All you need to know about Ethereum! (in 1 minute)
Ethereum is an open source decentralized software based on blockchain which is the platform for Bitcoin.
Ethereum is a blockchain-based software platform!
It that hosts a decentralized application store and payment system on the Ethereum network. Its own cryptocurrency can be used as virtual money and a store of value, but the decentralized nature of the Ethereum networks allows users to develop and manage applications, smart contracts, and other transactions but keep attention on high transaction fees. Applications running on Ethereum run on a platform-specific digital currency token, ether.
Summary :
- Ethereum's history
- Utility of this blockchain
- Ethereum VS Bitcoin
- The founder : Vitalik Buterin
- More tips
1. Ethereum's history
Like all cryptocurrencies, Ethereum is based on the blockchain network. Ethereum is a decentralized public ledger for verifying and recording transactions in the form of a blockchain network. Launched in 2015, Ethereum uses blockchain technology to replace centralized computer systems that store people's data. Instead, Ethereum refers to Ethereum as a decentralized computer network based on blockchain technology.
Ethereum, launched in 2015, is a blockchain-based, open-source, decentralized software platform used for the native cryptocurrency Ethereum. As a software platform issuing the world's second largest cryptocurrency and aiming to create a decentralized version of the Internet, Ethereum is a technology to be reckoned with. Ethereum is considered one of the largest cryptocurrencies (along with bitcoin) because ether (ETH) is the second largest cryptocurrency after bitcoin by market cap. The blockchain is based on Ethereum's native cryptocurrency, Ether (ETH), and allows developers to develop new types of ETH-based tokens that power dApps through smart contracts.
2. Utility of this blockchain
To truly understand how Ethereum can decentralize the app store and verify all Ethereum transactions, you need to understand the basics of blockchain technology. By using blockchain technology to create a decentralized app store, Ethereum returns all power to users. Importantly, Ethereum makes it easy for developers to create decentralized applications that run on the blockchain.
The Ethereum network can also be used to store data and run decentralized applications. Ethereum takes the Bitcoin blockchain further by allowing developers to run programs (known as "smart contracts") that can host any type of decentralized application (known as "dApp"). The peculiarity of Ethereum is that users can create applications that “run” on the blockchain, just like software “runs” on a computer.
Network users can create, publish, monetize and use applications on Ethereum, as well as pay for them with their own cryptocurrency. Users can interact with the platform using Ethereum, an Ethereum-related cryptocurrency, or buy and store Ether as a store of value.
3. Ethereum VS Bitcoin
Ethereum differs from Bitcoin in that it is a programmable network that serves as a marketplace for financial services, games, and applications that can be purchased using your own cryptocurrency and that are free from fraud, theft, and censorship. Ethereum was created to be a new form of free third party banking with an open ledger. The Ethereum network works just like the Bitcoin network in that it is built on blockchain technology, essentially a digital public ledger where financial transactions can be verified and archived entirely by software without third party intervention.
Another way that Ethereum uses blockchain technology is to verify and secure all transactions made in the Ethereum cryptocurrency, Ether, using smart contracts. The validation process of smart contracts is carried out by anonymous parts of the network without the need for centralized control, which makes the execution of any smart contract on Ethereum decentralized. In an industry with disparate, controversial, and demanding digital contracts, Ethereum can be used as a technology to develop smart contracts and digitally record agreements and transactions based on them.
While Ethereum and Bitcoin use blockchain to verify and advertise every transaction in their cryptocurrencies, Bitcoin is just a currency, while Ethereum is a software platform. Ethereum handles multiple transaction methods such as cryptocurrencies, smart contracts, and the Ethereum Virtual Machine (EVM), while Bitcoin, on the other hand, only trades cryptocurrencies. Unlike Bitcoin, which was specifically designed as a currency, Ethereum is designed to power the Ethereum network by compensating miners for their calculations.
4. The founder : Vitalik Buterin
Programmer Vitalik Buterin has created Ethereum, a blockchain network with a linked cryptocurrency called ether (ETH) capable of doing so much more. Now anyone can create a functioning and secure cryptocurrency on the Ethereum network using ERC protocols.
While you can buy and trade Ethereum like Bitcoin, Ethereum is also a software platform that developers can use to build new applications, often crypto-related or otherwise designed to enable purchases, The process of selling and using cryptocurrencies is more seamless. Ethereum is the second most traded cryptocurrency and the most widely used blockchain in the world, but its many uses can create a harder learning curve than Bitcoin for new investors.
5. More tips on Ethereum
Proponents and users argue that Ethereum's main advantage over Bitcoin is that it allows individuals and organizations to do more than just move money between individuals, leading Bloomberg to write that it is "a cryptocurrency and a blockchain". The most powerful platform in the blockchain world”.
In addition, the sale of NFT takes place primarily on the Ethereum blockchain! There is nothing better than building a loyal community on Twitter by starting with 100 followers, then gradually increasing. This will allow you to have a solid NFT community and be able to cash in on Ether.
The blockchain is decentralized in the sense that Ethereum is not managed and controlled by one organization, but by all owners of the distributed ledger. The decentralized Ethereum network promises to free users from third-party intermediaries such as lawyers who create and interpret contracts, banks who act as financial intermediaries, and third-party website hosting providers. Sharding will eventually allow ordinary users to run Ethereum on a personal device, increasing the number of participants in the network and making the blockchain more decentralized because there will be more users.
Of course, you can buy ETH on many crypto exchange like Coinbase, Binance, Crypto.com, etc. or create an Ethereum wallet like Metamask.
Mining also releases ether into circulation, which increases the likelihood that users will create more applications on Ethereum, increasing the value of platforms and cryptocurrencies. For example, an Ethereum node (known as a miner) receives new ether. The update aims to improve the speed, efficiency, and scalability of the blockchain so that it can process more transactions and reduce congestion.