1. QiAi QuestsHome
  2. AI & Tech Insights

What is Ethereum (What is Ethereum Coin)

• AI & Tech Insights • 56 views

Ethereum Coin – Editor\’s Note: This article is from Color Cloud Blockchain (ID:

What is Ethereum (What is Ethereum Coin)

Ethereum Coin – Editor’s Note: This article is from Color Cloud Blockchain (ID: cybtc_com), author: irishash, authorized reprint from Odaily Planet Daily.

Ethereum is a type of digital currency that is characterized by its ability to track the value of transactions, decentralized operation mechanism, and immutable rules. Bitcoin is also known as a type of cryptographic asset, while Ether is a network application platform based on smart contracts that record and store user information using smart contracts.

In Ethereum, whenever wallet software or service providers release announcements, a certain amount of tokens will be automatically sent to the system as needed, and these tokens will then be transferred or exchanged into fiat currency and other methods. Therefore, it is equivalent to storing all funds in exchanges, which helps to avoid unnecessary losses. What is Ethereum? Although most cryptocurrencies are currently issued by Bitcoin, in reality, only 21 million addresses hold a sum of Ether, which is the so-called circulating Ether. The price of Ether is also determined by the rise in Bitcoin prices. So, what is Bitcoin used for? Is it a use case? In simple terms, its significance lies in solving various problems on the Internet. For example, if someone wants Bitcoin and other cryptocurrencies to become a daily payment method, they first need to purchase Bitcoin, and this person may want to sell these 100 Bitcoins to another person and obtain cash flow to achieve this goal. Once people start accepting Bitcoin as a payment method, they can receive a stable investment amount, but at the same time, they can also take out some savings from other people’s pockets. Therefore, Bitcoin is not used for transactions, but as a tool to hedge against inflation.

The reason why Bitcoin can become an important part of the global financial system is that it is the world’s first form of peer-to-peer electronic cash. Ethereum’s inventor, Vitalik Buterin, believes that this model is designed to deal with some new virtual worlds that may appear on the future Internet.

What is Ethereum

According to CoinMarketCap data, Ethereum currently ranks 33rd in terms of market capitalization. Compared to Bitcoin, Ethereum has seen a decrease in transaction volume and activity on the blockchain. However, due to the existence of many decentralized protocols in the network to manage smart contracts, it is easier to access. Therefore, the rise in ETH price is another major reason. What is Ethereum? Simply put, Ethereum is a branch (or “foundation”) of the Ethereum platform that aims to provide a general and secure infrastructure to achieve faster, more useful, and cost-effective applications and services.

This article and pictures are from the Internet and do not represent qiAiAi's position. If you infringe, please contact us to delete:https://www.qiaiai.com/ai/24326.html

It is strongly recommended that you study, review, analyze and verify the content independently, use the relevant data and content carefully, and bear all risks arising therefrom.

Like (0)
Previous 08/15/2023 23:27
Next 08/15/2023 23:48

Related recommendations