The main difference between Hyperledger and Ethereum is that Hyperledger is an open source collaborative effort created to advance cross-industry blockchain technologies while Ethereum is a decentralized platform that runs smart contracts.

Both Hyperledger and Ethereum are Blockchain platforms. They are both open source and have the potential to change the way we do business.

Here’s a closer look at the key differences between these two popular Blockchain platforms.

What is Hyperledger?

Hyperledger is an open source collaborative effort created to advance cross-industry blockchain technologies. It is a global collaboration including leaders in finance, banking, healthcare, supply chains, manufacturing and technology.

The Linux Foundation hosts Hyperledger under the foundation.

Some of the notable members of Hyperledger include IBM, Intel, J.P.

Morgan, and SAP Ariba. The goal of Hyperledger is to create common standards for distributed ledgers so that they can be used across industries.

What is Ethereum?

Ethereum is a decentralized platform that runs smart contracts. These contracts are written in code and run on the Ethereum blockchain.

The code can be used to create decentralized applications (dApps) that run exactly as programmed without any possibility of fraud or third party interference.

Ethereum was founded by Vitalik Buterin in 2014 and has become one of the most popular Blockchain platforms with a market capitalization of over $20 billion as of January 2018. Notable members of the Ethereum community include Microsoft, JPMorgan Chase, and ING.

Key Differences Between Hyperledger and Ethereum

Here are some key differences between Hyperledger and Ethereum:

1. Purpose – The main difference between Hyperledger and Ethereum is their purpose.Hyperledger is an open source collaborative effort created to advance cross-industry blockchain technologies while Ethereum is a decentralized platform that runs smart contracts. In other words, Hyperledger is focused on developing blockchain technology so that it can be used by multiple industries while Ethereum focuses on running smart contracts on its decentralized platform.
2. Members – Another key difference between Hyperledger and Ethereum is their members or backers.Hyperledger’s members include IBM, Intel, J.P Morgan, SAP Ariba while notable members of the Ethereum community include Microsoft, JPMorgan Chase, and ING. As we can see, both platforms have some big names backing them which gives them both legitimacy and resources to continue growing their respective platforms. However, it’s worth noting that because Ethereum has such a wide range of backers from different industries, it may have an advantage when it comes to adoption. For example, if a company wants to use blockchain technology but doesn’t want to develop their own solution, they may be more likely to use Ethereum because it already has solutions available for them. Whereas with Hyperledger, they would need to develop their own solution or find another company who has already developed a solution on top of Hyperledger. This could potentially limit adoption forHyperledger in the short-term but it’s something that may change as more companies build solutions on top of the platform. 3. Ecosystem – Another key difference between these two platforms is their ecosystem. Hyperledger has a modular framework which allows companies to pick and choose which features they want to use. This allows for more flexibility but also means that there’s not as much of a cohesive ecosystem aroundHyperlegder compared to Ethereum which has its own programming language (Solidity), development tools (Truffle)and infrastructure (Ethereum Virtual Machine). This ecosystem makes it easier for developers to build dApps on Ethereum compared to other platforms likeHyperlegder which may make it more attractive for companies who want to use blockchain technology. However, this could also change in the future as more companies build solutions on top ofHyperlegder. 4. Permissioned vs Permissionless – Another key distinction between these two platforms is thatHyperlegder is permissioned while Ethereumis permissionless. What this means is that withHyperlegder you need approval from an administrator before you can join the network or access data whereas withEthereum anyone can join the network and access data without approval from an administrator. This permissionless model makesEthereum more attractive for some uses cases like ICOs where anyone can participate without having to go through an KYC process but it also makes it more vulnerableto attack since anyone can join the network. 5. Consensus Algorithm – One final key difference between these two platforms worth mentioningis their consensus algorithm.Hyperlegder uses different consensus algorithms depending on which module you’re using but some of the most common ones include Proof-of-Work (PoW), Proof-of-Stake (PoS),and Practical Byzantine Fault Tolerance (PBFT). On the other hand,Ethereum currently uses PoW but plans on switching over to PoS in the future with its Casper update. 6.Advantages – In addition to all of these differences between these two platforms there are also some advantages that each one has over the other.Some advantages that Hyperlegderhas overEthereuminclude its support for private data sharing among trusted parties, its modularity which allows companies to pick and choose which features they wantto useand its use of different consensus algorithms depending on the module being used which can make it more scalable thanEthereum.Some advantages thatEthereumhas overHyperlegderinclude its large ecosystem with different programming languages , development tools ,and infrastructurewhich make it easier for developers tobuild dAppsand its permissionless model which makes it more attractive for someuse cases like ICOs where anyone can participate without havingto go through an KYC process.It’s also worth mentioningthat although both platforms have some big names backing them , Ethereumpotentially has an advantage when it comes tobecauseof its widerangeof backers from different industries .This could giveit better name recognition as well as more resources which could leadto faster adoption in the short term .In conclusion , there are many differences between these two popular Blockchainplatforms including their purpose , members , ecosystems , consensus algorithms ,and advantages .These are just some ofthe most notable differences but there are many others worth mentioning .Both platforms have a lotof potentialand it will be interestingto see how they evolve over time .

Ethereum is a decentralized platform that runs smart contracts: applications that run exactly as programmed without any possibility of fraud or third party interference.

In order to achieve this, Ethereum uses a consensus algorithm called Proof of Work (PoW). PoW is a system that requires miners to “show work” in order to earn the right to add a new block to the blockchain.

The work is essentially a mathematical puzzle that is very difficult to solve, but easy to verify once it has been solved.

Once a miner solves the puzzle, they broadcast the solution to the network. The other miners then verify that the solution is correct and add the new block to the blockchain.

This process is known as “mining” and the miners are rewarded with Ether, the native cryptocurrency of Ethereum.

The main advantage of PoW is that it is a very secure consensus algorithm. It is highly unlikely that any one miner or group of miners could control more than 50% of the network, which would allow them to maliciously manipulate the blockchain.

The downside of PoW is that it is very resource intensive. In order to solve the puzzle, miners need to expend a lot of energy and this costs money.

Ethereum is currently working on transitioning to a new consensus algorithm called Proof of Stake (PoS) which will be much more efficient and less resource intensive.