Ethereum (ETH)
Ethereum (ETH) has been touted as the future of finance and the biggest step forward in blockchain technology since Bitcoin itself. The world’s second largest cryptocurrency revolutionized the digital asset world and paved the way for game-changing advancements, including decentralized finance and non-fungible tokens (NFTs).
Overview
Born from the hive mind of the crypto industry’s brightest minds, Ethereum promised to build upon Bitcoin’s foundation and create a decentralized platform that was limited only by the imagination and creativity of its users.
Founded by the likes of Vitalik Buterin, Gavin Wood and Charles Hoskinson, Ethereum is a fully decentralized Layer 1 blockchain that supports smart contract development. These sophisticated lines of code represent self-executing agreements, essentially automating processing and procedures that were previously governing by centralized intermediaries.
In short, Ethereum is like a publicly owned internet platform, where anyone can build and develop financial applications, products, and services on the Ethereum blockchain that are accessible to anyone in the world, regardless of their background.
Bitcoin walked, so that Ethereum could run. Ethereum took Bitcoin’s foundational principles of decentralization, self-custody, and financial inclusion and added an additional layer of utility and innovation to this rapidly evolving new world.
Why Makes Ethereum Unique?
Amidst the hustle and bustle of the cryptocurrency market, Ethereum stands tall as revolutionary framework that has reshaped the digital landscape. But what is it about Ethereum that makes this blockchain network so iconic?
- Ethereum smart contracts are the network’s magnum opus. These digital contracts automate and streamline complex processes, removing the need for intermediary parties and exploitative middlemen.
- The network hosts a staggering variety of dApps (decentralized applications), which help users unlock new use cases for digital assets, including permissionless trading platforms like Uniswap and borrowing markets like AAVE.
- Blockchain development’s central playground, the Ethereum Virtual Machine is a versatile operating system that dozens of other networks use a blueprint for their own infrastructure.
- The Proof-of-Stake consensus mechanism creates new blocks, rewards validators and ensure that the Ethereum network is secure and safe to use, while dramatically reducing energy consumption.
- Ethereum is the birthplace of NFT technology and culture. With some of the world’s largest brands incorporating NFTs into their business models, this emerging technology is expected to reinvent how we manage digital assets online.
Ethereum’s greatest asset is its passionate and creative community of users and developers. These enthusiasts are constantly pushing the boundaries on what is possible on the network, and are always imagining brave new use cases for blockchain technology.
