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What Is Ethereum blockchain?

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What is Ethereum blockchain?!


eth, ethereum, What Is Ethereum?

Ethereum is the second-largest crypto project in the world by market capitalization and the first to bring smart contract functionality to the industry.


1) How does Ethereum work?

Ethereum is a blockchain-based software platform primarily used to support the world's second-largest cryptocurrency by market capitalization after Bitcoin. Like other cryptocurrencies, Ethereum can be used to send and receive value worldwide without a third-party monitoring or unexpected intervention.

  • Exchange of value is the primary use case for the Ethereum blockchain today, often via the blockchain's native token, (ETH). But many developers are working on cryptocurrency because of its long-term potential and its developer's ambitious vision to use Ethereum to give users greater control over their online finance and data. The ambitious idea that sometimes led to labeling Ethereum a "world computer" has met its fair share of critics, who say it probably won't work. But if this experiment goes as planned, it will produce apps very different from Facebook and Google, where users knowingly or unknowingly trust their data.
  • Ethereum enthusiasts aim to give control back to users by using a blockchain, a technology that decentralizes data so that thousands of people around the world make a copy. Developers can use Ethereum to build leaderless applications; this means that a user's data cannot be changed by the creators of the service.
  • Ethereum was first proposed in 2013 by developer Vitalik Buterin, who was 19 at the time and was one of the pioneers of the idea of ​​spreading the technology behind Bitcoin, the blockchain, into use cases rather than transactions.
  • While Bitcoin was created with the aim of disrupting online banking and day-to-day transactions, the creators of Ethereum intend to use the same technology to replace Internet third parties – those who store data, transfer mortgages, and monitor complex financial instruments. These apps help people in countless ways, like opening a way to share their vacation photos with friends on social media. However, they were accused of abusing this control by censoring data or accidentally hacking sensitive user data, to name a few examples.
  • The platform was officially launched in 2015, turning the Ethereum idea into a real working network.

2) Ethereum is a decentralized internet

Before you understand Ethereum, it helps you understand middlemen. Agents are everywhere today. Behind the scenes, they help us perform all kinds of digital tasks. For example, Gmail helps us send emails. This means that our personal data, financial information, etc. it's all largely stored on other people's computers – on clouds and servers owned by companies like Facebook, Google, or PayPal.

According to proponents of decentralization, this arrangement can be problematic. This means less direct control for users and also opens up possibilities for censorship where the agent can step in and prevent a user from doing anything, such as buying a certain stock or posting a certain post on social media, or blocking it altogether.
The idea of ​​Ethereum is to give users more control by changing the way applications work on the internet today, replacing intermediaries with smart contracts that automatically execute rules.

Many, including the inventors of the Internet, believe that the Internet should always be decentralized, and a divided movement has emerged around the use of new tools to help achieve this goal. Ethereum is one of the technologies that will join this movement.



3) What is the difference between Ethereum and Bitcoin?


Ethereum is inspired by Bitcoin. Both are cryptocurrencies. Ethereum uses the same technology behind Bitcoin, a blockchain that uses a shared, decentralized public ledger to centralize the network so that it is not under the control of a single entity.
But while Bitcoin is primarily used as a store of value, the idea behind Ethereum is to decentralize other types of applications and services, from social media networks to more complex financial regulations.


 4) What are the next steps for Ethereum?

Released on December 1, 2020, Ethereum 2.0 aims to address some of these issues. scaling technologies, and gas fees which have been worked on for years.

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