Ethereum (ETH)

The exchange rate of one ETH at 14:35 UTC is 3079.86$

Chart | Average rate

The Ethereum crypto coin is a platform for programmers working on applications, which was created using blockchain technology. This platform is a database that stores records of transactions performed. The base operates without a centralized authority that maintains its viability and security. Ethereum is a transaction processing system that does not require trust.

Operation principle

Ethereum is the desire of developers to get the most efficient mechanism for blockchain operations. This technology creates an algorithm that performs many functions, with support for GPU mining Ethereum. This network is used to invent gambling and social networks, contracts, etc. It is a second generation cryptocoin based on decentralized mining networks.

History of creation

The creators of Ethereum are Vitaly Buterin and Gavin Wood. Ethereum was first mentioned seven years ago, at the end of October 2013. At the very beginning, it was called the “new bitcoin”. The development required large financial investments, and the platform owners launched a large fundraising project. For almost a month and a half, the project attracted more than 30 thousand Bitcoins, and in July 2015 the project was launched. After attracting global investment, the project attracted attention and large corporations became interested in it.

Uniqueness of Ethereum

After the birth of Bitcoin, for a long time it was the only cryptocurrency with a growth potential. Its analogues did not attract serious public attention, but the difference of Ethereum, concluded in working with smart contracts, singled it out among others. When conducting each transaction, a computer program is used that will check the terms of the transaction, as well as the obligations of both the sender and the recipient. This helps to ensure fair and impartial enforcement of all points, because a smart smart contract cannot be fooled. These contracts are also in the Bitcoin system, but their abilities were specifically limited by the developers of this cryptocurrency. The “Script” programming language used in BTC does not have the ability to access transactions, so it is impossible to check all the terms of the transaction. The Ethereum platform uses JavaScript-like code; only after receiving a notification from the smart contract of the second participant, the contract will be considered completed. After the transaction is completed, the result will be recorded in the Blockchain.

Applications for Ethereum

Various applications are being created on the Ethereum platform, but it is still difficult to understand which of them work successfully.

The most famous of them:

“Weifund” is used for crowdfunding.

“Uport” provides control over personal information.

“BlockApps” makes it easy to build applications on the blockchain.

“Provenance” increases supply transparency.

“Augur” is used in forecasting.

Separation

After the attack by hackers, the Ethereum community decided to change the code and return the stolen funds by making a hard fork. Having done this, the developers placed the funds on a new smart contract that allows the hosts to take the tokens. This case put the Ethereum community in danger of destroying the reputation of the network. All this led to a separation, and now there are two directions for the development of Ethereum Classic and Ethereum. These are identical networks, they have the same transaction history, but only before the hard fork.

How to get Ethereum?

This year, 4 ways to get Ethereum are relevant:

1. Cloud mining. The most affordable and profitable mining option.

2. Personal mining farm using powerful graphics cards.

3. Speculating on the cryptocurrency exchange.

4. Crypto exchange offices. It is more convenient to buy or sell Ethereum using them.

Storage of Ethereum

Losing your private key can lead to the loss of accumulated funds. To date, the following Ethereum wallets have been developed:

1. Browser web wallets.

2. Desktop wallets.

3. Hardware storage.

4. Paper wallets.

Choosing an option, you rely on issues of convenience and safety of funds. These two issues conflict with each other: the more convenient, the less safe.

Analytics has shown that the cost of Ethereum can grow significantly, and go beyond several thousand USD. This means a possible profit in the future.