The mainnet is a blockchain on which transactions are made and recorded. In contrast, a testnet is a test network that allows the entire ecosystem to be tested before the mainnet is launched, and on which decentralized applications (dApps) are developed.
The mainnet is the end product in blockchain projects which allow digital currencies to be sent and received. Mainnets undergo modifications from time to time when updates or revisions are needed. These regular updates keep the mainnet secure and always up and running.
Before investing in startups and ICOs (Initial Coin Offerings), it is crucial for an investor to know whether the blockchain project has a running mainnet. The presence of a mainnet or testnet indicates the status of the entire project development. These two features affect the cryptocurrency price of a given project.
Do all crypto projects have a mainnet?
A mainnet is an independent blockchain that operates on its own, using its own technology and cryptocurrency. An ERC-20 token such as shiba inu (SHIB) does not have its own mainnet because it is traded on the Ethereum blockchain. In contrast, solana (SOL) has its own independent blockchain, based on its own technology. Therefore, it also has its own mainnet.
Similarly, fully functional dApps built on the Ethereum blockchain do not have their own mainnets, as they run on the Ethereum mainnet.
Despite the popularity of the Ethereum blockchain and the ERC-20 standard, there are many blockchain platforms that support digital asset release and have their own mainnets. For example:
- Ecosystem size and diversity
Mainnets provide a reliable and efficient way to measure the success of any emerging blockchain project. If everything is working properly on the testnet, this is proof that the mainnet implementation will be smooth and seamless. The functioning of the mainnet also affects the prices of cryptocurrencies in both the short and long term.