What is Ethereum (ETH) and how to work with ethereum ?
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What is Ethereum (ETH) and how to work with ethereum ?
LikeBitcoin, Ethereum is a blockchain network. But Ethereum was designed as aprogrammable blockchain — meaning it wasn’t created to support a currency, butrather to enable the network’s users to create, publish, monetize, and deploydecentralized applications (dApps).
Ether(ETH), the native Ethereum currency, was developed as a form of payment on theEthereum platform.It might be helpful to think of ETH as a kind of fuel that powers the Ethereumblockchain. Ethereum has helped to launch many initial coin offerings becausemany ICOs are built on the Ethereum blockchain. Ethereum has also been theblockchain behind the boom in non-fungible tokens (NFTs).
As the twomost widely known blockchains and cryptocurrencies, many people often directlycompare Ethereum and Bitcoin against each other. In reality, Bitcoin andEthereum are designed to achieve different goals, and in many ways can beregarded as complementary forces. Bitcoin is a peer-to-peer digital cash network,which facilitates transactions without the need for a central authority.
This novelnetwork architecture has paved the way for the complex blockchain ecosystemthat we have today. Ethereum, often referred to as the world computer, iterateson Bitcoin’s technology while introducing smart contracts. Smartcontracts allow for building dApps that span a broad range of crowdfundingplatforms, financial instruments, digital games and collectibles, anddecentralized marketplaces.
As of June2022, Ether was the number two virtual currency, behind Bitcoin. Also like BTC,ETH is generated using a PoW system. But unlike Bitcoin, there is no limit tothe number of ETH that can be created.