Book Image

The Essential Guide to Web3

By : Vijay Krishnan
3 (1)
Book Image

The Essential Guide to Web3

3 (1)
By: Vijay Krishnan

Overview of this book

Web3, the new blockchain-based web, is often hailed as the future of the internet. Driven by technologies such as cryptocurrencies, NFTs, DAOs, decentralized finance, and more, Web3’s aim is to give individuals more control over the web communities they belong to. Whether you’re a beginner or an experienced developer, this book will help you master the intricacies of Web3 and its revolutionary technologies. Beginning with a concise introduction to blockchain and the Ethereum ecosystem, this book quickly immerses you in real-world blockchain applications. You’ll work on carefully crafted hands-on exercises that are designed for beginners as well as users with prior exposure. The chapters show you how to build and deploy smart contracts, while mastering security controls and discovering best practices for writing secure code. As you progress, you’ll explore tokenization and gain proficiency in minting both fungible and non-fungible tokens (NFTs) with the help of step-by-step instructions. The concluding chapters cover advanced topics, including oracles, Layer 2 (L2) networks, rollups, zero knowledge proofs, and decentralized autonomous organizations (DAOs). By the end of this Web3 book, you’ll be well-versed in the Web3 ecosystem and have the skills to build powerful and secure decentralized applications.
Table of Contents (25 chapters)
Free Chapter
1
Part 1 – Introduction to Web3
5
Part 2 – All about Smart Contracts
9
Part 3 – Writing Your DApps for Web3
12
Part 4 – Fungible Tokens
15
Part 5 – Non-Fungible Tokens
18
Part 6 – Web3 Advanced Topics

Introduction to Tokenization

A token represents the ownership of something. A majority of blockchain use cases start with a token. Fungible tokens are all identical and cannot be distinguished from each other; currencies are an example of fungible tokens. Non-fungible tokens (NFTs) are all unique. They’re adapted to represent legal documents, luxury goods, pieces of art, and so on, whereas hybrid tokens are a mix of both as they introduce token classes. A class can be tranches of a pool of securities, a container on a ship, and so on. Adopting a modular strategy provides the necessary adaptability to meet the needs of both conventional stakeholders and crypto-oriented audiences, thereby facilitating the merging of decentralized finance (DeFi) and centralized finance (CeFi) into a tangible reality.

In this chapter, we will discuss the possibilities of creating a real-world asset with tokens, creating new business models with tokens, and looking at examples of digital assets...