What is Etherscan and how does it work? – GOBankingRates | Jewelry Dukan

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If you are new to cryptocurrency and want to learn more about the details of these transactions on a blockchain, then Etherscan is your best guide. Etherscan is a great tool for getting acquainted with how everything that takes place on the Ethereum blockchain works.

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Etherscan overview

Launched in 2015, Etherscan has since grown to become the leading block explorer for the Ethereum blockchain. Transactions on a blockchain are public and occur continuously. A block explorer like Etherscan is a search engine that helps users look up, confirm, and even validate the transactions that have already taken place on the Ethereum blockchain.

How does Etherscan work?

Etherscan is an independently operated organization that is unfunded and free for anyone to use. The company indexes the public ledger of the Ethereum blockchain to make all transaction-related information available on the Etherscan platform.

To start a search, you need to enter the wallet address in the search criteria. A crypto wallet helps you store and transact with crypto. Each user has a unique wallet address that they must use to search for the relevant transactions on Etherscan.

Etherscan aims to make blockchain technology and transactions easily accessible to all its users by offering this free service. However, it must be remembered that Etherscan is simply a platform that shows all transactions and their status. You cannot get wallet services on the Etherscan platform as they do not store private keys and have no control over the transactions that take place.

Useful features of Etherscan

Etherscan helps make blockchain transactions more transparent to its users. Related to token-related blockchain transactions, here are some useful features that Etherscan offers.

Check the token balance

This is a helpful tool that allows a user to check what the token balance is on a specific wallet address. This option is available on the Etherscan platform under the ETH Account Balance Checker tab. The user must enter the address and then specify the date or block to generate the current token balance. This option also shows if there are any quantity changes from this date.

Etherscan allows its users to check the status of ERC20, ERC721 and ERC1155 tokens.

Validate Transactions

With the help of “EthValidate”, Etherscan allows its users to validate the balances, transactions and token balances on the Etherscan node with other nodes on the Ethereum blockchain.

Users can navigate to the “Validate balance” option, which gives them insight into an address’s validation details. Information from other Ethereum nodes such as Infura, Chainstack MyEtherWallet and MyCrypto are also shown as part of the validation results.

signature verification

A user’s unique wallet address is often used to place an exclusive signature on a message to verify ownership of the address. When a wallet address is signed, it generates a unique signature hash that serves as proof that the message was actually signed by the original owner.

Etherscan uses a UI enhancement technique to sign and publish a message directly on its platform. Once you click the Sign Message button, you will be prompted to connect to the Etherscan website via MetaMask or WalletConnect and then enter the message you want to sign. With Etherscan you can also publish the signed message on external websites and check the messages written by a message.

gas tracker

Ethereum is an independent blockchain that is not overseen by any central authority. To protect the network from overload, there is a mechanism within the blockchain that charges a small fee called “gas” for this task. The user has to pay this gas fee in ether tokens and it will be deducted from the token balance during a transaction.

Since the number of gas charges is not fixed, users are often confused about how much to charge. Etherscan helps users to suggest a recommended gas price for a transaction depending on the network traffic and the existing average gas rate. This feature is known as Gas Tracker and is available on the Etherscan platform.

Etherscan and smart contracts

Smart contracts are self-executing contracts that exist on the Ethereum blockchain and are fulfilled when the underlying conditions are met. Smart contracts are an important element in the crypto space and Etherscan allows you to search for smart contract source codes on the platform.

You can also use filters to sort them by contract and deployment addresses, creation dates, block numbers, and more. This is a relatively new feature introduced by Etherscan and will help users gain insight into the technical details of smart contracts.

Etherscan and Dapps

Decentralized Applications or Dapps are applications that exist on the Ethereum blockchain and play an important role in the cryptocurrency ecosystem. These applications are based on smart contracts that facilitate interactions between users. Given the versatility of blockchains, the scope of dApps is vast and has already spread widely into gaming and finance.

Most dapps exist on the Ethereum blockchain, which is why they are available on the Etherscan platform. Etherscan acts as a database of different types of DApps and they are categorized by the sector they belong to. Clicking on it will redirect you to the Dapp page set up by Etherscan, which offers the developer a personalized front-end view of the DApp. The developer can also interact with the underlying smart contract and customize their dapp page with banner images, social links, etc.

Etherscan and DEX

DeFi, or decentralized finance, is another decentralized application primarily hosted on the Ethereum blockchain. It allows users to conduct financial transactions such as trading, lending, and borrowing independently and they take place on various decentralized exchanges.

Etherscan allows users to track activity on decentralized exchanges such as Uniswap V2, Unisaw V3, SushiSwap, Bancor Network, Ether Delta, and Airswap V2.

Etherscan and NFTs

NFTs or Non-Fungible Tokens can be tracked using the Etherscan platform. With Etherscan you can track them from popular NFT marketplaces like OpenSea, LooksRare, 0x Protocol, Rarible, SuperRare and X2Y2. Aside from the transactions, Etherscan also has a page to track the NFTs being minted on these marketplaces.

Should you create an account in Etherscan?

Etherscan is a free platform and you don’t need to create an account to access the basic functions. You need your wallet address so you can track transactions or view the token balance in your account.

However, if you want to access some of the other tools and interact with the smart contracts, you will need to create an account on the Etherscan website.

How to use Etherscan

Etherscan has a very simple interface and helps users to search for transactions and token balances. To get started with Etherscan you need to have a wallet address and import it to MyEtherWallet or MetaMask. After importing the wallet address, you can access it through the Etherscan platform and use it to verify your transactions and balances.

Final recording

Etherscan is a very helpful tool for professionals and beginners in the crypto space. It offers users many options like checking token balances, transactions and other operations on the Ethereum blockchain.

Etherscan also provides invaluable insight into setting the correct gas fee levels, which is crucial for executing Ethereum transactions. The best thing about Etherscan is that it is completely free for all its users.

Etherscan is a tool worth trying for all types of users. It gives you more clarity about blockchain transactions by simply entering your wallet address. Since it’s free, you don’t have to worry about subscription fees.

The biggest advantage of Etherscan is that it is really simple and there is no room for error on its platform. Thus, users can freely browse the features and learn about transactions happening on the Ethereum blockchain and track NFTs, smart contracts, and other decentralized applications.

Etherscan FAQ

These are some of the most frequently asked questions about Etherscan.

  • How do I get my money out of Etherscan?
    • Etherscan is not a crypto trading platform and does not involve any financial transactions. It easily allows you to view and verify transactions on a wallet address. Etherscan is free to use, which means you don’t need to invest any money in the platform.
  • Is Etherscan a smart contract?
    • No, Etherscan is not a smart contract, but a tool that can be used to view a token’s smart contract. Users can view the structure of the smart contract to get an insight into how it works.
  • Who finances Etherscan?
    • Being free for its users, Etherscan is funded by numerous community members around the world who donate their contributions to the platform.
  • Is Etherscan legit?
    • Etherscan is a completely legit organization that helps its users gain insight into the various transactions taking place on the Ethereum blockchain. It is an independent organization and helps verify transactions and token balances from a specific wallet address.

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