Crypto.news - OpenZeppelin eradicates the isContract function, fostering a shift towards greater adaptability and enhanced user experiences in the Ethereum ecosystem.

Smart contract development service OpenZeppelin recently removed a commonly used smart contract function called isContract to push the ecosystem forward toward greater flexibility and improved user experiences.

The isContract function returns true if an Ethereum (ETH) address belongs to a smart contract account rather than an externally owned account (EOA). Many decentralized application (dapp) developers have relied on it for security purposes, such as preventing bots from minting non-fungible tokens (NFTs).

However, as Ambire Wallet co-founder and CEO Ivo Georgiev pointed out rejoicing for removing the feature, relying on isContract breaks compatibility with account abstraction wallets like Ambire, Argent, and Safe. These wallets use smart contracts to manage users funds while abstracting some complexities away from the end user.

According to Georgiev, better ways to prevent issues like NFT minting abuse and security vulnerabilities exist. The presence of isContract has led to a harmful myth that smart contracts cannot function as user accounts.

In response, OpenZeppelin removed the function to push developers to reconsider assumptions about smart contracts and user accounts. This controversial move could accelerate the adoption of account abstraction and its associated benefits.

Safe a decentralized custody protocol previously known as Gnosis Safe developer Misha highlighted legitimate use cases of isContract, like ensuring that added Safe modules are valid contracts. However, Georgiev argued that there are better solutions that dont preclude important account abstraction techniques.

The OpenZeppelin documentation warns that isContract should not be relied upon as the sole determiner of contract or EOA status. According to him, with clever programming, bots can return false positives or negatives.

This debate represents an important step forward as Ethereum builders rethink outdated assumptions and plant the seeds for the next generation of user-friendly decentralized applications. Removing isContract forces developers to find alternative solutions, ultimately benefiting end users by stopping discrimination against abstracted accounts.

This article was originally published on Crypto.news

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A terracotta soldier figurine emerging from a digital tablet. The soldier looks digitized at it's base but becomes a solid form at it's top.

Were progressing toward the next era of the internet in fits and starts. Web3 is said to offer the potential of a new, decentralized internet, controlled by participants via blockchains rather than profit-motivated corporations. But progress hasnt been linear: one major setback has been the meltdown of the cryptocurrency market in 2022, triggered by multiple cryptocurrency failures and high-profile cases of fraud. Regulators are paying increased attention to Web3 players, and public curiosity is peaking.

Robert Byrne is a senior partner in McKinseys Bay Area office, and Prashanth Reddy is a senior partner in the New Jersey office.

But Web3 is about much more than crypto. Blockchain, smart contracts, and digital assetsthe latter created via a process called tokenizationstand to change the way we exchange ideas, information, and money. For organizations and early adopters, there is significant value on the table.

Lets get specific: tokenization is the process of issuing a digital representation of an asset on a (typically private) blockchain. These assets can include physical assets like real estate or art, financial assets like equities or bonds, nontangible assets like intellectual property, or even identity and data. Tokenization can create several types of tokens. Stablecoins, a type of cryptocurrency pegged to real-world money designed to be fungible, or replicable, are one example. Another type of token is an NFTa nonfungible token, or a token that cant be replicatedwhich is a digital proof of ownership people can buy and sell.

Tokenization is potentially a big deal. Industry experts have forecast up to $5 trillionin tokenized digital-securities trade volume by 2030.

Theres been hype around digital-asset tokenization for years, since its introduction back in 2017. But despite the big predictions, it hasnt yet caught on in a meaningful way. We are seeing slow movement: US-based fintech infrastructure firm Broadridge now facilitatesmore than $1 trillion monthly on its distributed ledger platform.

In this article, well drill down into how tokenization works and what it might mean for the future.

Learn more about McKinseys Financial Services Practice.

Before we dig deeper into tokenization, lets get some basics defined. As weve seen, Web3 is a new type of internet, built primarily on three types of technology:

As well see, these technologies come together to support a variety of breakthroughs related to tokenization.

Some industry leaders believe tokenization stands to transformthe structure of financial services and capital markets by letting asset holders reap the benefits of blockchain, including 24/7 operations and data availability. Blockchain also offers faster transaction settlement and a higher degree of automation (via embedded code that only gets activated if certain conditions are met).

While yet to be tested at scale, tokenizations potential benefits include the following:

Learn more about McKinseysFinancial Services Practice.

There are four typical steps involved in asset tokenization:

Maybe. Financial services players are already beginning to tokenize cash. At present, approximately $120 billion of tokenized cash is now in circulation in the form of fully reserved stablecoins. As noted above, stablecoins are a type of cryptocurrency pegged to a physical currency (or commodity or other financial instrument) with the goal of maintaining value over time.

Financial services players may be starting to play with tokenizingtheirs is the biggest use case to datebut its not yet happening on a scale that could be considered a tipping point.

That said, there are a few reasons that tokenizing might take off. For one thing, the higher interest rates of the current cyclewhile cause for complaint for manyare improving the economics for some tokenization use cases, in particular those dealing with short-term liquidity. (When interest rates are high, the difference between a one-hour and 24-hour transaction can equal a lot of money.)

Whats more, since tokenization debuted five years ago, many financial services companies have significantly grown their digital asset teams and capabilities. These teams are experimenting more and continually expanding their capabilities. As digital asset teams mature, we may see tokenization increasingly used in financial transactions.

Learn more about McKinseysFinancial Services Practice, and check out Web3-related job opportunities if youre interested in working at McKinsey.

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What is tokenization? - McKinsey

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| Oct. 11, 2023, 6:59 p.m.

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In this exclusive expos, you can unveil the top 5 online blockchain courses that are making headlines this year for being the best crypto courses in 2023, equipping you with the tools you need to stay at the forefront of crypto education.

In the fast-paced world of blockchain, Courseras Blockchain Specialization stands as a beacon of comprehensive education. Developed in collaboration with Blockchain at Berkeley, this program offers an immersive journey into the core of blockchain technology. It encompasses a wide spectrum of topics, from blockchain fundamentals to smart contracts and decentralized applications (DApps).

What sets this course apart, as seen in this Moralis academy in-depth review, is its practical, hands-on approach. Students dont merely absorb theory but actively engage in real-world projects, gaining invaluable experience in blockchain development. The specialization also delves into various blockchain platforms, including Ethereum and Hyperledger Fabric, catering to enthusiasts across the blockchain ecosystem.

The partnership between edX and the University of California, Berkeley, has birthed the Cryptocurrency Professional Certificate program. For those yearning to decipher the intricacies of cryptocurrencies and the bedrock technology, blockchain, this program is a beacon of knowledge.

The curriculum unfurls the world of cryptocurrency markets, wallets, mining and the intricate world of smart contracts. Students emerge with a holistic understanding of how cryptocurrencies operate, their potential applications and the associated risks. Whats noteworthy is the academic rigor embedded in the course, which culminates in a prestigious professional certificate from the University of California, Berkeley.

Ethereum, a blockchain trailblazer, beckons developers and enthusiasts alike. Udemys Complete Ethereum and Solidity Developer Course is your gateway to the heart of Ethereum and decentralized application development.

This course navigates through Ethereums architectural intricacies, instructs on smart contract development using Solidity and guides learners in crafting their decentralized applications. With a pragmatic, project-driven approach, students are empowered to create Ethereum-based DApps by course completion.

When MIT speaks, the world listens. MIT OpenCourseWare offers an enticing treasure trove for crypto enthusiasts with its free course, Cryptocurrency Engineering and Design. Here, the underpinnings of cryptocurrencies and their underlying technologies are meticulously dissected.

This course transcends the superficial and delves deep into cryptographic principles and consensus algorithms. While it demands a robust technical foundation, it caters to developers and engineers seeking to fathom the intricacies of blockchain technology.

For those seeking to master blockchain development across diverse platforms, including Ethereum, Hyperledger and Corda, B9labs Certified Blockchain Developer program is a pearl in the oyster. Its tailored for developers on a quest for blockchain proficiency and industry-recognized certification.

What truly distinguishes this program is its mentorship component. Students receive personalized guidance from seasoned blockchain professionals, enriching their learning journey. The curriculum spans smart contracts, decentralized applications and blockchain security, culminating in a certification widely esteemed in the blockchain industry.

In the ever-evolving world of blockchain and cryptocurrency, these top 5 online courses serve as guiding stars, illuminating the path to mastery. Whether you aspire to craft decentralized applications, fathom blockchains inner workings, or grasp the full spectrum of the cryptocurrency landscape, these courses cater to your aspirations. Invest in your knowledge today and youll be primed to navigate the ever-shifting terrain of blockchain and crypto with confidence and competence in 2023 and beyond.

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Introduction to online blockchain courses: top 5 Crypto courses ... - Salt Lake Tribune

Hacken, a trusted blockchain security auditor, has joined forces with Radix, a layer-1 smart contract platform. As part of this partnership, Hacken becomes the go-to security code auditor for projects on the Radix platform.

Radix is a full-stack, layer-1 smart contract platform that allows developers and the users of their applications to experience web3 and decentralized finance (defi) through decentralized applications (dapps).

As a full-stack platform, it offers a comprehensive suite of tools and an easy-to-implement programming language, Scrypto, necessary for the creation and execution of smart contracts.

Hacken has a trusted team of over 60 cybersecurity experts and a large community of white hat hackers and security researchers who are conversant with the Scrypto programming language unique to the Radix network and have immersed themselves in the tech stack of the Radix execution environment, consensus algorithm, and the network ecosystem.

The partnership between Radix and Hacken is geared towards code audits that would strengthen the security of the Radix ecosystem.

Expressing his satisfaction with the partnership, Piers Ridyard, CEO of RDX Works, said:

We have been incredibly impressed with Hackens professional approach, deep technical competence, and comprehensive audit process. Radix, as a new technology stack with novel coding language and execution environment, demanded thorough scrutiny. We are thrilled to have projects in the Radix ecosystem carry forward with the Hacken seal of approval.

Although it does not guarantee absolute security, the partnership would enhance the robustness of dapps built on the network to instill greater confidence in its users. Due to its experience working with over 1,200 web3 projects, Hacken has set its focus on making the crypto space a safer place.

When asked about working with Radix, Igor Bershadsky, the director of Business Development and Partnerships at Hacken, said:

Radix finally delivers what other protocols struggle with relative ease of use and a well-written set of built-in components with comprehensive documentation which allows easier creation of decentralized applications. Their approach is both user and developer-friendly. They have the potential to finally create a blockchain ecosystem which will be safe to use by non-technical users.

Following its commitment to create a safe blockchain environment, the Radix public network recently underwent an upgrade from its Olympia version to Babylon. This would allow the development of powerful smart contract functionalities that are also aimed at enhancing the security of the network.

Disclosure: This content is provided by a third party. crypto.news does not endorse any product mentioned on this page. Users must do their own research before taking any actions related to the company.

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Decentralized Finance (DeFi) has engulfed the financial world. It is seeping into global economies due to its core functionality and how it is power-driven and based on blockchain technology a decentralized, distributed, and open digital ledger that is used to track transactions across several computers in a way that prevents changes to the record from being made in retrospect without also changing all following blocks and obtaining network consensus. Below, we will delve deeper into the current state of DeFi and discuss how it can potentially disrupt finance systems in the traditional sector. Furthermore, we will explore and highlight the challenges of DeFi and what needs to be done to overcome these challenges and gain widespread adoption. Join us as we uncover the future of decentralized finance.

DeFi, which stands for decentralized finance, is a catch-all name for apps and projects in the public blockchain environment aimed at upending the established financial sector. DeFi refers to financial apps created with smart contracts and based on blockchain technology. Smart contracts are automated, legally binding contracts that can be executed without the assistance of a third party. Anyone with an internet connection can use them to conduct financial transactions and carry out various other tasks.

DeFi comprises peer-to-peer protocols and apps created on decentralized blockchain networks without access rights. Financial tools can be easily lent, borrowed, or traded using decentralized apps (dApps). The Ethereum network is used to build the majority of DeFi apps today. Still, several new open networks are gaining popularity because of their greater speed, scalability, security, and affordability.

Looking at history, financial systems in the traditional sector have been for the lifecycle of money, leading to various fiat currencies emerging and having those currencies led and guarded by central authorities (governments) and other intermediaries. In all honesty, it is important that we express the truth and reality of what we have experienced and continue to experience with centralized currencies that are not only politically affiliated but make the richer even richer and expand the already large gap between the rich and poor as the poor are becoming even poorer.

Looking at global economies today, many people across different financial classes struggle. Furthermore, due to the structures that exist across different sectors and institutions and the way things have generally been set up for years, those across different financial classes, specifically the middle and lower classes, are struggling, leading to an ongoing cycle of people being either not making enough, drowning in debts, being on the verge of poverty and others struggling to make it out of poverty, while the richer become even richer.

DeFi was designed as an alternative and a solution that would help to minimize the need for reliance on and faith in a centralized authority while creating a financial system that is accessible to everyone.

It is important to note that DeFi is a relatively new but growing concept. Some claim that the beginning of DeFi occurred in 2009 with the introduction of Bitcoin, the first peer-to-peer (p2p) digital asset constructed on top of the blockchain network, making it feasible to foresee a change in the established financial sector. Blockchain technology has become a crucial next step in decentralizing antiquated financial institutions. It was all made feasible by introducing Ethereum in 2015 and, more precisely, smart contracts. The Ethereum network is a second-generation blockchain that fully exploits this technologys promise in the financial sector. It supported companies and organizations in creating and implementing the projects that made up the DeFi ecosystem.

A decentralized finance and digital asset educational specialist at Bitai Method mentions that DeFi has opened up numerous possibilities for building a reliable and open financial system that is not under the authority of a single institution. In 2017, initiatives turned a corner and expanded beyond simple money transfers. DeFi has since developed into a fully functional ecosystem with functional applications and protocols that benefit millions. As of April 2022, DeFi ecosystems contained assets worth approximately $239 billion, making it one of the public blockchain spaces fastest-growing subsectors. In 2022, the market for decentralized finance was estimated to be worth USD 13.61 billion. From 2023 to 2030, it is anticipated to increase at a CAGR of 46.0%.

As seen above, it is evident that DeFi has had quite a growth in traction over the past few years that has greatly influenced and revolutionized traditional financial markets. This is evident through the numerous DeFi platforms that offer permissionless access to financial services, inherently transforming how we deal with money, especially regarding transactions, lending, investments, and borrowing.

As mentioned above, one of the core foundations and pillars of DeFi is the concept of smart contracts blockchain-based programs that function and execute when specific criteria are met. They are often used to automate the implementation of an agreement so that all parties can be sure of the conclusion immediately. In more straightforward and more practical terms, smart contracts as legally binding contracts help to eliminate the need for a central authority and intermediaries, including banks and brokers, further eliminating any delay, rejection, or bias from central authorities and middlemen. Smart contracts further make finance access more accessible and less complex. All of the aforementioned provide users with greater control and autonomy over their assets and reduce reliance on central authorities this further promotes and perpetuates greater financial autonomy.

For obvious reasons, DeFi apps are booming and seeping into different industries. Weve got decentralized exchanges (DEXs) that let people trade directly with each other without the need for a middleman. Its all about liquidity and giving users many choices regarding trading tokens. Then, there are lending and borrowing protocols that let users lend out their stuff to earn interest or borrow assets by using what they already have as collateral. And lastly, there is yield farming! Which is all about making the most of your returns using different DeFi platforms, usually by providing liquidity or staking your tokens.

DeFi poses a threat as it has enormous potential to disrupt and dismantle global financial systems and economies in multiple ways; this includes the significant threat of potentially replacing banks. Looking at the record of the crypto-verse and the technology that supports it, we can assume that as a wealth vault, a medium of exchange, and a unit of account, DeFi might easily replace cash. By offering quicker transactions, higher security, reduced fees, and smart contracts, decentralized blockchain-based systems can take the position of banks. Through DeFi, we may lend and borrow money, raise money for initiatives, and transfer money. Those above are just the beginning, too, as many investors and enthusiasts believe that traditional banking and finance might soon be replaced by a decentralized economy that is more effective and scalable.

One of the biggest advantages of DeFi is that it gives unbanked or underbanked people a chance to access financial services without relying on traditional gatekeepers. This inclusivity has the potential to bridge the global wealth gap and help people become more financially independent.

Unfortunately, traditional financial systems often exclude people who dont have easy access to banking services due to high transaction fees, lack of identification, or geographic limitations. But with DeFi, anyone with an internet connection can participate in the global financial ecosystem. This is especially impactful in developing countries where traditional banking infrastructure is limited.

Another great thing about DeFi is that it can improve transparency and security in financial transactions. Using blockchains immutability, DeFi platforms can ensure tamper-proof records and real-time auditing. Traditional financial systems are often opaque and centralized, which can lead to fraud and manipulation. With DeFi, participants can trust that their transactions are secure and that theres less need for intermediaries.

Finally, DeFi enables decentralized governance models where stakeholders have a say in decision-making processes. This shift towards community-driven governance challenges the centralized control of traditional financial institutions and promotes a more democratic and equitable system. With voting mechanisms and decentralized autonomous organizations (DAOs), participants can actively shape the future of DeFi platforms and ensure that they align with community interests.

Although DeFi has a promising future, it is imperative to remember that it is a relatively new and growing concept with numerous hurdles and challenges that must be addressed throughout the development process. One of the main concerns we can note is scalability. Although DeFi is scalable, it also has shortcomings, specifically regarding network congestion and high transaction fees, which have become prevalent issues resulting from DeFi gaining momentum and growing in popularity.

To delve deeper into this, the Ethereum Network, which holds many DeFi applications, must work on scalability limitations. However, solutions have been introduced in the form of blockchain interoperability and Layer 2 protocols Blockchain Layer 2 solutions are protocols that run on top of a Layer 1 blockchain (such as Bitcoin or Ethereum) to enhance the underlying blockchains scalability, privacy, and other properties. The most popular options are state channels, sidechains, optimistic Rollups, and zero knowledge Rollups. All those mentioned above are actively being explored to address the challenges and ensure a functional and seamless user experience.

Additionally, regulatory frameworks are another aspect that poses a significant hurdle to DeFis widespread acceptance and adoption. As it stands, no global regulatory framework or policy governs or regulates the digital asset industry. The regulation of cryptocurrencies and decentralized systems is a tough issue for governments worldwide, and it has become more difficult to strike a balance between investor protection and innovation. To create a regulatory environment that encourages innovation while defending the interests of users, cooperation between industry participants, lawmakers, and regulators is essential.

Moreover, the user experience of DeFi platforms can be quite complex and hard to learn, especially for those just learning about digital currencies and everything related to the sector. Therefore, this complexity and steep learning curve create limited accessibility for newcomers.

For those who need to become more familiar with blockchain technology, the difficulties of connecting with wallets, managing private keys, and comprehending the subtleties of many protocols can be overwhelming. To promote widespread adoption, user interfaces can be made simpler, educational resources can be improved, and smooth onboarding procedures can be offered.

DeFi is transforming finance, enhancing transparency, inclusivity, and democracy. It has the potential to replace traditional systems, empowering individuals, strengthening security, and reinventing governance. While challenges exist, solutions are emerging. Collaboration among DeFi projects, industry players, and regulators is crucial for safe and accessible DeFi. Intuitive user experiences and educational resources can broaden access. Embracing innovation and overcoming hurdles will reshape finance, unlocking possibilities globally. Staying informed, adapting to change, and advocating for an open and accessible financial system are vital for the future.

Byline: Hannah Parker

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The Future of Decentralized Finance - The Bay Citizen