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3. Advanced Course

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  1. 1. What is Taproot?
  2. 2. Blockchain bridges – what are they?
  3. 3. What is Ethereum Plasma?
  4. 4. What is Ethereum Casper?
  5. 5. What is Zk-SNARK and Zk-STARK? 
  6. 6. What is Selfish Mining? 
  7. 7. What is spoofing in the cryptocurrency market? 
  8. 8. Schnorr signatures - what are they? 
  9. 9. MimbleWimble - what is it? 
  10. 10. What is digital property rights in NFT?
  11. 11. What are ETFs and what role do they play in the cryptocurrency market? 
  12. 12. How to verify a cryptocurrency project – cryptocurrency tokenomics 
  13. 13. What is the 51% attack on blockchain?
  14. 14. What is DAO, and how does it work?
  15. 15. Zero-knowledge proof – a protocol that respects privacy 
  16. 16. What is EOSREX?
  17. 17. What is Proof of Elapsed Time (PoET)?
  18. 18. Mirror Protocol – what it is? 
  19. 19. What are synthetic assets? 
  20. 20. How to create your own NFT? 
  21. 21. Definition of DeFi, and what are its liquidations?
  22. 22. New identity system - Polygon ID
  23. 23. Ethereum Foundation and the Scroll protocol - what is it?
  24. 24. What is Byzantine fault tolerance in blockchain technology?
  25. 25. Scalability of blockchain technology - what is it?
  26. 26. Interchain Security - new Cosmos (ATOM) protocol
  27. 27. Coin Mixing vs. Coin Join - definition, opportunities, and threats
  28. 28. What is Ethereum Virtual Machine (EVM) and how does it work?
  29. 29. Soulbound Tokens - what are they, and how do they work?
  30. 30. Definition of LIDO - what is it?
  31. 31. What are Threshold Signatures, and how do they work?
  32. 32. Blockchain technology and cyberattacks.
  33. 33. Bitcoin script - what it is, and what you should know about it.
  34. 34. What is zkEVM, and what are its basic features?
  35. 35. Do confidential transactions on blockchain exist? What is a Confidential Transaction?
  36. 36. Algorithmic stablecoins - everything you should know about them.
  37. 37. Polygon Zk Rollups ZKP - what should you know about it?
  38. 38. What is Web3 Infura?
  39. 39. Mantle - Ethereum L2 scalability - how does it work?
  40. 40. What is the NEAR Rainbow Bridge?
  41. 41. Liquid Staking Ethereum and LSD tokens. What do you need to know about it?
  42. 42. Top 10 blockchain oracles. How do they work? How do they differ?
  43. 43. What are Web3.js and Ether.js? What are the main differences between them?
  44. 44. What is StarkWare, and recursive validity proofs
  45. 45. Quant Network: scalability of the future
  46. 46. Polygon zkEVM - everything you need to know
  47. 47. What is Optimism (OP), and how do its roll-ups work?
  48. 48. What are RPC nodes, and how do they work?
  49. 49. SEI Network: everything you need to know about the Tier 1 solution for DeFi
  50. 50. Types of Proof-of-Stake Consensus Mechanisms: DPoS, LPoS and BPoS
  51. 51. Bedrock: the epileptic curve that ensures security!
  52. 52. What is Tendermint, and how does it work?
  53. 53. Pantos: how to solve the problem of token transfer between blockchains?
  54. 54. What is asymmetric encryption?
  55. 55. Base-58 Function in Cryptocurrencies
  56. 56. What Is the Nostr Protocol and How Does It Work?
  57. 57. What Is the XDAI Bridge and How Does It Work?
  58. 58. Solidity vs. Rust: What Are the Differences Between These Programming Languages?
  59. 59. What Is a Real-Time Operating System (RTOS)?
  60. 60. What Is the Ethereum Rinkeby Testnet and How Does It Work?
  61. 61. What Is Probabilistic Encryption?
  62. 62. What is a Pinata in Web 3? We explain!
  63. 63. What Is EIP-4337? Will Ethereum Account Abstraction Change Web3 Forever?
  64. 64. What are smart contract audits? Which companies are involved?
  65. 65. How does the AirGapped wallet work?
  66. 66. What is proto-danksharding (EIP-4844) on Ethereum?
  67. 67. What is decentralised storage and how does it work?
  68. 68. How to Recover Cryptocurrencies Sent to the Wrong Address or Network: A Practical Guide
  69. 69. MPC Wallet and Multilateral Computing: Innovative Technology for Privacy and Security
  70. 70. Threshold signature in cryptography: an advanced signing technique!
  71. 71. Vanity address in cryptocurrencies: what is it and what are its characteristics?
  72. 72. Reentrancy Attack on smart contracts: a threat to blockchain security!
  73. 73. Slither: a static analyser for smart contracts!
  74. 74. Sandwich Attack at DeFi: explanation and risks!
  75. 75. Blockchain RPC for Web3: A key technology in the world of decentralized finance!
  76. 76. Re-staking: the benefits of re-posting in staking!
  77. 77. Base: Evolving cryptocurrency transactions with a tier-2 solution from Coinbase
  78. 78. IPFS: A new era of decentralized data storage
Lesson 78 of 78
In Progress

78. IPFS: A new era of decentralized data storage

The InterPlanetary File System (IPFS) is an advanced technology that is revolutionizing the way files are stored and shared on the network. Its decentralized nature and use of peer-to-peer technology are bringing about significant changes to the conventional model of central servers.

In today’s lesson, we will discuss the main aspects of IPFS and its potential applications, considering both the benefits and challenges of this innovative technology.

InterPlanetary File System (IPFS) – definition

IPFS is another advanced file storage system known as the Interplanetary File System. In this system, we have the ability to securely interact in a global peer-to-peer (P2P) network, combining the advantages of tracking and decentralized data storage.

IPFS enables the creation of a persistent network, extending the functionality of existing Internet protocols such as HTTP. Since its inception in 2016, IPFS has undergone numerous improvements and has garnered praise from both individual users and businesses. This system facilitates the free sharing of files and information, particularly proving its value for large files that require significant internet bandwidth.

Its widespread adoption is attributed to its flexible adaptation to different protocols, including FTP and HTTP. IPFS utilizes a Distributed Hash Table (DHT) to store data. The process of retrieving data involves querying peer networks to determine which node stores the contents of a given hash and then retrieving the data directly from that node.

In the case of IPFS, all data is treated as parts of a Merkle DAG (Directed Acyclic Graph). Despite its popularity and efficiency, there are some concerns about security and access control. In a distributed network, anyone who knows the shortcut address of a file can access its contents, raising questions about data protection and privacy.

What’s interesting about IPFS?

IPFS boasts several unique features that are worth exploring.

Firstly, IPFS operates as a decentralized system, loading content from thousands of peer nodes rather than relying on a single centralized server. Each piece of data undergoes cryptographic hashing, generating a secure and unique content identifier known as a CID. Hosting a site on IPFS provides immunity to censorship and eliminates a single point of failure. Even if one IPFS node fails, the site can still be loaded from other nodes worldwide that store copies of the content.

Secondly, the integrity of IPFS content is cryptographically verifiable. This means that it is possible to verify that data has not been altered during transmission, adding an extra layer of security to ensure the transmitted information remains unaltered.

IPFS also automatically eliminates duplicate content. When attempting to store two identical-sized files in the same IPFS node, the system stores them only once, eliminating redundancy because their hashes generate identical CIDs. This clever optimization contributes to efficient storage space management.

IPFS and blockchain technology

Blockchain, as you may know, is revolutionizing data management through decentralization, ensuring immutability. That’s why it’s perfect for handling file tracking metadata in a distributed file registry such as IPFS. Thus, it is safe to say that due to the strong similarities between the two, IPFS becomes, so to speak, the best partner for blockchain technology.

IPFS, as a data storage system, is resistant to unilateral modification and has no single point of failure. It ensures that the data in this network is unique, identified, and protected from tampering, making it immutable.

In short, IPFS and blockchains work well together because of their structure. IPFS operates by linking different blockchains, analogous to the way the Internet links different sites. Just as on the Internet, where we can click a link to move from one site to another, in Ethereum, a link can be created to connect it to another blockchain network. And all of this can be achieved using IPFS.

In the blockchain technology sector, there are two main categories of blockchains: permissionless and permissioned. Public blockchains such as Ethereum or Bitcoin are open to users, and each transaction must be approved by a majority of participants. 

In contrast, private blockchains allow only authenticated users to join the network, increasing overall efficiency compared to public blockchains.

In the future, closer cooperation between IPFS and blockchains seems inevitable. Both technologies will be key to consolidating the world of decentralized finance and applications, further advancing this dynamic technological area.

InterPlanetary File System (IPFS) use cases.

The benefits of IPFS are indeed revolutionizing the current technological ecosystem as we know it. This has prompted large companies to implement this technology in their processes, with examples including Netflix, Opera, and Chrome, which are successfully utilizing IPFS. But what does it truly mean to be able to securely store data on a distributed network? It means that we have the opportunity to optimize and streamline the operation of all processes within the Internet sector.

We are witnessing a shift where traditional servers hosting websites are fading into the background, being replaced by more modern technologies. All content will now be delivered via IPFS, and data will be retrieved directly from the blockchain. The concept of abandoning online registration to obtain accounts is becoming a reality. The private key will play the role of granting permission and access to user identities in interactions with websites and service providers.

Changes also encompass direct communication with other network users, leading to the creation of secure, private, and uncensored communication applications. Lastly, social networks are undergoing a transformation where user information becomes available only to those to whom the user has granted permission. All of these factors contribute to a new era of the Internet, where IPFS truly plays a key role in providing primarily security, privacy, and efficiency in the area of data storage and transmission.

IPFS applications

  1. Decentralized Applications (dApps): IPFS can provide a solid foundation for decentralized applications, eliminating the need for central servers to store data.
  2. Offline content access: The decentralized structure of IPFS permits access to content even without an internet connection, which has revolutionary potential in the area of information accessibility.
  3. Secure file storage: The decentralized nature of IPFS makes stored files more resistant to hacker attacks and provides greater data security.
  4. Integration with Blockchain technology: IPFS is often used in conjunction with blockchain technology, storing decentralized data such as images, documents, or smart contracts.

Summary

.IPFS opens a new era of decentralized data storage, offering innovative solutions that could revolutionize the face of the Internet. Its unique features and capabilities are fascinating, but at the same time, there are some challenges and issues that need attention.

One of the main strengths of IPFS is decentralization, allowing content to be loaded from thousands of peer nodes instead of a single centralized server. This approach makes data more resistant to censorship and eliminates a single point of failure. In addition, each piece of data is cryptographically hashed, generating secure content identifiers called CIDs. This, in turn, allows the data to be uniquely identified.

Storing a site or application in IPFS means that it is accessible from different parts of the world, even in the event of a failure of the local IPFS node. This ensures not only data durability but also resilience to emergency situations.

Another important aspect of IPFS is the ability to verify the integrity of cryptographic data. This ensures that the data has not been altered during transmission, providing an additional layer of security.

However, despite these advantages, IPFS also faces challenges. Issues related to data privacy, security, and the need to further develop standards are aspects that require the attention of the technology community.

In conclusion, IPFS is a powerful tool that has the potential to significantly transform the way we store and share data in an era of decentralized Internet. However, the success of this technology requires addressing existing challenges and continually adapting to the evolving needs of the Internet community.

Complete today’s lesson!

  1. What are synthetic assets in cryptocurrencies?
  2. Do confidential blockchain transactions exist?
  3. What is Infura Web3?
  4. What are RPC nodes?