Mainnet and Testnet: How to benefit from these networks?

When you are researching new blockchain projects, you may come across phrases like “mainnet” and “testnet”. For those new to blockchain, these phrases may seem like some kind of arcane technology, but they are actually relatively simple. Once you understand how testnets and mainnets work, you can easily get involved in new cryptocurrencies, blockchain networks and decentralized applications. Keep reading to learn all about the differences between testnets and mainnets.

What is Testnet?

Many people think of the blockchain as a single, unified system that represents the entire network. However, in reality, a blockchain can have several chains that operate independently of each other. One of the most common types of alternative chains is the testnet. As the name suggests, the testnet is designed to test certain concepts.

You can think of the testnet as being like a beta version of a game. Companies use testnets when they develop an entirely new blockchain or experiment with updating an existing blockchain. The testnet is the testing and development environment for the main project and is usually not at full capacity depending on the project's purpose. It allows developers to test and experiment with their applications without risking their real assets. All tokens used on the testnet have no real value, and decisions made on the testnet will not affect the main blockchain. This also means that transactions made on the testnet are not recorded on the real blockchain.

What is mainnet?

The main network is a live and fully operational version of the blockchain network. All transactions on the network are real transactions and are usually carried out using smart contracts. The native cryptocurrency that is used and exchanged has a real monetary value. Some call it the actual blockchain or the real blockchain.

The core network can facilitate value transfer, smart contract execution, and the creation of decentralized applications (DApps). In a word, the mainnet network is the backbone of the blockchain network and serves as the foundation for the ecosystem built around it. The main network is open to a wide range of users and includes various services.

mainnet vs. Testnet: Key Differences

While mainnet and testnet may have similarities, a closer look reveals many differences. Here are some basic ways to distinguish mainnet from testnet.

Goal

Developers of blockchain networks have different goals when creating these networks. Test networks are experiments. They allow developers to play with different concepts as close to the real environment as possible without risking their assets. At the same time, mainnets are designed to provide a system for users to make transactions, develop contracts, and create DApps. Implementing a project on the main network is more risky because developments or updates can change user accounts.

Features

The interface and functionality of the mainnet and testnet may differ during their operation. On the main network, the transaction rate is much higher, while on the test network, the number of transactions is much lower. Some test networks may also run fewer nodes. The testnet interface is less user friendly as it is still under development. A look at the network ID often reveals that the main network starts with the number “1”, while test networks often use numbers like “3 or 4”. Tokens on the testnet have no monetary value, so transaction fees are absent.

Security level

The level of security on the main network is much higher than on the test network. However, the level of security can vary depending on the particular blockchain network and the design of its consensus mechanism. Mainnet is much more secure as tokens or cryptocurrencies are used for real transactions and real value storage. Mainnets also commonly use encryption, multi-sig transactions, and smart contract auditing to secure the network and protect users' assets.

There are two main forms of consensus mechanisms for mainnet security:

• Proof of work (PoW): Miners use computing power to solve complex mathematical problems in order to confirm transactions. With each successful transaction confirmation, a new block is created and added to the chain.
• Proof of Stake (PoS): Validators create a new block by depositing a proportional amount of tokens as collateral.

The level of security in mainnet and testnet depends on how well the codebase is written and protected from bugs and hacks. Therefore, it is not uncommon for exchanges to offer bug bounties to white hat hackers on the mainnet to help weed out potential threats and bugs.

Types of Assets Transferred

Since the testnet runs as a completely separate network, you cannot send tokens back and forth between blockchains. If you try to send real tokens to the testnet address, you will completely lose the tokens. Similarly, testnet tokens cannot be sent to the mainnet, where they will acquire real value.

However, you can move developed assets such as DApps from the testnet to the mainnet. In these cases, you are essentially taking the product you tested on the testnet and porting it to the real blockchain.

Примеры использования

Testnets may seem more flexible as they have lower monetary implications, but there are far fewer use cases. Most testnets can only be used for trading experiments, DApp development and smart contracts. It is useful for developers to test new features and updates for the blockchain network before they are released on the mainnet. This opens up an opportunity for developers to evaluate the impact of these changes and make sure they work as intended.

Meanwhile, the mainnet supports a wider range of useful functions, including the execution of smart contracts, the facilitation of financial transactions such as decentralized protocol lending and borrowing, supply chain management to track and authenticate goods and materials, and even manage the network where token holders may vote to amend the protocol.

Mainnet has more impact because it is a live and working version of the blockchain network. Transactions on the mainnet are permanently recorded on the blockchain and are visible to the public. In contrast, transactions on the testnet are used for testing and development and are not permanently recorded on the blockchain. Mainnet is a place where real value is exchanged and where all the functionality of the blockchain can be used.

For example, the Mantle Faucet testnet allows users to experiment with exciting Web3-applications, and developers can deploy smart contracts with a modular architecture to increase efficiency in a low-fee environment.

Impact

Mainnets have more impact simply because they are defined and visible to the public. They are a live and live version of the blockchain network, where any changes to the network can affect the user's funds.

In contrast, the testnet is often a place where developers with new ideas for blockchain projects are free to experiment. These blockchain projects can either thrive or fail and are not permanently written to the blockchain.

Why is testnet important for blockchain development?

Are testnets necessary? Most developers agree that they are necessary. Moving from testnet to mainnet can take some extra effort, but it's usually worth it.

Using a testnet has the following benefits:

Risk reduction

When it comes to real money, people are much more careful. Mainnet users are usually very cautious about trying out new features as they don't want to lose their funds. Using a testnet can help mitigate risks and help users familiarize themselves with the platform before investing in it. Users don't have to worry about losing their funds, and developers don't have to worry about a cascading chain of failures that brings the main network to a halt.

Experimentation

Testnets give developers the confidence they need to work on different concepts. Reducing risks and reducing costs allows them to try out ideas, even if they are likely to fail. All these experiments can lead to the creation of very unusual and interesting projects. Because test networks are so versatile and accessible, developers can even test different projects at the same time to see which concepts work best.

Error detection

No matter how much effort a developer puts into development or modernization, some shortcomings will become apparent only after testing. The testnet allows people to put their theories into practice. They can implement their designs and see how they react when a normal user makes a transaction. This allows them to easily identify bugs and try out different solutions.

Performance testing

Even the best developers cannot predict how real users will behave. That's why it can be incredibly rewarding to have real users try out your designs on a testnet. Many unexpected use cases can reveal potential areas for improvement. The ability to run multiple formats and designs on the testnet gives developers a clearer view to determine which model delivers the best performance.

Community Involvement

For many blockchain projects, testnets are a significant incentive for their investors and community members. The people who have supported the product are often very happy to help test the design on the testnet. Many companies find that testnets are a great way to encourage community engagement. They reward valued backers by inviting them to join the testnet and see what the product looks like months before it goes public.

Educational Resources

The safe, risk-free environment of the testnet makes it an ideal way to test and learn. People who are new to cryptocurrencies and blockchain can use testnets to get started on how the blockchain works. They can use a functional blockchain to gain hands-on experience without losing money or damaging valuable blockchain networks.

How can Testnet help you as a user?

Most people tend to view testnets as a tool for developers. While it is true that they are essential for people developing blockchain or decentralized applications that run on blockchain, that is not their only purpose. Participating in the testnet as a regular user can also bring some interesting benefits.

Experimenting with trading strategies

Just as the testnet allows developers to try out new features, it also allows users like you to try out new trading strategies. This is a good environment for testing such strategies because it provides a safe and risk-free environment for working out a trading formula through trial and error. Experimenting with trading strategies on testnet with less trading volume and less volatility makes it more suitable for users to properly analyze trading charts and indicators.

Such experiments with trading methods help users get real-time feedback on how their decisions affect their wallet balance. For example, some traders may want to see if they are making more significant profits on short or long term trades. This is a great way to learn how to trade cryptocurrencies without risking real money. You get insight into the market without having to have a lot of money to invest.

Community Engagement

If you are interested in the crypto community, take the time to participate in a few testnets - this is a great starting point to get involved in the scene. Many developers of new blockchains prefer to have real users test updates and functionality for them. You will be able to play around with the features and exchange opinions with users in Discord groups or other forums. Testnets can be a fun, behind-the-scenes look at blockchain development, and you can also connect with many interesting like-minded people.

Availability

Testnet users are often the first to try features, and their opinion of them can potentially influence the development team's decisions. If you want to improve the accessibility of the blockchain community, testnets are a great way to contribute. You can examine the system and potentially identify issues that affect availability. In addition, testnets provide accessibility because there is no economic barrier. People do not need to buy valuable tokens to participate, which creates a level playing field for interaction.

Educational Resources

If you are new to the blockchain ecosystem, participating in the testnet is one of the best things you can do. Since the testnet is a unique experience for everyone, developers usually offer a lot of educational resources. User manuals, tutorials and other tools will guide you through every step of the testnet. This makes it much less overwhelming and confusing when you are ready to move on to the actual blockchain.

Final thoughts

A testnet is a unique type of blockchain that allows for great flexibility and experimentation. Users and developers can try out concepts and get immediate feedback without having to spend real money on tokens. This particular environment is one of the best ways to develop new blockchains, create DApps, or get used to trading on the blockchain.