Ethereum is a decentralized platform that runs smart contracts: applications that run exactly as programmed without any possibility of fraud or third party interference.
These apps run on a custom built blockchain, an enormously powerful shared global infrastructure that can move value around and represent the ownership of property. This enables developers to create markets, store registries of debts or promises, move funds in accordance with instructions given long in the past (like a will or a futures contract) and many other things that have not been invented yet, all without a middle man or counterparty risk.
The project was bootstrapped via an ether presale in August 2014 by fans all around the world. It is developed by the Ethereum Foundation, a Swiss non-profit, with contributions from great minds across the globe.
Ethereum is often described as a digital currency but here’s something important to keep in mind: Ethereum is much more than that. Ethereum is a decentralized platform that runs smart contracts.
What are smart contracts?
Smart contracts are little computer programs that can automatically execute the terms of an agreement between two parties. They run exactly as programmed without any possibility of fraud or third party interference.
NOTE: Warning: Ethereum is not a money and should not be used as such. It is a digital asset and may be used to purchase goods and services, but it cannot be exchanged for currency in any form. Investing in Ethereum carries significant financial risk, as the price of the asset is highly volatile. You should always research any investment carefully before deciding if it is right for you.
For example, say you wanted to buy a house. You could write up a smart contract that says “If X happens (e.g. I receive the keys to the house), then Y will happen (e.g.
I will transfer ownership of the house to you and your mortgage company).” Once both parties agree to the terms of the contract, it would be stored on the Ethereum blockchain and would automatically execute when X happened. No middleman needed!.
What can you do with Ethereum?
The possibilities are endless! Developers are already building all sorts of fascinating things on Ethereum: from “decentralized Autonomous Organizations” (DAOs) to financial instruments like “decentralized apps” (dapps) and “initial coin offerings” (ICOs). Check out this list of cool things being built on Ethereum for more inspiration!
# Conclusion
Yes, Ethereum is money because it is a platform where you can store value and use it to purchase goods and services. However, it is important to keep in mind that Ethereum is much more than just a digital currency.
It is also a platform that runs smart contracts, which can be used for a wide variety of applications.
8 Related Question Answers Found
When most people think of cryptocurrency, they think of Bitcoin. However, there are many other types of cryptocurrency, and one of the most popular is Ethereum. So, what is Ethereum?
Yes, Ethereum is a real currency. It is a decentralized platform that runs smart contracts: applications that run exactly as programmed without any possibility of fraud or third party interference. Ethereum is used as a digital currency, but it is also used to run decentralized applications (dapps) and smart contracts.
When it comes to cryptocurrency, there are a lot of options to choose from. But what is Ethereum Cash, and is it a good investment? Ethereum Cash is a fork of the Ethereum blockchain.
When it comes to cryptocurrency, Ethereum is one of the most popular platforms available. Its native currency, Ether, is the second-largest digital currency by market capitalization. Ethereum is a decentralized platform that runs smart contracts: applications that run exactly as programmed without any possibility of fraud or third party interference.
Decentralized finance—often called “DeFi”—refers to the shift from traditional, centralized financial systems to peer-to-peer finance enabled by decentralized technologies built on the Ethereum blockchain. From lending and borrowing platforms to stablecoins and tokenized BTC, the DeFi ecosystem has launched an expansive network of integrated protocols that are changing the way we interact with financial services. By deploying immutable smart contracts on Ethereum, DeFi developers can launch financial protocols and platforms that run exactly as programmed and that are available to anyone with an Internet connection.
Bitcoin, the first and most well-known cryptocurrency, has captured the public’s imagination and remains the dominant coin in the digital currency space. But Ethereum, the second-largest cryptocurrency by market capitalization, is gaining ground rapidly. Launched in 2015, Ethereum differs from Bitcoin in several key ways.
What is Ethereum? 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 addition to the Ethereum Virtual Machine (EVM) that runs smart contracts, Ethereum has a built in programming language, Solidity, that allows developers to write more complex smart contracts.
The short answer is yes, Ethereum is a commodity. It is a decentralized platform that runs smart contracts: applications that run exactly as programmed without any possibility of fraud or third party interference. Ethereum is unique in that it allows developers to create their own decentralized applications (dApps).
