Explained - Vestorportal

Avalanche Subnets will change the Scaling Game!

Without doubt, 2021 was the year of layer 1 blockchains [https://vestorportal.com/what-is-a-layer-1-blockchain/]. Since the biggest layer 1 blockchain, Ethereum, has problems with high fees, there are some upcoming layer 1 chains that might fight Ethereum for its position as the number 1 smart contract blockchain. One of the

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What are Ethereum Rollups?

Ethereum is one of the most popular blockchains but everybody knows about their scaling issues. Ethereum users suffer from high gas fees due to congestion. This article will go over Rollups as scaling solution. Rollups There are a lot of layer 2 solutions [https://vestorportal.com/what-is-a-layer-2-solution/] for Ethereum. Some

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Centralized and Decentralized Exchanges

Since the rise of cryptocurrencies within the last years people are learning of a secure and trustful way to manage their funds. To trade cryptocurrencies investors have to interact with crypto exchanges to perform buying and selling of their cryptocurrencies. In fact, crypto exchanges play a vital role in the

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What are Smart Contracts?

The term smart contracts is an often used buzzword within the crypto space. Probably most of crypto investors are well aware that smart contracts exist but a lot of people would not be able to explain what they are. Smart contracts are programs stored on a blockchain [https://vestorportal.com/

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What are Blockchain Nodes?

Most people, even outside of the crypto space, have at least heard of the word blockchain [https://vestorportal.com/what-is-a-blockchain/]. But only a few people not familiar with the crypto world have heard of nodes nor can they explain why nodes are important. Generally speaking, a node is a connection

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What is a Layer 2 Solution?

Layer 2 stands for a secondary framework or protocol that is built on top of an already existing blockchain. These layer 2 solutions aim to solve the issues regarding transactions speed and scalability. Big blockchains like Bitcoin or Ethereum are still not able to process thousends of transactions per second

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What is a Layer 1 Blockchain?

In the article 'What is a Blockchain?' [https://vestorportal.com/what-is-a-blockchain/] we explained what stands behind the word Blockchain. But if you dive deeper you will come across words like 'Layer 1', 'Layer 2', 'Protocols' and others. In this article we will explain what Layer 1 Blockchain stands for.

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What are NFTs?

In 2021 a real mania about NFTs started within the crypto world. But NFTs are not only a topic within the crypto space, they are also starting to conquer the world outside of crypto, rapidly. Multi billion dollar companies like Visa or Adidas and a lot of celebrities are getting

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What are Rug Pulls and how to avoid them?

Besides all the great opportunities the crypto space has to offer there are also bad actors interacting with this ecosystem. A lot of investors have already experienced a so called pump and dump scheme, also known as rug pull. A rug pull happens when the developers siphon off their investors'

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What are Blockchain Bridges?

With a Blockchain Bridge (Cross-chain bridge) you can connect two different blockchain. This can be used to send cryptocurrencies from one blockchain to the other. If you for example have Bitcoin on the Bitcoin blockchain but you want to use it on the Ethereum Blockchain, you can bridge your Bitcoin

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What is Staking in Crypto?

If you are into the crypto space you might have wondered what people mean when they talk about staking. Staking is a way to put your crypto to work and earn rewards on it. There are two different models crypto networks use to process payments. One is the proof-of-work (i.

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What is a Blockchain?

Blockchain is a shared, immutable ledger that facilitates the process of recording transaction and tracking assets in a business network. The ledger containing the transactions is duplicated and distributed across the entire network of computer systems on a blockchain. Each block on the chain contains a number of transactions, and

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What is DeFi?

DeFi stands for Decentralized Finance and is an emerging financial technlogy. This system and the money within it is not controlled by banks or any other institutions. Positive effects of DeFi are: * no fees that banks or other financial institutions charge for using their services * secure store of value on