🌐Blockchain Networks Explained

Networks refer to different blockchain platforms where transactions and smart contracts are processed. Each blockchain has its own unique currency, and features, serving as the foundation for various applications and ecosystems.

Think of a blockchain network as a large, digital database where every transaction and activity is recorded. This database is decentralized, meaning it’s maintained by thousands of computers (called nodes) around the world, making it secure and resistant to tampering.

Here are some key concepts to understand about blockchain networks:

Transactions

• Each network handles transactions differently in terms of speed, cost, and security. Transactions involve sending cryptocurrency from one wallet to another, and they often come with fees (sometimes called "gas").

Smart Contracts

• Many networks support smart contracts—self-executing programs that run on the blockchain. These contracts allow for more complex transactions, like automated trades or decentralized applications (dApps).

Tokens

• Networks can have their own native cryptocurrency (like ETH on Ethereum) as well as other tokens built on top of them (such as ERC-20 tokens on Ethereum or SPL tokens on Solana).

Different networks are optimized for different purposes. For example, Ethereum is known for its strong developer community and dApps, while Solana is praised for its speed and low transaction fees.

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