Origin of Ethereum

Created by 19 year old math-prodigy Vitalik Buterin, Ethereum is second only to Bitcoin in the hierarchy of cryptocurrencies. Like Bitcoin, Ethereum is a distributed public blockchain network. Although there are some significant technical differences between the two, the most important distinction to note is that Bitcoin and Ethereum differ substantially in purpose and capability.

Differentiator from Bitcoin

Bitcoin offers one particular application of blockchain technology, a peer to peer electronic cash system that enables online Bitcoin payments. While the Bitcoin Blockchain is used to track ownership of bitcoins, the Ethereum blockchain focuses on running the programming codes of decentralized applications, or “dapps” for short.

Disruption in Blockchain Space

Before the creation of Ethereum, blockchain applications were designed to do a very limited set of operations. Bitcoin and other cryptocurrencies, for example, were developed exclusively to operate as peer-to-peer digital currencies. Ethereum’s creator, Vitalik Buterin took an entirely new approach, and with it forever changed Blockchain, applications, and the (new-coming)Internet as we know it.

Deep dive

Ethereum’s core innovation, the Ethereum Virtual Machine (EVM) is a Turing complete software that runs on the Ethereum network. It acts as both a cross communication layer between the thousands of dapps on the Ethereum Network, a security layer ensuring one blockchain or program can not interfere with another, and a test environment for developers to safely execute new dapps and protocols on the Ethereum Blockchain.

The Ethereum Virtual Machine makes the process of creating dapps easier and more efficient than ever before. Instead of having to build an entirely original blockchain for each new application, or hi-jack and modify an existing open-source blockchain, every Ethereum Node serves as a home-base for dapps to run.

In February 2017, Ethereum organization announced the Enterprise Ethereum Alliance (EEA), aimed at developing massive business solutions with Ethereum.

More companies and corporate giants become involved with Ethereum everyday: Microsoft, Mastercard, BP, Intel, Samsung, JP Morgan, Toyota, Cisco, Consensys, National Bank of Canada, and Scotiabank to name a few.

Where to buy:  Beginner’s guide to buying Ethereum on Coinbase


Vamshi

Tech enthusiast, currently focused on crypto-currencies.

Related Posts

Beginner

How to explain Bitcoin to your Family This Thanksgiving

This Thanksgiving  You’re sitting at the Thanksgiving table, and your aunt is going on and on about where she is going to shop on Black Friday. When she mentions Target, your cousin remarks that her Read more…

Advanced

Easy to remember descriptions of top 100 cryptocurrencies

World has been swarmed by 100’s of crypto currencies of which many have been already become obsolete. Given the 100 most valuable ones – what would you answer if someone asks you about a coin? Read more…

Beginner

10 rules every crypto trader should follow

10 Rules of Crypto Trading While trading in such volatile space of crypto trading and with so many bad people trying to steal your assets, you ought to make few rules and stick to them. Read more…