So I hope you know how a blockchain works, the difference between blocks, block-ing in general. Those are concepts you should familiarize yourself with before you read this guide. That being said, let's dive into what kind of useful information you can find in block explorers.
Have you ever executed a transaction (henceforth referred to as TX) inside your metamask wallet and a little pop up comes up that says "view in etherscan"?
What is that?
A public blockchain is just that. Public information in blocks. That means every single TX that happens at any given moment, is accessible to everyone else who wants to view the TX. As well as any TXs which have already happened. And even TXs which are happening.
So when you click "view on etherscan" it redirects you to a block chain explorer which finds the TX information (hash) about your tx and provides you the details about it. Everything from what type of TX it is, to how long it will take to confirm (approximation) to when it was last confirmed, all of the address[es] involved in the TX. How much gas was paid. You name it, it's there for everyone to see.
In the example above, we viewed the details of a TX. But what if we want to see the details about our wallets in general?
Simply navigate to etherscan.io and type in your public ETH wallet address. You'll see every single transaction you've conducted. All of the assets that are in the wallet, ETH, tokens (ERC-20 assets), and even NFTs (ERC-721 assets). And again, this is all public data. So if you have any assets, in any digital wallet on a public blockchain, everyone CAN know exactly whats in the wallet.
Furthermore, you can also use this wonderful tool to make sure you are NOT getting bamboozled with some BS tokens on UniSwap or other exchanges. Each ETH, TRX, EOS, etc based token, has a public contract address. If you ever need to verify if the token you are swapping on UniSwap or any other DEX is legitimate, you can either navigate to the DeFi project's website itself. They usually list it on there. Or you can search for it on etherscan.io
No matter what, you will always have a way to verify that the coin you are swapping to, is the real McCoy.
You can also use etherscan.io to make sure the liquidity pool you're contributing too is also the correct pool. Once again, you can find the information inside the DeFi project's websites, OR just search for the LP contract's address inside etherscan.io
Now let's see how all this information can have some practical applications in the real world, besides locating data.
Let's say the DAI token's contract address on UniSwap's is 0x00001
And once I locate the contract address on etherscan.io, right below it will show me all the transactions that individual wallets have had, or are having with the contract. If I see TX's taking flight under a particular contract address, it tells me the project is hot. Even if I do not know what the reason is yet. Somebody knows something I don't. And of course, you'll need to see if people are swapping into the token, or out of it. In the case of LPs, adding liquidity or taking it out of the pool.
Need to make sure a NFT that you're buying is legit? check the contract address of the issuer.
It's all there.
And this feature of searching for a contract address, or wallet address, or TX hashes is available for every public blockchain.
Need to see if your Bitcoin, LTC, Doge, etc etc TX went through? blockchair.com
Wondering how much energy you paid for a Tron TX? Tronscan.io (block specific explorers are more rich in details than universal block explorers )
All that information is there. And the more and more you learn how to use block explorers to understand how, what, when, who, is moving the tokens, the more easily you begin to deduce the whys. If you're in some forum, and everybody is screaming "I'm buying the dip", and the contract address for the token is showing a net outflow of capital out of the token in small amounts, you know they're lying through their teeth. If you see, that there are multiple instances of small buys, then people are actually buying the dips. if you see a massive TX from one wallet address, you got yourself a whale dumping. It really is the best way to see what's really happening. Pain staking, but worth it. There are firms that provide analyses from these types of data, and point out patterns for your benefit. But I prefer to get my hands dirty in the data. And speaking of public data....
There is a great article by CoinDesk about how some players are using "front running" bots to find, and execute TXs faster using slightly higher gas fees to reap the benefits of TXs... and I've been noticing that a LOT lately. It's a real eye opener so enjoy the read.
https://www.coindesk.com/new-research-sheds-light-front-running-bots-ethereum-dark-forest
The understanding and eventually mastering, of blockchain explorers can help you better comprehend what these crypto assets are doing, why they are moving in certain ways, and whose doing the nudging , pumping, or dumping. And unlike Wall St, there are no dark pools, after hours, behind closed doors, or other methods for TXs to hide. If you have the drive and determination, you can spot anything, because it's public data. Conversely, you can't hide anything either. So keep that in mind the next time you think "crypto" is synonymous anonymity. Your wallet address is a public identifier of your crypto behavior, even if identity is obscured.
Now go type in your wallet address on some block explorer and hit yourself in the head over all the over priced TXs you've authorized in the past when you were trying to get into a LP FOMO pool and paid 130+ gwei & 120,000 gas to do it. (run on sentence, I know, but I'm not being graded for this right?)
In the dirty depths of data,
Your OId Grey Fox
As always : THIS IS NOT INVESTING ADVICE. DO YOUR OWN DUE DILIGENCE AND RESEARCH. THIS IS JUST ME SHARING MY STORIES AND views / news updates.
https://www.publish0x.com?a=JxboYq4Keg Sign up link for any readers who want to join this fun community.
Alphanova.crypto
Above is the .crypto address for anyone who wants to shoot me some cheddar for my thoughts. Please no BTC or ETH. Network fees are killer. Stick to LTC, XRP, ADA, or TRX. The last 3 are almost free in terms of network fees. Remember - no matter how much you send anywhere, choose a coin that's low in network fees. Anything besides ETH / BTC really...
