How do I write a shortcode that opens and closes?

I found the correct way:

function readmore_link($defaults,$between_the_tags){
    ...

    $output="This is between the shortcode tags:";
    $output .= $between_the_tags;

    return $output;
}
add_shortcode('readmore', 'readmore_link');

More about enclosing shortcodes on WP Codex: Shortcode API

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