What is Ethereum?

1. What is Ethereum? Ethereum Nexus

2. What is Ethereum? Ethereum is a cryptocurrency like Bitcoin, but it is very different from Bitcoin. They’re both blockchain technologies, but where Bitcoin is an open source peer-to-peer payment platform, Ethereum is an open source decentralised application (dApp) platform. Ethereum’s model enables developers to create their own dApps without having to create their own blockchain. What does that mean, I hear you asking. Well, if we think of blockchain as the Internet 3.0, then Ethereum is kind of like an operating system, like Apple and the App store. It has actually made it much easier, faster and cheaper for any company wanting to create their own blockchain application. But let’s take a deeper look at what Ethereum is…

3. EthereumBlockchain

4. Who Created Ethereum? Ethereum was first conceived by Russian CandaianVitalikButerin who wrote and released the whitepaper in 2013. The whitepaper described Ethereum as an alternative platform designed for any type of decentralized application developers would want to build. After releasing the whitepaper, other developers Mark Wood and Joe Lubin joined ranks, and after a crowdfunding round which made $18m, they launched Ethereum in July 2018. SInce its launch Ethereum has become the second biggest cryptocurrency by market cap, and is the most built on platform in the blockchain space.

5. What is Ethereum? Ethereum is decentralized on thousands of different computers, so unlike the Internet we know today, there is no central point of failure. Unfortunately, this is what slows Ethereum and all other blockchains down, but these issues are being worked on and will be sorted. Like all blockchains, the highly decentralized and cryptographic nature of Ethereum makes it much more secure than any IPS. If you look at the Internet and how it is now, all data is stored in clouds and servers by companies like Amazon and Google. It may seem fine to some, but our very data that these servers hold is vulnerable to hackers or governments. The platform Ethereum is creating, however, is a decentralized blockchain “Internet”. This basically means that all the data is stored on all the computers that run the protocol, and to be able to hack it means you will have to take more than 50% control of all the network.

6. ETH and EVM Like Bitcoin, Ethereum needs a currency to generate the network. It’s needed by any developer wanting to build on Ethereum, and it’s also used to pay for transactions, which goes to the miners who help verify all transactions. Miners are also rewarded with newly minted ETH for every block that is added to the blockchain. For now it’s 2 ETH for every block that’s added. For a full look at ETH, click here. The core innovation of Ethereum – the Ethereum Virtual Machine (EVM), a Turing complete software generates the Ethereum network. It allows anyone to run any program, regardless of the programming language and the language is converted into a language the EVM can read. This makes it possible for any developer to code any program in any language and install it on Ethereum. This flexibility has opened many doors for developers and companies wishing to break into the blockchain space. And we have seen Microsoft and Ernst Young partner with Ethereum Development Studio ConsenSys to create a middleware solution for large companies to exchange data privately via the public Ethereumblockchain, which will allow businesses to use the blockchain in a private manner. Find out more: EthereumBlockchain