If you are watching awesomonia, then you must have encountered Ethereum, then the question arises that what is this Ethereum ? And how has it gained so much fame in just a few years?
If we talk about Ethereum, then it is a rising star of the world of Crypto Currency. It has achieved its position very soon and as of now, it has got the second position in the Crypto Currency List.
After its launch in 2015, the value of ether (ethereum’s currency) has increased by more than 6,800 percent if we talk about the figures till 2017. Now the price of 1 Ether is almost near $480. After Bitcoin, if any Cryptocurrency has gained so much popularity, then it is only Ethereum.
So that’s why today I thought that why should not all of you be given complete information about Ethereum so that you also already know about it, which will make it easier for you to understand about it and buy it. Then without delay, let’s know what is this Ethereum and how is it different from Bitcoin.
What is Ethereum ?
Ethereum, which is also called Ether, is the third most valuable digital money after Bitcoin and whose market value is in second place right now. The technology on which it works is called Ethereum Blockchain. It was first brought to the world in 2013 by a 19-year-old Bitcoin programmer named Vitalik Buterin. This CryptoCurrency has taken its popularity very high in a very short time. If we talk about its current valuation, then it will be around $46 billion (£34bn), which is about $480 per coin. This price keeps going up and down.
Buterin has improved Ethereum in such a way that it is much better than Bitcoin. Like Bitcoin, it is a Decentralized Payment Network which has its own Cryptographic Currency, which we can send to any place in the world with the help of Internet and we will not have to depend on any bank or third party to do so.
These Coded Transactions are stored on Decentralised Ledger which is also called Blockchain and it is visible to all who live in the network.
Who created Ethereum?
As we know that the name of the creator of Bitcoin is Satoshi Nakamoto, which is an unknown person, about whom no one has the right information.
But the thing is different in Ethereum, the name of its father is Vitalik Buterin, who is a resident of Canada and who was born in Russia. He published this idea in 2013. And which took two years to set up completely.
Buterin is a very meritorious student who has a great interest in mathematics and won the Bronze Medal at the International Olympiad in Informatics in 2012.
He got the Thiel Fellowship which was worth $100,000 in 2014, after which he dropped out from the University of Waterloo. After a gap of one year, Buterin and Canadian entrepreneur Joseph Lubin started Ethereum Switzerland GmbH.
How is it different from Bitcoin?
Since it is the second-biggest cryptocurrency after Bitcoin, therefore Ethereum has always been compared with Bitcoin. But it has been seen that Ethereum is considered better than Bitcoin in many ways. So let’s know about it.
The work of both is almost the same but there is some difference between the two.
- Shortening of Block Times – Mining blocks in Ethereum takes roughly 15 seconds, whereas in Bitcoin’s it happens at the rate of 10-minutes. Due to the fast, it takes very less time for the Blockchain to confirm the transaction data, which can lead to more and more transactions.
- Having a more Sophisticated Fee Structure – Transaction fees in Ethereum are based on storage needs and network usage. Whereas Bitcoin transactions are based on block size and keep competing with each other.
- Having More Sophisticated Mining – The mining of Bitcoin requires ASICs (Application-Specific Integrated Circuits), which require a large amount of capital investment to mine. Whereas Ethereum’s mining algorithm has been designed keeping in mind the ASIC-resistance, so that mining can be decentralized easily.
- No more Transaction Fees – Transaction Fees are less in Ethereum than in Bitcoin.
- Use of more and more technology – Along with currency in Ethereum, other third party applications are also allowed to run in the network, whereas in Bitcoin only currency is allowed to run in the network.
- More Profit for Miners – Miners earn more profit in Ethereum than in Bitcoin.
How does the price of Ethereum affect?
Ever since Ethereum was launched, its value has been increasing slowly, while the price of bitcoin has increased very quickly.
In between, the value of Ethereum had decreased significantly because someone had declared its founder dead, which was a rumor, due to which the value of Ethereum was reduced by 20% in a single day. Recently, many big companies have made good investments in Ethereum, due to which its value has increased significantly.
Ethereum gives more focus on “smart contracts”
Now the matter arises that what are these smart contracts? So I want to tell you that this contract is written in the code, which the creator(s) upload in the blockchain. If ever a contract is executed then all the nodes which are present in the network run them, which are then uploaded to the Blockchain, and thus they are stored in the Public Ledger which theoretically tamper- There are proofs.
Small contracts are structured like if-then statements, when certain conditions are fulfilled then that program fulfills that contract.
Because all the computers that are located in the network are tracking all the transactions that are happening in the digital ledger, so it is not possible to tamper or tamper this thing. If someone has tampered with it, then everyone will know about it.
Vitalik Buterin (CEO) – In 2011 with the help of Bitcoin, Vitalik discovered cryptocurrencies and blockchain technologies. He saw Bitcoin Magazine in 2012 to understand Bitcoin.
After receiving the Theil Fellowship in 2014, he dropped out of the University of Waterloo to work full-time on Ethereum. Vitalik understood what blockchain technology had to offer in the future and invented Ethereum in 2013.
Gavin Wood (CTO) – Met Gavin Vitalik in 2014 through a mutual friend. He created the smart contract language Solidity. For the Ethereum Virtual Machine (EVM), he also wrote the first yellow paper on the Ethereum blockchain.
Jeffery Wilcke – After Inception, he is looking after the implementation of Go programming on Ethereum.
Ming Chan – He is working as the executive director of Ethereum and oversees the regulatory and legal matters of the Ethereum blockchain.
How many people use ethereum?
Today there are more than 12 million cryptocurrency wallets which are holding ether. Their number is also increasing gradually.
Should you invest in Ethereum?
If I talk about the value of Ethereum, then in a very short time their value has increased a lot and is increasing. One thing I want to tell you all that there is no reality of the value of Cryptocurrencies and they fluctuate.
That’s why you must have heard about many such people that how they have become millionaires in a very short time. All these things are the result of Ethereum itself. So invest only as much as you are able to give.
The best platform to invest in Ethereum is Wazirx. Believe me, I have also invested in many cryptocurrencies in this.
What is the Future of Ethereum?
The value of Ethereum has been increasing continuously since the time Ethereum originated, investors believe that it will continue to grow like this in the coming years. So if any investor wants to invest in this, then he can invest without any hesitation.
This is also because many big companies such as JP Morgan Chase and Microsoft have invested their money in it.
But I believe that if you do not have the money to invest, then do not invest in it by taking loans, it can prove to be dangerous in the future. Invest as much as you can afford. It would be advisable to do good research before investing the rest. Only time will tell what the future of Ethereum is going to be in the future. Do you know that you can also become a big millionaire later?
what did you learn today
I sincerely hope that I have given you complete information about what is Ethereum and I hope you people have understood about Ethereum. I request all of you readers that you also share this information in your neighborhood, relatives, your friends, so that there will be awareness among us and everyone will benefit a lot from it.
I need your cooperation so that I can pass more new information to you guys.
It has always been my endeavor that I should always help my readers or readers from all sides, if you people have any doubts of any kind, then you can feel free to ask me. I will definitely try to solve those doubts.
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