Thread by @WesleyBKress

1/ Hi @charliemktplace this deals w/ the architecture of Blockchain to understand. On Elrond $eGLD tokens are built into the protocol NOT Smart Contracts. Read that again. Tokens are built into the protocol. This means the tokens are just like the core "Coin" like $ETH or $eGLD

https://twitter.com/charliemktplace/status/1495406577268019201

2/On $ETH the tokens are NOT build into the protocol they are in fact (Smart Contracts). The Smart Contract represents the (Tokens - ERC 20) & #NFT's are the same way they are in fact (Smart Contracts - NOT tokens built into the PROTOCOL) (NFT standards: 721 & 1155) on $ETH This

3/ Means that you are exposed to the inherent risks of Smart Contracts that are coded to represent (Tokens ERC-20 or NFT's 721 & 1155). This means that malicious code can be put into a SMART CONTRACT that represents a token or NFT & sent to your Wallet. If you happen to interact

4/ or transfer it, causing the Smart Contract to Execute the malicious code, you are in a world of hurt. How is this not possible on $eGLD is because the Token (ESDT) or NFT & SFT (ESDT + Metadata) is NOT a Smart Contract. It's built into the protocol just like the Native Coin of

5/ the Network that pays for gas ⛽️ or computational power of the Virtual Machine. For $ETH that is (EVM) & for $eGLD that is (WASM). This is very important for the ease of storing it in a wallet as it's a native protocol asset NOT simply a Smart Contract represented as such.

6/ This is why centralize entities like @opensea function the way they do. The Smart Contracts that represent #NFTs (721 & 1155) are assigned ownership by the account address but because they are Smart Contracts & Not Built into the Protocol, the Smart Contract has True Ownership

7/ not technically you. So they must query the blockchain to see what Smart Contracts are assigned to what addresses on $ETH. Hope this helps clarify things.... Let me know if you have questions. Stay Safe & Educated out there. $eGLD #NFTs