Exploring Multisig Wallets: How They Work and Why They Matter in the Crypto Space

Imagine a scenario where a mother and her children agree on what food to buy, ensuring everyone's approval before making a purchase. That's how a multisig wallet works.
In this scenario,
• The children are the signers
• an agreement was reached before the food was bought

A multisig wallet can be implemented in DAOs where a protocol upgrade is proposed or they want to fund a transfer for a purpose, thereby ensuring collective decision-making through agreements by requiring multiple signers to approve a transaction.

A multisig wallet needs multiple signers to carry out transactions. Multiple individuals provide their digital signatures, adding an extra layer of security. This is similar to a singlesig wallet but requires multiple signers' approval for a transaction to take place.

Why do they matter in the crypto space?
1. 🔐Increased security: multisig wallets offer added security by requiring multiple signers' private keys. Hackers face difficulty accessing these keys, reducing the risk of a single point of failure compared to wallets with just one key.


 2. ⚖️Cooperation among parties: it allows joint signing of transactions, whereby a consensus is reached and the transaction is then carried out among members. This can be implemented in Dao, where agreements are reached and signers then sign the transaction jointly

3. 🔒 Enhanced peace of mind: Rest easy knowing your funds are safe! With Multisig Wallets, you have greater control and transparency over your transactions, mitigating the potential for fraud or loss.

Remember, the future of secure crypto management lies in your hands, be safe out there!!!

MULTISIG WALLETS AND HOW THEY WORK

📢 What is Layer 1,2 and 3 in blockchain technology? 📢

An important thing to note:
🏗️  a Layer is also called an L

 🅱️ example: a Layer 1 can be called L1, and a Layer 2 called L2 and so    on , you get the picture


Layer 1 refers to the fundamental layer of the blockchain network responsible for core functions like consensus, security, protocols, and programming languages. They are the base layer blockchains

Examples of L1s
• Ethereum(ETH)
• Bitcoin (BTC)
• Binance Smart Chain (BSC)
• Solana

Layer 2 network increases blockchain scalability by collaborating with Layer 1. They improve transaction speed and efficiency by utilizing the main chain's security and consensus mechanisms to process more transactions effectively.

Examples of L2s
• Polygon zkEVM
• Arbitrum
• Starknet
• Celer
• Optimism

Layer 3 is the third layer that emphasizes exciting functionalities and applications built on top of the underlying blockchain, known as Dapps. This is where users interact with the blockchain network through user-friendly interfaces and applications.

Examples of L3s
• Defi
• DEX
• DAO.


I hope this thread helped you understand the examples within the first three layers of blockchain technology. Feel free to ask any questions you may have. Keep exploring and embracing the potential of blockchain!

Unveiling the Secrets of Blockchain: Demystifying Layer 1,  Layer 2, and Layer  3

🧵 Curious about oracles in Web3? Let's unravel the mysteries together! 🌐✨

This thread will explore the fascinating world of oracles and their role in the decentralized web. Join me for an enlightening journey!


🚨 Important note:

• Hybrid smart contract: It refers to a smart contract that merges off-chain data with on-chain computation.

Oracles are groups of nodes that are burdened with the responsibility to bring verifiable off-chain data. They are nodes of the network, like nodes of the @chainlink. They are incentivized with the native protocol token(i.e. @chainlink rewards her Oracles with the LINK token)

If you want your smart contract to access ETH/USD price or trigger functions based on specific conditions, you need oracles. Oracles enable interaction with off-chain data, bridging the gap between the blockchain and real-world information.

An oracle is like a bridge between the blockchain and the outside world. It fetches real-world data and provides it to the smart contract. Think of it as a trusted messenger bringing real-time information to the blockchain.

Oracles enable smart contracts to interact with and respond to real-world events and data. They create a more interconnected and versatile ecosystem, where blockchain applications can seamlessly integrate with our day-to-day lives. 🌐💡

By leveraging oracles, smart contracts can do incredible things. They can trigger transactions based on stock market prices, and bring a Verifiable random number, The possibilities are endless 📈⚡️.


A smart contract that uses off-chain data in combination with on-chain computation is called a  → "Hybrid smart contract"←

However, it is crucial to select trustworthy oracles to ensure the accuracy and security of the data. The integrity of the oracle is of utmost importance, as it holds the power to influence smart contract actions. 🛡️🔐

 So, next time you come across the term "oracle" in the Web3 space, remember that it's like a messenger connecting blockchains with the real world. It enables smart contracts to make decisions based on real-time information. 📲🌍

I hope this explanation helps you understand the meaning of Oracles. If you have any questions, feel free to ask. Stay curious and keep exploring the exciting world of blockchain technology! 🚀✨