ethereum

Reviewed by FALSE | Updated on Jul 30, 2021

Catalogue

Introduction to ethereum

  • Ethereum is an open-sourced blockchain that is decentralised and mostly commonly and actively used across the world.
  • It has its own cryptocurrency called Ether and the platform enables the working of SmartContracts and Distributed Applications without interference from a third party.
  • It was launched in 2015.

Understanding Ethereum

  • Ethereum is more than merely a blockchain. It is also a computing network and programming language that allows creation of applications that run on the blockchain. These applications work using a token named ether as a foundation, in addition to being traded on digital exchanges as currency.

  • Ethereum is a decentralized platform i.e. the operations on the blockchain is not monitored or managed by a central authority. It is a popular network that aims to provide a healthy ecosystem to “codify, decentralize, secure, and trade just about anything.”

Highlights of Ethereum

  • In 2016, Ethereum was split into two blockchain platforms, each called Ethereum and Ethereum Classic. This was after a series of tokens worth $50 Million were stolen after being raised on the DAO by a malicious party.

  • The biggest partnership Ethereum shares is with Microsoft to make ConsenSys that seeks to offer Ethereum Blockchain as a Service (EBaaS) to join with Microsoft Azure.

  • Ethereum 2.0 is in the works to ensure a stronger and a speedier, more efficient network that can take on greater workload. It is also more secure than regular Ethereum and the development and research for Eth2 or Serenity is underway after launching Phase 0 in December 2020.

  • Ether is a token traded on digital currencies and is the associated cryptocurrency of Ethereum. It is used to ensure optimal operation on the network. Ethereum is the network in which Ether is used to build these applications.

  • Ethereum is faster and easier to use than Bitcoin and completes initialization and transaction in less than half a minute. Bitcoing takes a standard 10 minute margin.

  • While Bitcoin is only a virtual currency that stores value of time; Ether is too, but it is also a token that offers functionality to create and run SmartContracts and run applications.

  • ERC-20 tokens are the base for creating SmartContracts on Ethereum that gives Ether it’s value for time and makes it a fungible currency. It is also open-source therefore can be used to create newer currencies and launching of Initial Coin Offerings, creation of wallets etc.

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