For example, when you take money from a bank, you will change your account database under certain conditions. In other words, money is about all entries in the database in accounts, balances , and transactions. Now there are many cryptocurrency circulating, including in the country. One of them is Ethereum. What is Ethereum? See the discussion below:
What is Ethereum? A genius Vitalik Buterin created a cryptocurrency which was ranked second after Bitcoin in 2014. Ethereum itself is a public peer-to-peer network or blockchain , while the digital currency itself is called Ether. The purpose of creating Ethereum is to become a platform where smart contracts can be created and run. Simply put, the purpose of Ethereum is to become a world computer. If you prefer Ethereum rather than Bitcoin, then you can use a MyEtherWallet digital wallet that is made specifically for cryptocurrency Ethereum. This digital wallet is also designed to be easy to use, making it suitable for beginners. In addition, the application is website -based , allowing us to create new digital wallets without having to download data on the blockchain as a whole. You can access it on the MyEtherWallet.com page , and you don't have to bother creating an account first. You only need to create a password on the main page and touch the "make wallet" panel to be able to use the digital wallet. You can then choose what features will be used to access the wallet, for example Keystore File (UTC / JSON), Metamask / Misk, Ledger Wallet, Digital Bitbox, Mnemonic Phrase or Private Key in the form of cryptographic passwords that must be stored properly.
Ethereum was first exposed to the public eye in 2013 in a whitepaper by Vitalik Buterin, the developer of Bitcoin at the time. Because of the belief that Bitcoin is still narrowly used, Buterin intends to make a cryptocurrency that is easier to "adjust". The aim is to create digital currencies that not only function like Bitcoin, but also have a smart contract feature that can be used to automatically determine when payments are made. Because this project cannot be applied in Bitcoin, Buterin created Ethereum in 2014 to realize his dream.
Ethereum is the pioneer of initial coin offering or ICO. This was immediately received well in the community because at the time the project was still under development, there were already orders from investors totaling 60 million tokens Ether. This started the journey period Ethereum which is an enormous development, the ecosystem Ethereum continues to be promoted while paying costs for the realm of legality and development. Finally Ethereum was launched, and the development of the Ethereum platform began, with different levels of success.
What's the Difference between Bitcoin and Ethereum?
Many people wonder, what's the difference between Ethereum and Bitcoin? After all, cryptocurrency is the same. The fundamental difference with Bitcoin is, Ethereum can not only process transactions, but also complex contracts and programs. This flexibility makes Ethereum the perfect instrument for the blockchain - application . In addition, Bitcoin is intended to keep a list of balances and transactions on the blockchain , while the Ethereum blockchain is designed to store various types of data.
This data can be accessed and used by computer programs running on the blockchain Ethereum. These programs can be considered decentralized applications, or generally called dapps . That is, developers around the world can build and run decentralized applications on the blockchain Ethereum. The aim is to improve the financial industry, store personal information, governance with various other uses using the transparent nature of the blockchain . Another important difference is the number, where the number of Bitcoin is limited to only 21 million, but the number of Ethereum is not limited to a certain amount like a currency in general. Bitcoin and Ethereum are produced in a process called mining .
However, the developer Ethereum is considering changing the production process Ethereum into a proof of stake model , which should be more environmentally friendly than mining. Technically, Bitcoin and Ethereum are almost the same. There are only a few differences in technical terms. But it does not rule out the possibility that the continued development will create new differences in the future.
Should I Invest Ethereum?
To be able to answer it, you need to know in advance the potential and risks of Ethereum. Actually you could say that cryptocurrency has the potential to remember the incredible success of Bitcoin. But of course there is a risk behind all of this potential. It is possible to fail considering Ethereum is a new technology. Ethereum also values are volatile, so there is still potential for volatile moments in the future.
Another risk is Ethereum like ordinary cash, where when you send Ethereum to the wrong person, or your Ethereum wallet is hacked and someone steals your Ethereum, it is very difficult and even impossible to take it back. Ethereum is also not protected by any entity, so if you lose your Ethereum, the service provider or 'Ethereum network' cannot compensate you. In conclusion, Ethereum has a great potential that is very interesting and should be considered as an investment instrument, but make sure you understand the various risks that cover it. Well, what is your decision?
Get to Know Cryptocurrency Now
Through the description above, are you still confused with Ethereum and its verses? Given the vast and very fast cryptocurrency market, it can be said that this one currency has a fairly bright future. Codelitt owner, Cody Littlewood revealed: