This Layer 2 — Utility of web3 stack is comprised one of these:
Multi-signature
Multi-signature is a crucial component in web3’s web3 stack. It provides security to the transaction through an unique signature. In order to send the package each user has to sign on the internet. When you set up an address, you will be able to choose the number of signatures or requirements you require. This technology was initially created through BitGo and is now extensively utilized by the web3 stack. These are, therefore essential to web3’s web3 architecture.
Oracle
Oracles represent data streams that could be utilized to facilitate smart contracts in the Blockchain network. They are an agent who gathers information about real-time events and then transmits that information into smart contract. This is due to the fact that the blockchain network does not have access to the world outside. If the blockchain network is required to run smart contract or access other information that it needs to connect to that information using a different method. It requires a particular value to allow certain conditions within the smart contracts. Lastly, it can follow the rules after it has all Oracles values. Without Oracle in place, the web3 stack isn’t able to function properly.
Wallet
The programs will store the user’s private and public keys, and also communicate via other networks of blockchain. They can track digital assets such as Bitcoin, Ethereum and Lite coin.
Digital assets
Digital assets may include a variety of things, but mainly cryptocurrencies utilized in the Web3 stack. It is also possible to view media, images and textual contracts as digital asset.
Smart contracts
Smart contracts are built on a contract between parties. The transaction will take place if rules outlined within smart contracts will be followed in accordance with the rules. Since it’s entirely automated, you don’t need to have a higher authority.
Digital identity
Since everyone is connected to the internet, digital identity is vital for the internet3 tech stack. It is essential for you to establish a virtual identification that identifies you or allows the use of your identity when it is required. Multiple digital identities are able to be used across different platforms, however having a digital ID is a way to ensure private information and ensure security.
Distributed file store
It’s a space on a server where information is kept. This is much more efficient since the data can be accessed just as quickly as a local computer. To connect to the server it is necessary to authenticate after which the client is granted the full control.
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