Welcome to the third edition of Web3 101: A Quest for Knowledge! A quick update: We’ll drop by your mailbox every Thursday from now on! 📩
Before diving in, let’s get you your FIRST REWARD!
✨ CLAIM YOUR NFT! ✨
Congratulations on completing Level 1 of the Quest! 👏 You’re all set to claim your first reward for this feat. Fill out this form and keep watching your wallets for this beautiful NFT! 👇
As usual, If you stick around until the end of this newsletter and follow our step-by-step guide, you'll be rewarded!
So, sit back, relax, and get ready to travel through the blockchain world! 🚀
🚨 Note: This is not investment advice. We do not make any recommendations on whether you should buy or sell any cryptocurrency or digital assets. The information contained in this article is for educational purposes only.
Decentralized exchanges (DEXs) work on a blockchain and enable peer-to-peer trading of cryptocurrencies without relying on a central intermediary.
Using DEXs can be a bit challenging at first since you're responsible for all your transactions. But with a little bit of learning, you'll be able to trade confidently on DEXs in no time! Let’s get to know some of them👇
Uniswap: The largest DEX in the world by trading volume and built on the Ethereum blockchain. It uses a unique automated market maker (AMM) algorithm that allows for the creation of liquidity pools and the trading of tokens without the need for an order book.
SushiSwap: Also built on the Ethereum blockchain that allows users to trade crypto in a trustless and non-custodial manner. SushiSwap was launched as a fork of Uniswap with its own token, SUSHI, and a different fee structure.
Curve Finance: A DEX that specializes in stablecoin trading. Curve Finance also uses an AMM model that is optimized for stablecoins, allowing users to trade stablecoins with low slippage and fees.
PancakeSwap: A DEX built on the Binance Smart Chain. It is designed to provide users with a faster and cheaper alternative to Ethereum-based DEXs. It uses an AMM model and offers a range of features, such as yield farming and token staking.
dYdX: A DeFi platform for peer-to-peer trading and lending of crypto. All transactions happen directly between users, and the platform operates on smart contracts. dYdX offers various products and does not hold user assets.
💡 DID YOU KNOW?PancakeSwap was inspired by the popular decentralized exchange Uniswap and was created as a fork of Uniswap on the Binance Smart Chain network.
Additionally, its native token, CAKE, is not only used for governance and transaction fees but can also be staked to earn rewards in other cryptocurrencies.🏅
Save up on GAS! ⛽️
Curious about gas fees on the Ethereum blockchain? Well, in a nutshell, it's a cost you pay in Ether to get your transaction processed on the network. Think of it as a tip for the miners who make it all happen.
The amount you pay is based on the complexity of your action and the current demand on the network. When things get busy, fees can skyrocket, but fear not! 🤓There are ways to avoid high fees, here are some:
Use a different blockchain: Some blockchains, such as Polygon, Optimism, and Binance Smart Chain, have lower transaction fees than Ethereum. This can be a good option if you are looking to transfer a large amount of ERC-20 tokens.
Use a different wallet: Some wallets, such as MetaMask, allow you to adjust the gas price for transactions. By lowering the gas price, you can reduce the transaction fee.
Wait for a dip in network congestion: During times of high network congestion, transaction fees tend to be higher. By waiting for a dip in the network activity, you can often save on fees.
🚨 It's important to keep in mind that transaction fees can be affected by multiple factors. It's always advisable to check and compare the transaction fee before making a transaction.
Keep the scammers away 🚨
Here are some tips to help you avoid scams in the cryptocurrency space:
Do your research: Do your homework before investing. Research the team, technology, and use case of a project. Avoid red flags like unrealistic promises or unclear use cases.
Avoid unsolicited offers: Be wary of unsolicited offers, whether it's through email, social media, or phone calls. Scammers often use these methods to reach potential victims.
Check the website and social media accounts: Check the official website and social media accounts of the project. Avoid projects with low engagement or few followers on social media and poorly designed websites.
Be sceptical of guaranteed returns: Be extremely cautious of any investment opportunity that guarantees high returns, especially if they are too good to be true.
Use trusted platforms: Use reputable crypto exchanges/wallets to trade and store your assets. Avoid platforms with unrealistic return promises or hidden fees.
Check for licenses and regulations: Check if the platform or the project you are dealing with is regulated and licensed by relevant financial authorities.
Watch out for phishing: Be cautious about clicking on links from unknown sources to avoid falling victim to phishing scams that can steal your personal information and login credentials.
Never share your private keys: Keep your private keys and recovery phrases to yourself! They're like the keys to your house but for your digital assets. If they're stolen, your assets are at risk.
Get crypto in your wallets 👛
Are you ready to take control of your crypto assets and participate in the world of DeFi? One of the first steps is to transfer your crypto from a centralized exchange to a crypto wallet. 🪄
In today’s guide, we will walk you through the process of transferring your crypto so you can then use it to participate in DEXs and perform other activities in Web3.
Open your Binance App, Choose the withdrawal option for the crypto wallet.
Click on the “Crypto” option (this is an option you use to withdraw your money in the form of crypto), then click on ETH in the coin list.
On this screen, you’ll need to enter the metamask wallet you wish you receive your crypto in. And choose the network you wish to use.
Now open your Meta mask, and the Ethereum Main Network will be in use by default. To switch the network, click on the Ethereum Main Network.
Choose “Arbitrum” from the list of network and click on “Add to Network”.
To get the wallet address, click on the center, the hexadecimal address will be copied.
Once you have your metamask wallet address, go back to your Binance app, and paste the wallet address for withdrawal on the address bar. And make sure to double and triple-check your wallet address because once the transaction is placed, it’s irrevocable.
A list of networks shows up with the number of fees charged and the time taken for a transaction. You may choose a network of your choice. But for this demo, we’ll use Arbitrum to save on gas fees and then click on confirm.
Once, you’ve selected the network - Arbitrum, Enter the amount you wish to withdraw to your Metamask wallet and then click on “Withdrawal”.
Confirm the withdrawal process and wait for the transaction to be confirmed.
Complete your security verification by entering the code received on your mobile and email. And your withdrawal will be in process. ✅
You can also see the transaction history on metamask or check your transaction on arbiscan.
You’ll see your first transaction and your genesis block on the Arbitrum blockchain. Well done for coming this far, Congratulations! 🎉
Task and Reward Time! 🏆
Ready to be shortlisted for the Level 2 NFT? Here’s your TASK 👇
Follow our simple guide and transfer crypto to your wallet.
Also, Web3 101 community kicks off soon! Keep reading & Stay tuned ✨
And that's all for today, folks! Catch you in the next issue for some new stuff to learn, exciting topics to explore, and challenges to help you conquer the crypto world! 👋
