What is Ethereum?

Ethereum is a decentralized open software platform which is made out of blockchain technology. With Ethereum, users can build and deploy a decentralized application. Furthermore, markets store registries of debts or promises, and so much more is possible with Ethereum.

Ethereum was released in 2014 by the Ethereum Foundation, but it was originally proposed in 2013 by Vitalik Buterin.

Ethereum Broken down 

With Ethereum, thousand of nodes replace the server and clouds. These nodes are run by volunteers all over the world. This is done in order for people, regardless of their locations, to receive the same exact features, thus they can offer their services.

Difference Between Ethereum and Bitcoin

What makes Ethereum different from Bitcoin is its capacity and purpose. Bitcoin is used to track ownership of digital currency while Ethereum is more on running the program code of any decentralized application.

Ethereum Mining

Ethereum Mining

Miners mine for ether with Ethereum. Ether is a cryptocurrency token which fuels Ethereum. It is transferable between and among accounts and is used to compensate the miners of the people who can solve the mathematical problems. Furthermore, it is used to pay for fees and services within the network. 

There are different wallets in Ethereum. These included a desktop wallet, mobile wallet, hardware wallet, and paper wallet. 

Smart Contract

Smart Contracts

The smart contract is a computer code which facilitates the exchange of content, property, shares, money and all kinds of assets. When the conditions are met, it becomes automated. It exactly runs just like how it is programmed. These smart contracts are compiled down to EVM bytecode and can be written in solidity, serpent, LL and mutant which are all computer languages. 

The Ethereum Virtual Machine

The Ethereum Virtual Machine or EVM is a turning software made for and by Ethereum. It has the capacity to run any program no matter what the programming language is. It makes the creation of blockchain easily faster and easier.

Benefits of Using Ethereum

  1. Any third party can’t make any changes to the data. 
  2. Censorship is impossible as apps are network-based formed with the principle of consensus.
  3. Applications are secured and protected from risks since it has no central point of failure and Ethereum is secured with cryptography. 
  4. There is no downtime on as much as apps can’t be switched off.

Conclusion 

Ethereum is a decentralized platform out of the blockchain technology which replaces internet their parties. It is a product of the modernization of life. Despite the great number of benefits, it also comes with risks which makes it very important to be very careful with any execution that you do.