Crypto, NFT’s, Blockchain & the Metaverse: Zero to Hero (2 Evenings Course)

Digital Currency

Benefits

• Decentralized, control, utility, investment, transparency, privacy solutions, universal, fast & low cost payments, P2P

Challenges

• Decentralized, control, utility, investment, transparency, privacy solutions, universal, fast & low cost payments, P2P

Blockchain

• Distributed ledger
• Transactions recorded in blocks
  • Data
  • Hash
  • Previous hash
• Blocks chained sequentially
• Tamper proof environment
• Proof of work
  • Computers “mine”, or solve cryptographic algorithms, to validate blocks
• Proof of stake
  • Validators chosen off staked amount

Many Different Types

Blockchain

Altcoins

• Anything other than bitcoin
• Coins exist on various blockchains
• Can be called “networks” or “ecosystems”
  • Tokens, Decentralized applications (Dapps), users, live in these “ecosystems” and keep the network functional
• Ethereum Network
  • Ether
  • Pros & Cons
• Binance Smart Chain Network
  • Binance Coin
  • Pros & Cons
• Solana Network
  • Solana
  • Pros & Cons
• Polygon Network
  • Polygon/MATIC
  • Pros & Cons
• Meme Coins
  • Dogecoin
  • Shiba Inu
• Privacy Coins
  • ZCash
  • Monero
• Stablecoins
  • Tether, BUSD, DAI, USDC

Interoperability

Bridges

• Some networks can be bridged
  • “Wrapps” assets, or freezes bridged assets and mints 1:1 value of “wrapped” asset on another blockchain
  • Funds do not move, but rather utilizes mint and burn mechanism
  • Can be centralized “custodial” or decentralized “non-custodial”
    • Does a company or protocol own the wrapped assets
  • Uni-directional
  • Bi-directional

Why Bridges

• • Connects ecosystems and strengths Dapps
  • Use coins on various networks
  • Save on gas fees

Utility Tokens – Built Of Coins

• Currency
• Rights
• Access
• Rewards
• Earnings

Security Tokens

• Passes the Howey Test
• “Investment of money in a common enterprise with a reasonable expectation of profits to be derived from the efforts of others”

Coin Research

• Coinmarketcap.com
• Coingecko.com
• Whitepaper
• Audits

Wallets

How Is Crypto Stored?

• Wallets, exchanges, smart contracts
• Custodial VS Non Custodial
  • Pros and Cons
    • Security
    • Control
    • Ease of use

What Is A Wallet?

• Public key (public address)
• Private key

Software Wallet

• Trust Wallet
• Zecwallet Lite

Browser Wallet

• Metamask
• Phantom

Hardware Wallet

• Ledger
• Trezor

Paper Wallet (If You’re Hardcore)

Multi-Sig Wallet

Pros And Cons Of Different Storage Methods

Most Secure Method To Store Crypto

How To Secure Wallet

• Backup phrase
• Private keys offline
• Protect device
• Connect to only trusted sites
• Careful what permissions you allow

How To Use A Wallet?

• Metamask example
  • Show how to create metamask
  • Explain backup phrase
  • View accounts
  • Import tokens
  • Find address
  • Send and receive
  • Add networks
  • Connect to DeFi
  • Permissions

Security

Avoiding Scams

• Do not click unknown links
• Do not download unknown files
• Be aware of Phishing scams
  • Ensure all info from authentic source
• Edit spend limits
• Rug pulls
  • Research team
  • Tokenomics
  • Legitimacy of project

Gas Fees

• Fee associated with sending crypto
  • Is awarded to miner or staker who validates your transaction
  • Price based on supply and demand for block space
  • Highest bidder will be validated first
• Can be anywhere from fractions of a penny to hundreds of dollars
• Depends on network and scalability

Decentralized Finance

• Smart contracts govern financial services
  • Code that sets the parameters for a transaction to occur
• Decentralized exchanges
  • Swapping
  • Liquidity pools
  • Yield farming
• Impermanent loss