Crypto corner

At its core, Avalanche is an open-source platform engineered to support decentralized applications (dApps) and enterprise blockchain solutions within a singular, interoperable, and scalable ecosystem. Its inception was motivated by the desire to overcome certain challenges inherent in Ethereum, particularly the slower transaction times and the one-size-fits-all nature of its blockchain structure. Avalanche’s founder envisioned a platform that could cater to diverse needs through modular design, leading to the development of subnets. These innovations have attracted a range of diverse companies such as Visa, Amazon, JPMorgan and CitiGroup to consider and explore implementing Avalanche’s technology.

The innovation of smart contracts is one of the most significant advances in the blockchain space, particularly with the development of Ethereum, which marked a pivotal moment in broadening the applications of blockchain technology beyond Bitcoin's initial scope. Ethereum's creation was driven by the limitations of Bitcoin's scripting capabilities, which restricted the execution of complex agreements. Vitalik Buterin's vision, outlined in the Ethereum white paper in 2013, proposed a platform that could facilitate more sophisticated applications through smart contracts and secondary tokens. This concept was revolutionary, as it extended blockchain utility beyond simple transactions to a broader range of decentralized applications (dApps), funded and developed through an innovative approach that leveraged the potential of blockchain technology for more than just cryptocurrencies.

Cryptocurrency custody is currently under the spotlight, a development that is both timely and deserved. Following the SEC's green light for spot bitcoin ETFs, a wide range of investors, financial advisors, and institutions are delving into the realm for their initial exploration, aiming to grasp the intricacies of how digital assets are securely stored and safeguarded. With a variety of custody solutions available, understanding the nuances between them is crucial. This article delves into the distinctions between hot wallets, cold wallets, and third-party custody solutions, shedding light on the different techniques used in banking and how entities like Taurus in Europe and Coinbase in the United States are pioneering in the custody space.