Ethereum

Ethereum is an open-source, blockchain-based platform that enables developers to build and deploy decentralized applications (dApps). It was proposed in 2013 by programmer Vitalik Buterin and developed by a team of programmers across the globe. Ethereum was officially launched in 2015.

At its core, Ethereum runs smart contracts, which are self-executing contracts with the terms of the agreement directly written into code. They automatically execute transactions if certain conditions are met, eliminating the need for a trusted third party. This can lead to more transparent, secure, efficient, and reliable processes.

Ether (ETH) is the native cryptocurrency of the Ethereum platform. It’s used primarily for two purposes: to pay for transaction fees on the Ethereum network (referred to as “gas”) and as a digital currency for buying and selling goods and services. Unlike Bitcoin, which has a hard cap of 21 million coins, Ethereum does not have a maximum supply limit for Ether.

One of the key innovations of Ethereum is the Ethereum Virtual Machine (EVM), which is a complete Turing-complete system that allows anyone to execute arbitrary code, making the Ethereum blockchain much more powerful than others.

Ethereum has grown to become one of the leading blockchain platforms in the world. It has spurred the development of thousands of dApps, Initial Coin Offerings (ICOs), Decentralized Finance (DeFi) systems, and Non-Fungible Tokens (NFTs).

It’s important to note that Ethereum has also went through major upgrades to improve scalability and efficiency. The shift from Ethereum 1.0 to Ethereum 2.0, also known as “Eth2” or “Serenity”, involved moving from the current Proof of Work (PoW) consensus mechanism to a Proof of Stake (PoS) mechanism.