live-chatLIVE CHAT

What is Ethereum

What is Ethereum

Ethereum is an open-source, public, blockchain-based distributed computing platform and operating system featuring smart contract (scripting) functionality. It supports a modified version of Nakamoto consensus via transaction-based state transitions. Ethereum is the second most popular after bitcoin and getting edge day by day due to its simplicity in the mechanism. 19 years old programmer created a platform to store and perform computerized programs crosswise an international network of scattered nodes.

History

A Canadian programmer named Vitalik Buterin was involved in blockchain technology in 2011, and he founded bitcoin magazine with his partner. He started to think beyond the existing bitcoin technology for more simplification to use in the financial world. Finally, he released the white paper in 2013, stating that the general scripting language of Ethereum. Since then, it attracted investors and entrepreneurs to think about business activities. There was a massive movement in Ethereum and later, it moved up with 13000 per cent in 2017, which was the highest record. The growing value of ethereum forced investors to gauge the effects. However, it was speculators and other traders that were alarmed and sought precaution.

Technology Behind

Ethereum is programmed blockchain technology. Ethereum is working based on peer to peer protocol, which means this network can be accessed by many computers around the world. The modality of Ethereum is different than bitcoin because Ethereum users can use any own code, whereas it was not possible in other bitcoin technologies. The smart contract has all the stored coding system for their users. In Ethereum, they also run the Ethereum Virtual Machine (EVM). This Ethereum Virtual Machine is a supercomputer which is associated with all computing power of the nodes in the overall network system. To execute the smart contracts, the EVM takes small fees in exchange for the computational power consumed by the digital smart contract.

Buying Ethereum

1. Open account in cryptocurrency exchange

Interested person or the user may open a trading account in any digital currency exchange like Unicoin DCX. This is the first step to comply with the formality and to get an authorized user id and password.

2. Fund the fiat currency

After opening the account, you need to transfer the fiat currency to your trading account. There are specific fiat currencies which are acceptable, and can you can transfer it into your legit account.

3. Login in the trading account to place order

You can use your credential to log in to your trading account then there are numbers of cryptocurrencies with the ongoing price. Therefore, you can choose an Ethereum pair and place the order to buy the desired quantity.

4. Save to wallet

After buying, you can store your Ethereum into your secured wallet. Later, when you want to use, you can use your wallet.

Importance

Ethereum is very popular among technology developers and entrepreneurs. They take the help of Ethereum to create a decentralized business which is not in existence before. This smart contract is prioritized to eliminate third party or middle man to save the transaction cost. Supply chain management and crowdfunding are major areas where Ethereum is highly used. Nowadays, other industries are also entering the crypto world.

Conclusion

Ethereum is a substitute for bitcoin and with a more simplified version, helps users to take advantage of cryptocurrencies in the fast-moving world with fast-moving blockchain technology. Due to this smart contract, business transactions are more secured and cost-effective as well.

mask