ZoneBitcoin EditorialIt's true that we tend to only talk about bitcoin when we talk about blockchain technology. Of course, due to the fact that Bitcoin remains the very first blockchain to emerge, we tend to forget what happened afterwards.
Now, subsequently, a lot of things happened... but above all it was the appearance of theEthereum which made blockchain and its concrete applications known to a wider audience.
I will therefore try here to clarify as much as I can the contribution of Ethereum to the cryptographic and decentralized universe. Is this really revolutionary?
If you use cryptocurrency apps or Decentralized applications (Dapps), you may already know that Ethereum can actually change the world.
If you don't know what Ethereum means or even the famous "smart contracts" that it allows to generate, then it's time to start this short article.
Ethereum is based on Bitcoin technology.
You will not be surprised to know that Ethereum in fact took the basics of bitcoin technology and in some way improved it, if not modified it.
Bitcoin was the first decentralized cryptocurrency/currency. Before Bitcoin, money was always and fundamentally centralized. That is, a state bank printed notes and coins and it was the only entity capable of doing so.
Bitcoin arrives and changes everything that seemed to us all - until then - to be the only model. The only model that is valid in terms of monetary creation.
Bitcoin is therefore created and there we talk about decentralization. From the creation of a currency which would not be issued by a single entity but several.
That alone is an incredible fact.
It is this same decentralization that we therefore call blockchain technology.
So here is a short summary of what blockchain and Bitcoin have brought. Now let's dig deeper and see why Ethereum was created.
Why was Ethereum invented?
The idea of decentralized currency has given way to the idea that other things can be decentralized too! Not just cryptocurrency!
This is why Vitalik Buterin arrived at the creation of another type of blockchain adapted to other elements.
Ethereum then pushes Bitcoin to the next level so to speak. Although it has its own currency, it also acts as a global decentralized network.
The main sites you use every day are centralized (a third party tracks what you do). Centralized sites are for example Google, Facebook, eBay, Amazon, etc.
Ethereum: an expanded blockchain
The reason why Ethereum was originally created is pretty clearly written on their official website:
"The mission of the Ethereum Foundation is to promote and support research, development, and education of the Ethereum platform and base layer in order to deliver decentralized protocols and tools that enable developers to produce next-generation decentralized applications (dapps) and together build a more accessible, freer, and more reliable Internet."
I really like this video which I recommend to you because it explains the why and how of Ethereum:
So, Ethereum’s mission couldn’t be clearer. The Ethereum Foundation invites developers around the world to work with their blockchain technology and create Dapps performing all kinds of functions.
It is from Ethereum that blockchain technology became what we know today. It is thanks to Ethereum that we were able to move beyond the purely financial and monetary domain.
And since then, we see new applications of blockchain in new areas every day. We can almost do anything and imagine anything today thanks to Ethereum, Dapps and of course smart contracts...
Smart contracts are now available to the public.
The reason why these Dapps are so special or different from other applications is explained by the creation of smart contracts. With smart contracts, it is also the ERC-20 tokens that can be created easily. Through this, we can also tokenize all real-world assets, etc.
Smart contracts make the blockchain transparent and reliable. There is no error or even the possibility of errors. There is no censorship, fraud or third party interference in the programming. This is the most reliable way to transfer property.
Smart contracts allow developers to create applications that do not require an intermediary. Simply note down the requirements and rules of the contract for it to be maintained by the blockchain. No matter what the content of the contract consists of, no one can modify or override it.
This is why blockchain is seen as the "miracle" solution for tracking and tracing products or limiting counterfeit medicines, for example.
Ethereum has its own currency.
I mentioned previously that Ethereum is more than a platform powered by blockchain technology. Ethereum supports other blockchains specifically. You should also know that Ethereum also has its own currency: Ether.
In the same way that we conflate bitcoin (which is the cryptocurrency) and Bitcoin (which is the blockchain), we conflate Ethereum and Ether, which are its cryptocurrencies.
If bitcoin is the king of cryptocurrency, Ether is the queen. Ether is the second most used cryptocurrency, followed by Ripple, who would be him, the prince.
Ether keeps programmers honest and ensures that everyone keeps their end of the bargain when transacting on the Ethereum blockchain.
Suppose you don't have Ether but want to use Ethereum technology? Well, you can easily exchange your Bitcoin for Ether. If you don't have cryptocurrency and are starting from scratch, you can also use several sites to buy Ether like Coinbase for example.
An Ethereum wallet is available to everyone
Another way to obtain and maintain your Ether is to use the dedicated Ethereum wallet. You can download the wallet on any device running virtually any software (Linux, Windows, iOS). You can install Dappradar which is one of the most practical for using and storing your Ethers.
There are different wallets adapted to Ethereum standards like themoney app for example.
The Ethereum wallet not only holds your cryptocurrency, it also allows you to be involved in the Ethereum network. Indeed, with the wallet, you can create your own smart contracts.
Anyone can create their own cryptocurrency.
It is also thanks to Ethereum that we have seen so many new cryptocurrencies appear on the market.
One of the facts you didn't know about Ethereum is that while using the Ethereum wallet and technology, anyone can create their own cryptocurrency!
Of course, it would be too much to explain everything technically and in detail here. Just know that it is possible to create your own currency on the same principle as Ether. It will therefore be before really being a cryptocurrency, a token or a token depending on your name (these are synonyms).
Each token will be interchangeable with another token, type of exchangeable token, specific to their own smart contracts therefore. It is therefore possible to make a fixed supply of these tokens and even create a type of bank in blockchain technology for the issuance of tokens. The token can then be transferred into Ether for use as a cryptocurrency.
The options are unlimited thanks to Ethereum and in particular thanks to the possibility of easily creating a token.
Will Ethereum really change the world?
Honestly, we already have the answer to this question. Besides, the question is frankly daring because I could have simply opted for a more conventional title such as: What does Ethereum bring to blockchain technology or How does Ethereum make blockchain more accessible? I think, moreover, that objectively this last title would have suited the article perfectly.
I still kept this title because ultimately, it is indeed a technology that will change our use of the Internet and other elements such as monetary transfers. So, yes, in some way it changes the world. In good? That's another question!
It's not that Ethereum is going to change the world, it is already transforming it. We are simply in its infancy, as I often like to say.
Also, blockchain technology is improving day by day. It is the same with the Ethereum protocol which is constantly improving.
Ethereum is changing the world because it allows the blockchain to be used in very concrete areas. Whether it is that of sport, medical or transport for example, we can now see the improvements that blockchain brings.
What we know in any case is that blockchain applications already show the incredible advantages of this technology. There still remains a very wide field of possibilities to exploit. Many sectors will benefit from this wonderful technology in the coming years.
All that remains is to open an even wider door, disseminate information and knowledge in more depth, and enable more entrepreneurs to solve ever more plural challenges, thanks to blockchain.
