Given Hoskinson’s involvement with Ethereum and the success Ethereum has enjoyed, there is every reason to assume Cardano can make significant inroads. The only potential stumbling block is the coordinated and deliberately slow pace of development. While it minimizes mistakes and ensures the project functions as anticipated, other projects, such as Solana, have stumbled but grown faster in a shorter time frame. Follow my Twitter @JoyyuanWeb3 to learn about the trends of Blockchain, Crypto, and Web3!