A review of Ethereum transmission networks and their benefits

With the increase in the number of users of the Ethereum network in recent years, now, in addition to the main network, it is possible to transfer this digital currency in some other networks as well. In fact, Ethereum, as the world’s largest smart contract-based blockchain, uses various networks to facilitate its transactions. In this article, we will examine the types of Ethereum transfer networks, focusing on the main network (ERC20) and layer 2 networks.

What is Ethereum?

First of all, it is better to check Ethereum itself. Ethereum is one of the largest and most well-known blockchain networks in the world, which, unlike Bitcoin, which is mainly a decentralized currency, is considered a platform for “decentralization of everything”.

The main feature of Ethereum that distinguishes it from the Bitcoin blockchain is the use of smart contracts. Using these contracts, developers can design various decentralized programs on the Ethereum network and launch their own token. This has caused the number of Ethereum users to increase significantly and network congestion to increase in recent years.

Following this congestion, alternative networks were launched to transfer Ethereum and carry out its transactions, each of which has its own characteristics. In the following, we will examine Ethereum transmission networks.

Types of Ethereum transmission network

After buying Ethereum, you may think of transferring it to your personal wallet. In this process, depending on your source exchange, you may see different networks to transfer your Ethereum. In general, there are two types of networks for Ethereum transfers: the ERC20 main network and layer 2 networks.

Ethereum Mainnet (ERC20)

The Ethereum mainnet is the core of the Ethereum blockchain, where all transactions and smart contracts are executed. This network has a token standard called ERC20, and most of the tokens based on it follow this standard. This standard was introduced in 2015 by Fabin Vogelstellar, one of the developers of the Ethereum network, and it determines things such as how to send and receive tokens, the amount of the total supply, etc.

Ethereum mainnet ERC20 is very popular and is supported by almost all crypto exchanges.

Layer 2 networks

Layer 2 networks are solutions designed to improve scalability and reduce transaction costs on the Ethereum mainnet. These networks reduce the processing load of the Ethereum blockchain by performing part of the calculations outside the main chain.

In recent years, a large number of Layer 2 networks have been launched for Ethereum, each using a specific technology and having different features. Among these networks, we can mention roll-ups such as Optimism and Arbitrum and side chains such as Polygon.

The main advantage of layer 2 networks is their scalability and high speed and low transaction fees. However, since these networks are outside the Ethereum mainnet, they are less secure than the ERC20 Ethereum mainnet.

In the table below, we have reviewed the different ethereum networks:

Which ethereum network should we choose?

Choosing the most suitable network for transferring Ethereum depends on various factors. including:

• Speed: If you need high transaction speed, layer 2 networks are the right choice.
• Fees: To reduce transaction fees, you can use layer 2 networks.
• Security: If security is a priority for you, the Ethereum Mainnet is a safe option.
• Interoperability: If you are looking for interoperability with different protocols, ERC20 is the right choice.

Which network is supported in Valex digital currency exchange?

Currently, in Valex exchange ERC20 mainnet is supported for Ethereum transfer. By choosing the ERC20 network as its main network, Valex has shown that it seeks to provide the best services to its users. By following global standards and using strong infrastructure, this exchange has provided a safe and reliable environment for digital currency transactions.

Advantages of using the ERC20 network on Valex

• High speed: Valex’s strong infrastructure has made transactions on the ERC20 network very fast.
• Competitive Fees: Valex strives to keep transaction fees at a competitive level.
• Wide support: Valex supports a wide range of ERC20 tokens.
• High security: Valex protects users’ assets using advanced security measures.

As a result, the ERC20 network is considered one of the most popular networks for transferring Ethereum tokens due to its security, interoperability, and widespread support. By choosing this network, Valex has provided a safe and efficient environment for digital currency transactions.

The best Ethereum transfer network

The increase in the price of ethereum, the expansion of its popularity and the growth of the demand for buying this digital currency in the years have led to the establishment of alternative networks to carry out its transactions in addition to the main network. The main Ethereum transfer network, also known as the ERC20 network, is supported by all exchanges in the world and is very popular due to its security and widespread adoption. Meanwhile, various layer 2 networks such as Optimism, Arbiterum, and Polygon have been launched to transfer Ethereum.

Valex digital currency exchange currently supports the ERC20 network for Ethereum transfer and fully meets the needs of users with its strong infrastructure, competitive fees, extensive support and high security.