Binance Square

educational

180,867 views
342 Discussing
Crypto Skull Signal
·
--
3 Essential Rules for Managing Your Portfolio in a Volatile Market 📉Many traders struggle to make decisions during price fluctuations. Here are the top tips to organize your trades: ​1️⃣ Capital Allocation: Avoid putting all liquidity in one point. Keeping a portion of (USDT) for emergencies helps you reinforce from lower support levels. ​2️⃣ Market Psychology Monitoring: The Fear & Greed Index reflects traders' sentiments. When fear dominates, there is an opportunity to reassess assets and seize good entry points away from panic.

3 Essential Rules for Managing Your Portfolio in a Volatile Market 📉

Many traders struggle to make decisions during price fluctuations. Here are the top tips to organize your trades:
​1️⃣ Capital Allocation:
Avoid putting all liquidity in one point. Keeping a portion of (USDT) for emergencies helps you reinforce from lower support levels.
​2️⃣ Market Psychology Monitoring:
The Fear & Greed Index reflects traders' sentiments. When fear dominates, there is an opportunity to reassess assets and seize good entry points away from panic.
Think of how the world would be a better place to live in when your morning scrolls, and the degenerate trades, will buy a child an education. This is the magic of $GIGGLE Coin, it is the first digital coin to have laughter as its currency, out of an empty hype and into physical human influence. It converts market volatility to classroom supplies linking all transactions to Giggle Academy. The explosion of the Social Fi movement enables #giggle to grow due to its soul. When other coins are burning, Giggle is alternating. Having an automated, clear donation engine and a huge community of Giggle-ors, it is replacing the story about moon shots with the story about mind development. The greatest rewards in the future will not merely be in your pocket but it will be the life they transform with a single button press. #Write2Earn #giggle #educational
Think of how the world would be a better place to live in when your morning scrolls, and the degenerate trades, will buy a child an education. This is the magic of $GIGGLE Coin, it is the first digital coin to have laughter as its currency, out of an empty hype and into physical human influence. It converts market volatility to classroom supplies linking all transactions to Giggle Academy.

The explosion of the Social Fi movement enables #giggle to grow due to its soul. When other coins are burning, Giggle is alternating. Having an automated, clear donation engine and a huge community of Giggle-ors, it is replacing the story about moon shots with the story about mind development. The greatest rewards in the future will not merely be in your pocket but it will be the life they transform with a single button press.

#Write2Earn #giggle #educational
What Is a Liquidity Void 🤔 These zones are created by strong, impulsive candles that slice through levels without resistance, often due to news, panic, or a liquidity grab. 🔍 In these voids, there's little to no consolidation or price acceptance. The market didn't spend time there, which means it left behind an "unfinished auction." These areas almost always attract price back later just like gaps on futures markets. 🕯 Why does this matter? Because price tends to revisit these inefficient zones. It's not guaranteed, but many traders treat them as magnets. Typical signs of a liquidity void 👇 1️⃣A long candle with little to no wick 2️⃣Fast move through a previous range without pullbacks 3️⃣No visible structure or consolidation in the area 4️⃣Move was fueled mainly due to liquidation cascade If prices pumps/dumps too fast and you're not quick enough to open your position, using these liquidity voids with fair value gaps can be a good place for your limit orders instead of chasing the price 👀 #Educational Post
What Is a Liquidity Void 🤔

These zones are created by strong, impulsive candles that slice through levels without resistance, often due to news, panic, or a liquidity grab.

🔍 In these voids, there's little to no consolidation or price acceptance. The market didn't spend time there, which means it left behind an "unfinished auction." These areas almost always attract price back later just like gaps on futures markets.

🕯 Why does this matter? Because price tends to revisit these inefficient zones. It's not guaranteed, but many traders treat them as magnets.

Typical signs of a liquidity void 👇

1️⃣A long candle with little to no wick

2️⃣Fast move through a previous range without pullbacks

3️⃣No visible structure or consolidation in the area

4️⃣Move was fueled mainly due to liquidation cascade

If prices pumps/dumps too fast and you're not quick enough to open your position, using these liquidity voids with fair value gaps can be a good place for your limit orders instead of chasing the price 👀

#Educational Post
🚀 Why 90% of Traders Lose Money (And How You Can Be the 1%!) 💡 Most people enter the crypto market with a "get rich quick" mindset. They see a coin pumping 20%, 50%, or 100%, and they jump in without a plan. This is where the cycle of losing begins. To actually make money on Binance, you need to stop acting like a gambler and start acting like a strategist. 🧠 The Three Pillars of Success: The Power of Patience (HODL vs. FOMO): The market is designed to transfer money from the impatient to the patient. If you missed a pump, DO NOT chase it. The "Fear of Missing Out" (FOMO) is your biggest enemy. Wait for a healthy correction (retest) before entering. A missed trade is better than a losing trade. Risk Management is Non-Negotiable: Never put more than 5-10% of your total capital into a single trade, especially in futures. Use Stop-Loss (SL) to protect your wallet. Remember, you can't stay in the game if you run out of chips. Survival is the first step to profitability. Take Profits (Don't Be Greedy): We’ve all seen our portfolio go green only to watch it turn red a few hours later. Set your Take-Profit (TP) targets early. Whether it’s 10% or 50%, securing your initial capital ensures that even if the market dips, you remain in a winning position. 🔥 My Current Market View: The market is showing signs of high volatility. This is the perfect time to build a "Watchlist" of fundamentally strong projects rather than gambling on random meme coins. Look for projects with real utility and active development. 💬 Let’s Engage: What is the ONE rule you always follow before opening a trade? A) Technical Analysis (Charts) 📈 B) Fundamental News 📰 C) Just following the trend 🌊 Drop your answer in the comments and let's learn together! 👇 #BinanceSquare #CryptoTrading #Educational #tradingStrategy #RiskManagement
🚀 Why 90% of Traders Lose Money (And How You Can Be the 1%!) 💡
Most people enter the crypto market with a "get rich quick" mindset. They see a coin pumping 20%, 50%, or 100%, and they jump in without a plan. This is where the cycle of losing begins. To actually make money on Binance, you need to stop acting like a gambler and start acting like a strategist.

🧠 The Three Pillars of Success:

The Power of Patience (HODL vs. FOMO): The market is designed to transfer money from the impatient to the patient. If you missed a pump, DO NOT chase it. The "Fear of Missing Out" (FOMO) is your biggest enemy. Wait for a healthy correction (retest) before entering. A missed trade is better than a losing trade.

Risk Management is Non-Negotiable: Never put more than 5-10% of your total capital into a single trade, especially in futures. Use Stop-Loss (SL) to protect your wallet. Remember, you can't stay in the game if you run out of chips. Survival is the first step to profitability.

Take Profits (Don't Be Greedy): We’ve all seen our portfolio go green only to watch it turn red a few hours later. Set your Take-Profit (TP) targets early. Whether it’s 10% or 50%, securing your initial capital ensures that even if the market dips, you remain in a winning position.

🔥 My Current Market View:

The market is showing signs of high volatility. This is the perfect time to build a "Watchlist" of fundamentally strong projects rather than gambling on random meme coins. Look for projects with real utility and active development.

💬 Let’s Engage:

What is the ONE rule you always follow before opening a trade?

A) Technical Analysis (Charts) 📈

B) Fundamental News 📰

C) Just following the trend 🌊

Drop your answer in the comments and let's learn together! 👇

#BinanceSquare #CryptoTrading #Educational #tradingStrategy #RiskManagement
·
--
Bullish
S
ETHUSDT
Closed
PNL
+84.13%
📊 MASTERCLASS: Understand the Capital Flow (BTC vs. ALTS) The crypto market does not rise all at once. There is a liquidity cycle, and the CMC Altcoin Season Index chart I bring today is the real proof of where we are: 29/100 (Bitcoin Season). 🧠 What does this index teach the Trader? For the algorithm and for your strategy, understand these 3 pillars: The 75/25 Rule: When the index is below 25, we are in Bitcoin Season. Above 75, it's the official Altseason. With the index at 29, capital is still protected in BTC but begins to overflow into specific assets. Asset Selection (Stock Picking): Observe in the bar chart that $RIVER and $MYX are delivering returns above 100%. This teaches that, in sideways markets, profit comes from the narrative and not from the overall market. Expectation Management: Trading Altcoins with the index at 29 requires "fractional entries". The risk of correction in Alts is higher while BTC has not decided its next top. 📉 Moment Analysis: The line chart shows a solid base. Historically, prolonged periods below 30 accumulate the necessary energy for the "short squeeze" that launches Alts to the moon. Golden Tip: Do not look for Altseason in the price chart; look for it in the Bitcoin Dominance chart. When dominance falls and this index rises, the rocket has no brakes. Question for Traders: Do you prefer to accumulate Satoshis now or are you already positioned in low market cap Alts? 👇 #TradingStrategy #AltcoinSeason #Educational #BinanceSquare
📊 MASTERCLASS: Understand the Capital Flow (BTC vs. ALTS)
The crypto market does not rise all at once. There is a liquidity cycle, and the CMC Altcoin Season Index chart I bring today is the real proof of where we are: 29/100 (Bitcoin Season).
🧠 What does this index teach the Trader?
For the algorithm and for your strategy, understand these 3 pillars:
The 75/25 Rule: When the index is below 25, we are in Bitcoin Season. Above 75, it's the official Altseason. With the index at 29, capital is still protected in BTC but begins to overflow into specific assets.
Asset Selection (Stock Picking): Observe in the bar chart that $RIVER and $MYX are delivering returns above 100%. This teaches that, in sideways markets, profit comes from the narrative and not from the overall market.
Expectation Management: Trading Altcoins with the index at 29 requires "fractional entries". The risk of correction in Alts is higher while BTC has not decided its next top.
📉 Moment Analysis:
The line chart shows a solid base. Historically, prolonged periods below 30 accumulate the necessary energy for the "short squeeze" that launches Alts to the moon.
Golden Tip: Do not look for Altseason in the price chart; look for it in the Bitcoin Dominance chart. When dominance falls and this index rises, the rocket has no brakes.
Question for Traders: Do you prefer to accumulate Satoshis now or are you already positioned in low market cap Alts? 👇
#TradingStrategy #AltcoinSeason #Educational #BinanceSquare
𝐓𝐞𝐜𝐡𝐧𝐢𝐜𝐚𝐥 𝐀𝐧𝐚𝐥𝐲𝐬𝐢𝐬: 𝐔𝐧𝐥𝐨𝐜𝐤𝐢𝐧𝐠 𝐌𝐚𝐫𝐤𝐞𝐭 𝐒𝐞𝐜𝐫𝐞𝐭𝐬 Technical Analysis is a powerful tool for uncovering hidden trading opportunities in the market. By deciphering the behavior of market participants through stock charts, analysts can identify patterns that reveal valuable insights. The role of a technical analyst is to interpret these patterns and form a market view. Like any research method, Technical Analysis relies on key assumptions that must be understood and considered when trading. As we delve deeper, we'll explore these assumptions in detail. It's also important to address the debate between Fundamental Analysis (FA) and Technical Analysis (TA). Rather than comparing which approach is superior, it's essential to recognize that both methods have unique strengths and weaknesses. A savvy trader should educate themselves on both techniques to maximize trading and investing opportunities. By embracing both FA and TA, traders can gain a more comprehensive understanding of the market, making informed decisions to drive success. 🔔 Stay informed with Kaleem's Crypto Mehfil ! KCM: Connecting Crypto Minds, Har Roz! 🔗 Need Your Support: ✅ Like 👍 | Comment 💬 | Retweet 🔁 | Follow me for more updates! 👉 @KaleemsCryptoMehfil-KCM Let's keep the conversation going! 💬 #KaleemsCryptoMehfilKCM #Write2Earn! #educational #BinanceTournament #ETH_ETFs_Approval_Predictions
𝐓𝐞𝐜𝐡𝐧𝐢𝐜𝐚𝐥 𝐀𝐧𝐚𝐥𝐲𝐬𝐢𝐬: 𝐔𝐧𝐥𝐨𝐜𝐤𝐢𝐧𝐠 𝐌𝐚𝐫𝐤𝐞𝐭 𝐒𝐞𝐜𝐫𝐞𝐭𝐬

Technical Analysis is a powerful tool for uncovering hidden trading opportunities in the market. By deciphering the behavior of market participants through stock charts, analysts can identify patterns that reveal valuable insights. The role of a technical analyst is to interpret these patterns and form a market view.

Like any research method, Technical Analysis relies on key assumptions that must be understood and considered when trading. As we delve deeper, we'll explore these assumptions in detail.

It's also important to address the debate between Fundamental Analysis (FA) and Technical Analysis (TA). Rather than comparing which approach is superior, it's essential to recognize that both methods have unique strengths and weaknesses. A savvy trader should educate themselves on both techniques to maximize trading and investing opportunities.

By embracing both FA and TA, traders can gain a more comprehensive understanding of the market, making informed decisions to drive success.

🔔 Stay informed with Kaleem's Crypto Mehfil !
KCM: Connecting Crypto Minds, Har Roz! 🔗

Need Your Support:
✅ Like 👍 | Comment 💬 | Retweet 🔁 |

Follow me for more updates! 👉
@Kaleem Crypto Mehfil KCM

Let's keep the conversation going! 💬
#KaleemsCryptoMehfilKCM #Write2Earn! #educational #BinanceTournament #ETH_ETFs_Approval_Predictions
🚀 Binance Staking in 2025: Unlocking Passive Income with Soft Staking In 2025, Binance has introduced Soft Staking, a game-changing feature that allows users to earn staking rewards on selected tokens directly from their Spot Accounts. This innovation offers full flexibility—users can trade, withdraw, or utilize their tokens at any time while still earning rewards . Why Soft Staking Matters: No Lock-Up Periods: Unlike traditional staking methods that require a lock-up period, Soft Staking allows you to maintain liquidity while earning rewards. Daily Rewards: Staking rewards are generated through the on-chain proof of stake mechanism and are paid out in the respective native token to users’ Spot Accounts daily. Wide Token Support: Currently, tokens supported for Soft Staking include BNB, SOL, ADA, SUI, TON, NEAR, POL, ALGO, S, and AXS . How to Get Started: Log in to Binance: Access your Binance account. Navigate to 'Earn': Go to the 'Earn' section on the homepage. Select 'Soft Staking': Choose the 'Soft Staking' option. Choose Your Token: Pick the token you wish to stake. Start Earning: Activate staking and start earning rewards immediately. Tips for Maximizing Earnings: Monitor APYs: Keep an eye on the Annual Percentage Yields (APYs) for different tokens to make informed decisions. Reinvest Rewards: Consider reinvesting your staking rewards to compound your earnings over time. Diversify: Spread your investments across multiple tokens to mitigate risk and optimize returns. Stay ahead in the crypto game by leveraging Binance's Soft Staking feature to earn passive income effortlessly. #CryptoStakingRewards #cryptostaking #educational #CryptoEducation💡🚀
🚀 Binance Staking in 2025: Unlocking Passive Income with Soft Staking

In 2025, Binance has introduced Soft Staking, a game-changing feature that allows users to earn staking rewards on selected tokens directly from their Spot Accounts. This innovation offers full flexibility—users can trade, withdraw, or utilize their tokens at any time while still earning rewards .
Why Soft Staking Matters:
No Lock-Up Periods: Unlike traditional staking methods that require a lock-up period, Soft Staking allows you to maintain liquidity while earning rewards.
Daily Rewards: Staking rewards are generated through the on-chain proof of stake mechanism and are paid out in the respective native token to users’ Spot Accounts daily.
Wide Token Support: Currently, tokens supported for Soft Staking include BNB, SOL, ADA, SUI, TON, NEAR, POL, ALGO, S, and AXS .
How to Get Started:
Log in to Binance: Access your Binance account.
Navigate to 'Earn': Go to the 'Earn' section on the homepage.
Select 'Soft Staking': Choose the 'Soft Staking' option.
Choose Your Token: Pick the token you wish to stake.
Start Earning: Activate staking and start earning rewards immediately.
Tips for Maximizing Earnings:
Monitor APYs: Keep an eye on the Annual Percentage Yields (APYs) for different tokens to make informed decisions.
Reinvest Rewards: Consider reinvesting your staking rewards to compound your earnings over time.
Diversify: Spread your investments across multiple tokens to mitigate risk and optimize returns.
Stay ahead in the crypto game by leveraging Binance's Soft Staking feature to earn passive income effortlessly.
#CryptoStakingRewards #cryptostaking #educational #CryptoEducation💡🚀
I joined a crypto signals group so you don't have to - MY EYE-LEANING EXPERIENCEHello Crypto Enthusiasts, We've probably all heard of the famous crypto signal groups. If you happen to be unaware of them, they are basically groups where one or more "experienced traders" give you signals on when to buy certain coins and when to sell them. They usually charge a monthly fee to be part of the group. The group I joined offered signals for spot and futures trading with leverage up to 50X. I saw one of these groups advertised a lot on social media in my country, and they were offering a three-day free trial, so I thought, "Why not? Let's see what it's all about." I joined their Telegram group, where there were about 500 members. In the group, they posted about their supposedly high returns, but interestingly, they never mentioned losses, which is typical. This was the "standard" group, where people who hadn't paid yet were. Since I had the free trial, I was invited to the VIP group.

I joined a crypto signals group so you don't have to - MY EYE-LEANING EXPERIENCE

Hello Crypto Enthusiasts,
We've probably all heard of the famous crypto signal groups. If you happen to be unaware of them, they are basically groups where one or more "experienced traders" give you signals on when to buy certain coins and when to sell them. They usually charge a monthly fee to be part of the group. The group I joined offered signals for spot and futures trading with leverage up to 50X.
I saw one of these groups advertised a lot on social media in my country, and they were offering a three-day free trial, so I thought, "Why not? Let's see what it's all about." I joined their Telegram group, where there were about 500 members. In the group, they posted about their supposedly high returns, but interestingly, they never mentioned losses, which is typical. This was the "standard" group, where people who hadn't paid yet were. Since I had the free trial, I was invited to the VIP group.
·
--
Be a Sigma In the Crypto World! Here are 6 simple steps that will take you to the next level of market knowledge: Awareness - Don't stop learning about the crypto market and analyze current narratives and trends. That's the only way you can stay up to date and not miss anything important in this space. Strategy and planning - Sooner or later you will come to it, you will create your own strategy, and you will develop it by trial and error and by following other traders. It's inevitable if you want to stay here for a long time. Diversification - Never go all-in. Remember to distribute investments among different assets to reduce risks. It's proven that diversification wins in the long run. Self-learning - Be sure to read articles on the topic of cryptocurrencies, it can be research reports of large companies/funds, whitepapers, and other technical documentation of projects. I know firsthand what it's like to not know something. The cost of ignorance is lost money and FOMO. Community involvement - Be a part of crypto communities and social media groups. Trust me, it will meaningfully expand your knowledge of the market. In a circle of like-minded people, move faster and you won't miss anything. Action analysis - Don't stop analyzing your actions, refining your strategy, and expanding your experience. Explore new and old projects that are or will be coming to market. Look for patterns and use them to make money. It's basic fundamentals and needs to be known and performed by everyone, but most drop it or don't perform it at all. You'll be ahead of most in the market if you realize these points. Remember that there are a lot of market participants like you around you, but the one who learns and takes the right actions is the one who succeeds. I say all of this based on my experience, so please use it to your advantage. I wish you new heights and conquer this market! #TrendingArticle #educational #CryptoTradingGuide

Be a Sigma In the Crypto World!

Here are 6 simple steps that will take you to the next level of market knowledge:

Awareness - Don't stop learning about the crypto market and analyze current narratives and trends. That's the only way you can stay up to date and not miss anything important in this space. Strategy and planning - Sooner or later you will come to it, you will create your own strategy, and you will develop it by trial and error and by following other traders. It's inevitable if you want to stay here for a long time. Diversification - Never go all-in. Remember to distribute investments among different assets to reduce risks. It's proven that diversification wins in the long run. Self-learning - Be sure to read articles on the topic of cryptocurrencies, it can be research reports of large companies/funds, whitepapers, and other technical documentation of projects. I know firsthand what it's like to not know something. The cost of ignorance is lost money and FOMO. Community involvement - Be a part of crypto communities and social media groups. Trust me, it will meaningfully expand your knowledge of the market. In a circle of like-minded people, move faster and you won't miss anything. Action analysis - Don't stop analyzing your actions, refining your strategy, and expanding your experience. Explore new and old projects that are or will be coming to market. Look for patterns and use them to make money.

It's basic fundamentals and needs to be known and performed by everyone, but most drop it or don't perform it at all.
You'll be ahead of most in the market if you realize these points. Remember that there are a lot of market participants like you around you, but the one who learns and takes the right actions is the one who succeeds.
I say all of this based on my experience, so please use it to your advantage. I wish you new heights and conquer this market!

#TrendingArticle #educational #CryptoTradingGuide
Why EMAs Matter: Cutting Through the Crypto NoiseThe crypto market is a whirlwind of information. Prices jump, news breaks, and social media explodes with opinions. For traders, finding clarity in this chaos is essential. Exponential Moving Averages (EMAs) offer a powerful way to cut through the noise. EMAs smooth out price data, highlighting underlying trends by giving more weight to recent market action. In the fast-paced world of crypto, where fortunes can change in an instant, this responsiveness is key. EMAs help traders spot emerging trends, react quickly to shifts in sentiment, and make more informed decisions. This article explores the power of EMAs, explaining how they work and how they can be used in your trading strategy. Ready to find clarity in the crypto storm? Let's dive in. There's more to come! Please follow me for the next chapter, where we will explore exponential moving averages (EMAs) and simple moving averages (SMAs), examining their differences and applications. Disclaimer: This is not financial advice. Please conduct your own thorough research and utilize stop-loss orders for risk management. It is crucial to only invest funds you can afford to lose.If you enjoy my content, Second chapter [EMAs vs. SMAs: What's the Difference](https://app.binance.com/uni-qr/cart/20660938947369?r=480799885&l=en&uco=oss8im6q68mbvnix8kewqa&uc=app_square_share_link&us=copylink) I would appreciate a follow and a like; it would mean a great deal to me. Leave a comment below really helps me a lot. Thank you so much for reading my content. #LearnTogether #educational #EMA #crypto #bitcoin $BTC $ETH $BNB

Why EMAs Matter: Cutting Through the Crypto Noise

The crypto market is a whirlwind of information. Prices jump, news breaks, and social media explodes with opinions. For traders, finding clarity in this chaos is essential. Exponential Moving Averages (EMAs) offer a powerful way to cut through the noise.

EMAs smooth out price data, highlighting underlying trends by giving more weight to recent market action. In the fast-paced world of crypto, where fortunes can change in an instant, this responsiveness is key. EMAs help traders spot emerging trends, react quickly to shifts in sentiment, and make more informed decisions.
This article explores the power of EMAs, explaining how they work and how they can be used in your trading strategy. Ready to find clarity in the crypto storm? Let's dive in.

There's more to come! Please follow me for the next chapter, where we will explore exponential moving averages (EMAs) and simple moving averages (SMAs), examining their differences and applications.

Disclaimer: This is not financial advice. Please conduct your own thorough research and utilize stop-loss orders for risk management. It is crucial to only invest funds you can afford to lose.If you enjoy my content,
Second chapter EMAs vs. SMAs: What's the Difference
I would appreciate a follow and a like; it would mean a great deal to me. Leave a comment below really helps me a lot. Thank you so much for reading my content.
#LearnTogether #educational #EMA #crypto
#bitcoin

$BTC
$ETH
$BNB
·
--
Educational Post What is Transactions Per Second (TPS)? In the context of blockchains, transactions per second (TPS) refers to the number of transactions that a network is capable of processing each second. The approximate average TPS of the Bitcoin blockchain is about 5 – though this may vary at times. Ethereum, in contrast, can handle roughly double that amount. The development of technologies that increase the transaction rate of blockchains has been an important area of research over the years. These decentralized networks pose completely new challenges in terms of their ability to scale for increased demand. This challenge isn’t purely about increasing TPS. Centralized databases are already capable of handling thousands of transactions each second. VISA, for example, handles around 1,500-2000 transactions each second. So why not just use these solutions? Well, the main problem is that Bitcoin, Ethereum, and other blockchains aim to compete with that while still maintaining a high degree of decentralization. Decentralization comes at the cost of performance and security. So, these scalability solutions not only need to increase the performance of the network but, at the same time, also maintain all the other desirable properties of blockchain. Otherwise, blockchain isn’t really anything more than an inefficient database. It’s important to note that if a blockchain has high TPS, it isn’t necessarily superior to other blockchains with lower TPS. Many blockchain projects boast about their high TPS numbers. However, it’s almost certain that such performance was achieved by sacrificing other important aspects of the network. For example, at any given moment, Bitcoin has thousands of nodes distributed across the globe running the Bitcoin software. A blockchain with only 10-20 nodes could easily outperform Bitcoin, but it could hardly be called decentralized or even distributed. #educational_post #EducationalContent #Educational_Post✨ #educational
Educational Post

What is Transactions Per Second (TPS)?

In the context of blockchains, transactions per second (TPS) refers to the number of transactions that a network is capable of processing each second.

The approximate average TPS of the Bitcoin blockchain is about 5 – though this may vary at times. Ethereum, in contrast, can handle roughly double that amount.

The development of technologies that increase the transaction rate of blockchains has been an important area of research over the years. These decentralized networks pose completely new challenges in terms of their ability to scale for increased demand.

This challenge isn’t purely about increasing TPS. Centralized databases are already capable of handling thousands of transactions each second. VISA, for example, handles around 1,500-2000 transactions each second. So why not just use these solutions? Well, the main problem is that Bitcoin, Ethereum, and other blockchains aim to compete with that while still maintaining a high degree of decentralization.

Decentralization comes at the cost of performance and security. So, these scalability solutions not only need to increase the performance of the network but, at the same time, also maintain all the other desirable properties of blockchain. Otherwise, blockchain isn’t really anything more than an inefficient database.

It’s important to note that if a blockchain has high TPS, it isn’t necessarily superior to other blockchains with lower TPS. Many blockchain projects boast about their high TPS numbers. However, it’s almost certain that such performance was achieved by sacrificing other important aspects of the network. For example, at any given moment, Bitcoin has thousands of nodes distributed across the globe running the Bitcoin software. A blockchain with only 10-20 nodes could easily outperform Bitcoin, but it could hardly be called decentralized or even distributed.
#educational_post #EducationalContent #Educational_Post✨ #educational
Lecture 4: The Risks in DeFi (Don’t Ignore This!) Biggest DeFi Risks: ▶️ Smart contract bugs (code errors that hackers can exploit) ▶️ Impermanent loss (losing money while providing liquidity) ▶️ Rug pulls (scammers create fake projects and steal users' funds) Example: ▶️ Imagine you put $1,000 into a new DeFi app. ▶️ If hackers find a bug in the smart contract, you could lose your money instantly. Pro tip: ▶️ Stick to trusted projects (Uniswap, Aave, Maker) ▶️ Always DYOR (Do Your Own Research) #TradeStories #educational_post #EducationalContent #educational #DEX
Lecture 4: The Risks in DeFi (Don’t Ignore This!)

Biggest DeFi Risks:
▶️ Smart contract bugs (code errors that hackers can exploit)
▶️ Impermanent loss (losing money while providing liquidity)
▶️ Rug pulls (scammers create fake projects and steal users' funds)

Example:
▶️ Imagine you put $1,000 into a new DeFi app.
▶️ If hackers find a bug in the smart contract, you could lose your money instantly.

Pro tip:
▶️ Stick to trusted projects (Uniswap, Aave, Maker)
▶️ Always DYOR (Do Your Own Research)

#TradeStories #educational_post #EducationalContent #educational #DEX
Login to explore more contents
Explore the latest crypto news
⚡️ Be a part of the latests discussions in crypto
💬 Interact with your favorite creators
👍 Enjoy content that interests you
Email / Phone number