What is Ethereum?
What is Ethereum ?
Ethereum is a cryptocurrency platform that functions similarly to Bitcoin, but instead of being a decentralised currency, it is more of a solution for the creation of decentralized applications running on its blockchain, through the use of smart contracts.
Decentralized networks are very resistant towards hacker attacks, have zero downtime, and are not run by a specific, or limited number of people with all the power, creating a central point of failure. The most important characteristic of the blockchain therefore, is the integrity of the data.
The bitcoin blockchain is unable to handle specific types of apps that are easily solvable by known programming languages such as C++. It is difficult for developers to create solutions on a blockchain that was primarily created as a digital currency, this is where Ethereum shines.
Ethereum got around this by integrating a proper, all-purpose programming language with its own blockchain. Developers can now create applications and execute them on the Ethereum blockchain, that they were unable to on the bitcoin blockchain.
To know what is Ethereum is, think like this, it is a worldwide distributed decentralized computer with almost unlimited power. This allows developers to create applications and solutions on the Ethereum network easily, with smart contracts. The network will execute the applications by itself, verify the outputs by itself and distribute value between the participants by all on its own.
Developers can build and deploy decentralised applications on the Ethereum network that run in an absolutely transparent manner, without any input from central authorities, achieved with the help of these smart contracts.
What is Ethereum and what is Ether?
Ether or ETH is the token of the Ethereum blockchain. It serves as the ‘crypto-fuel’ whose purpose is to pay for computation, and is not intended to be used as or considered a currency, asset, share or anything else.
Developers who intend to build apps that will use the ethereum blockchain need Ether, and users who want to access and interact with smart contracts on the ethereum blockchain need Ether.
Trade Ether in South Africa on Ice Cubed Exchange!
We have added ETH/ZAR trading market to the iCE3X exchange. If you would like to buy or sell ETH in South Africa, you can do that on the exchange here. Ethereum deposits are now 100% free and trading fees are competitive.