Why does every blockchain need its own token? - Crypto in Plain English - Episode 86 - by cryptohunt.it
Crypto in Plain English - by cryptohunt.it25 Tammi 2022

Why does every blockchain need its own token? - Crypto in Plain English - Episode 86 - by cryptohunt.it

Why does every blockchain need its own token?

Welcome to the cryptohunt jam where we spend one minute a day to explain crypto. In plain english.

Have you always been curious why every blockchain has their own token, often called the “native token”, governance token, or rewards token?

You’ve probably seen it in many places: Ethereum has Ether, Polygon has Matic, Celo had Celo Gold but renamed it to Celo. But why?

The reason lies in the way it all works. A decentralized blockchain needs to operate across a large network of independently operated computers, known as nodes. These nodes perform all the work that keeps the blockchains going: They validate transactions, record their history, and execute smart contracts.

But all of that isn’t free. There are people who buy those computers, hook them up to the internet, and pay the power bills. That’s why fees exist, usually called transaction fees or gas fees. Whoever wants to do something on the blockchain has to pay those fees with each transaction. Want to buy an NFT on OpenSea? Pay the price plus fees. Send someone some Lizard Coin? Pay a little in fees.

And that’s exactly what those native tokens like Ether are for. They are a universal currency within that blockchain to pay fees to others for doing the work for you. Using a single such currency for fees keeps things simple across all participants.

So next time someone says they own Ethereum, feel free to correct them. Because really what they own is Ether, Ethereum’s native token.

Disclaimer: This podcast references our opinion and is for information purposes only. It is not intended to be investment advice. Do your own research and seek a duly licensed professional for investment advice.

Jaksot(373)

What is DeFi? Part 1 of 2 - Crypto in Plain English - Episode 37 - by cryptohunt.it

What is DeFi? Part 1 of 2 - Crypto in Plain English - Episode 37 - by cryptohunt.it

Welcome to the cryptohunt jam where we spend one minute a day to explain crypto. In plain english. Today and tomorrow, we’ll dive into the world of DeFI, short for “decentralized finance”, where block...

17 Marras 20211min

What are Crypto ETFs? - Crypto in Plain English - Episode 36 - by cryptohunt.it

What are Crypto ETFs? - Crypto in Plain English - Episode 36 - by cryptohunt.it

Welcome to the cryptohunt jam where we spend one minute a day to explain crypto. In plain english. Today: What are crypto ETFs? You always know that things are going more mainstream when the media tal...

16 Marras 20212min

How do crypto scams work? - Crypto in Plain English - Episode 35 - by cryptohunt.it

How do crypto scams work? - Crypto in Plain English - Episode 35 - by cryptohunt.it

Welcome to the cryptohunt jam where we spend one minute a day to explain crypto. In plain english. Today: How do crypto scams work? Whenever there is money involved, scammers are not far away. In cryp...

15 Marras 20211min

How do you know if a token is a good investment? - Crypto in Plain English - Episode 34 - by cryptohunt.it

How do you know if a token is a good investment? - Crypto in Plain English - Episode 34 - by cryptohunt.it

Welcome to the cryptohunt jam where we spend one minute a day to explain crypto. In plain english. Today: How do you know if a token is a good investment First things first! This is not investment adv...

12 Marras 20211min

How to learn more about Crypto - Crypto in Plain English - Episode 33 - by cryptohunt.it

How to learn more about Crypto - Crypto in Plain English - Episode 33 - by cryptohunt.it

Welcome to the cryptohunt jam where we spend one minute a day to explain crypto. In plain english. Today: How to learn even more about crypto. This is episode 33 of “Crypto in plain English” and if yo...

11 Marras 20211min

What is a fork? - Crypto in Plain English - Episode 32 - by cryptohunt.it

What is a fork? - Crypto in Plain English - Episode 32 - by cryptohunt.it

Welcome to the cryptohunt jam where we spend one minute a day to explain crypto. In plain english. Today we tell you what a fork is. You might have heard the term “fork” recently, especially since Eth...

10 Marras 20211min

What is a Crypto Faucet? - Crypto in Plain English - Episode 31 - by cryptohunt.it

What is a Crypto Faucet? - Crypto in Plain English - Episode 31 - by cryptohunt.it

Welcome to the cryptohunt jam where we spend one minute a day to explain crypto. In plain english. Today, we explain crypto faucets. Crypto faucets are wallets that automatically give away small amoun...

9 Marras 20211min

What is an Airdrop? - Crypto in Plain English – Episode 30 - by cryptohunt.it

What is an Airdrop? - Crypto in Plain English – Episode 30 - by cryptohunt.it

Welcome to the cryptohunt jam where we spend one minute a day to explain crypto. In plain english. Today, we explain airdrops. It's quite literal - airdrops happen when owners of a token distribute it...

8 Marras 20211min

Suosittua kategoriassa Liike-elämä ja talous

sijotuskasti
mimmit-sijoittaa
psykopodiaa-podcast
rss-rahapodi
rss-rahamania
ostan-asuntoja-podcast
rahapuhetta
rss-laakispodi
rss-sisalto-kuntoon
herrasmieshakkerit
sijoituspodi
rss-draivi
inderespodi
rss-sami-miettinen-neuvottelija
rss-lahtijat
rss-bisnesta-bebeja
rss-karon-grilli
rss-seuraava-potilas
rss-paasipodi
vapauta-supervoimasi-podcast