The week of 10/01 in brief – News about Bitcoin and cryptocurrencies is in constant turmoil. It can happen that crucial information gets lost in the daily information flow and that you miss important points.
This format is there to remedy that. We return to the news of the past week in the Hebdo Crypto to keep you informed on the current situation of cryptocurrencies.
The unmissable of the corner
For the unmissable of this week, we will honor the second contribution of Jeff Makvs. In this article, he tackles a topical subject: the decentralization of web 3.0. Indeed, this argument often put forward by project teams is in many cases only a mirage.
Dapps not so decentralized
As we mentioned recently, Web3 will grow in 2022 and even beyond. This term has literally become the most used word in the crypto community, perhaps only beaten by “metaverse”. the Web 3 is intended to be decentralized and refocus Web 2 applications around the userto start with his data and his “virtual intimacy”.
In order to immerse yourself in the internet of the future, Moxie created two Dapps (decentralized applications) related to NFT’s. This allowed him to dissect their functioning and its verdict is final : there is nothing “distributed” about apps as popular asOpenSea, the NFT giant. However, the distribution of the network and its data is one of the fundamental principles to ensure the decentralization of a blockchain.
“To be perfectly clear, there’s nothing particularly ‘distributed’ about the dApps themselves: they’re just regular React websites. At most we can concede that the general state and the permissions as well as part of the logic of the development are updated in real time on blockchains, but we just move the centralized database there. »
Moxie, in a blog post
Blockchain and crypto enthusiasts tend not to care about the client/server aspect of operations. Recall that he is laborious in all respects run their own servers (already in web 2). However, This is where the problem lies. Although all protocols and smart contracts be decentralized, the majority of Dapps uses two main companies to interact with blockchain Ethereum.
Ethereum hitch to Infura
In this case, companies – Infura and Alchemy – sell API (application programming interface) access to an ethereum node that they run for their customers (Open Sea among others). They also provide analytics, enhanced APIs implemented to core Ethereum APIs, and access transaction history of each wallet…
According to Moxie, almost all Dapps use the services ofInfura orAlchemy to operate their transactions on the blockchain. In reality, when you use your MetaMask with a Dapp, Metamask only requests information from Infura (private company, centralized). The society which rotates the node respond then to MetaMask, which updates your balance based on the information provided by Infura. And Infura’s answer to your Metamask itself is not encrypted !
Do not hesitate to consult the article in its entirety for more details : Web 3: the mirage of decentralization?
News in brief
▶ The Cash App integrates the Lightning Network. Thus, the mobile money transfer application goes further in its adoption of Bitcoin. This feature should allow transactions in BTC without fees.
▶ Ex-Twitter CEO Jack Dorsey Wants to Protect Bitcoin Developers. He announced the creation of a legal fund to ensure the legal defense of developers.
▶ The date of the passage to the Proof of Stake of Ethereum is specified. The developers have announced that The Merge is set to roll out around June 22, 2022. Hopefully, further delays won’t spoil the party.
▶ Is PayPal Coin imminent? This was revealed by Bloomberg in an interview with the company’s vice president of cryptocurrency.
▶ Nothing better than the new year to take stock of the taxation of cryptocurrencies in France. How will we be eaten this year?
▶ How to diversify your stablecoin returns via Curve and Beefy? Discover the complete tutorial offered by CryptoFarmer. !
The 5 metrics of the week
➤ $60 millionit is the amount in BTC that was “seized” by the German police. Unfortunately, they do not have the private key to access the funds. In the end, it only “seized” a public address… a very meager loot!
➤ One in 1.36 millionit is how lucky this lone miner was to mine a block on bitcoin. And yet, he did! Thus, the latter managed to validate a block without being part of a mining pool, allowing him to pocket the 6.25 BTC block reward.
➤ $100 millionit is the volume recorded by the sales platform of NFT LooksRare the day of its launch. Thus, the latter intends to dethrone the OpenSea king, by offering a more community-based approach.
➤ $13 millionit is the amount raised by the startup Web3Auth. It wishes to simplify and better secure the use of private keys. A necessity to foster the adoption of ecosystems such as DeFi.
➤ 1,000it is the number of BTC acquired by the BitFarms company. Thus, like MicroStrategy, this company specializing in mining wants to protect its cash by investing in bitcoins.
Tweet of the week
Tweet of the week goes to @J0hnwangwith some figures on the real performance of blockchains say Layer 1. Far from simply wanting to attack the projects concerned, this one rather seeks to highlight the difference between theoretical limit and practical limit.
Have a nice week on the Journal du Coin! 🙂
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