Ethereum is the cradle of any crypto software. Ethereum value has exceeded $1 billion market cap in just a few months of its operation. The rally has made ethereum to become the second dominant cryptocurrency except for bitcoins. Bitcoin revolutionized the financial industry, while ethereum has more tools that will help in the creation and development of other markets.
Simply put, Ethereum is a digital platform whose mission is to implement dapps and smart contract. Ethereum developers also write agreements and business logic in the form of smart contract, which is executed when the conditions are met. Smart contracts can store data and can also send and receive transactions. Smart contracts even interact with other contracts.
Smart contracts are similar to a machine that sells chocolate. You make purchases from these machines by placing a coin on the machine, and the computer system will identify the amount received and the chosen product.
How ethereum works
Everyone can upload smart contracts or applications to the ethereum network. Ethereum development team simplifies the entire process to allow users to access the technology. As an application developer, you will need zero infrastructure to deploy your application. Anything that can be represented mathematically can be guaranteed, modeled and traded on the Ethereum blockchain.
As an application developer, you will need to write in a programming language that is accepted by the platform, upload the code, fill the original variables and send. After sending the code, the platform will convert it to a machine language.
The programming code is stored in the blockchain, and other users will be able to access it through an API. Also, Ethereum does not rely on any central authority or bank to keep financial resources safe. In ethereum, your identity, personal information, and funds are controllable on your wallet.
Ethereum applications are shielded from service attacks.
Ethereum has its coin called ether (ETH) which serves many purposes. The first one is to run a smart contract or a dapp. The more complex, the application the more ether it needs. If Bitcoin is digital gold, then ETH is the digital oil that keeps computers running, and ensures transaction verification and the security of the network.
The confirmation time for each block is 17 seconds in comparison to bitcoins that takes 10 minutes to process the same level of transactions.
You can create your token using the Ethereum platform. In the ethereum blockchain, any dapp or smart contract can be created and executed. The processing power of the network can increase or decrease depending on the demand for the currency.
Uses of Ethereum
Many of the transaction services we use today are centralized. For instance, you trust your bank to keep your money safe. You also trust Facebook to keep your photo safe. Even when you go to the hospital and register in the health network, you trust that they will keep your personal medical information safe.
History has proven that the centralized model is not safe anymore. The centralization of everything makes it easier for attacks. However, Applications built on the ethereum platform does not require you to trust developers with your funds or personal information. Your personal information, funds, and content remain yours. The decentralization makes it a hacker-proof transparent platform.
Ethereum allows you to launch your currency, create any company stock or represent ownership of an object.
Ethereum removes the barrier of trust between two or more parties. Ethereum by its design is resistant to adulteration and fraud meaning that it offers a solution to daily problems like domain name registration, voting machines, transfer of goods and services, registration of legal documents, medical software, smart property, contracts between financial derivatives and reputation systems.
Users can also track their data and funds at all times. Ethereum allows developers to create different decentralized markets, store payments and debt records, transfer funds according to instructions, and many other things without a counterparty risk or an intermediary.
Ethereum is an application programming language built from the creativity of developers. First, Ethereum makes it possible to issue your value tokens to reward users for specific actions even outside the network. For, instance to collaborate on a computing project. Imagine how the relationship between retailers and consumers would change if retailers issued cryptographic coupons of value.
For instance, when you like a musician fan page on Facebook, the value goes to the advertisers, not you. However, in ethereum, the creator of content would be rewarded for pointing out this musician. This model of income has never existed on the internet before.
Users are tired of paying fees to companies like Kickstarter and eBay. In the peer-to-peer network, there is no intermediary. In a decentralized Kickstarter, Users are rewarded with value coupons instead of receiving a quick product order.
Another application is in the financial industry. In today’s society, You will be banned from an establishment, if you default on a loan payment.
This is why microfinance banks offer low default rates to borrowers. With ethereum, users can still maintain their reputation. Ethereum allows users to issue and trade bonds, stocks, contracts, and derivatives.
Ethereum will have a high impact in the world that have not yet been invented, Just as it took four years for social networks to appear on the web and invent new applications like micro-blogging.
Ethereum is an evolving platform that came from some bright developers guys. Today, Ethereum involves hundreds of top-level developers who are working all the time to make creative improvements on the network.
Unlike bitcoins, ethereum is not a reserve currency. Ethereum is the technology infrastructure for solving mistrust between two counterparts.
The creators of Ethereum are the same people using the internet to create social media websites such as Facebook, except that in ethereum, options range from digitized energy providers to casino models.
Ethereum can be compared to a software platform like Mac OS or Microsoft Windows. Just like Dropbox that hosts your files, in exchange for a monthly hosting fee. The fee for ethereum storage service is paid in ether and not in British pounds or US dollars.
It is vital to remember that Ethereum is a currency. You cannot buy shares of Ether like you would buy ETFs. Instead, you are buying ether tokens with dollars. There are no payouts or dividends.
In conclusion, there is no better time to invest in Ethereum than today. You will need a digital wallet to trade ethereum. You can trade ether on our platform. Our platform is easy to use. We offer a bonus for each signup.