What is Ethereum?
The 21st century has bought the era of technology, and every day a new and more crazy thing comes into the market and Cryptocurrency is no exception. Cryptocurrencies are the digital currency used for transactions and they do not rely on banks to verify transactions. The transaction takes place in the peer-to-peer system in which anyone and anywhere can accept the payments. People are interested in this more than ever before.
There are many cryptocurrencies out there in the market for example Ethereum, bitcoin, Dogecoin, and many more.
Ethereum is considered the second most valuable cryptocurrency after bitcoin but in reality, Ethereum is much more than a cryptocurrency, and very few people know about this. It is a decentralized computing network built on blockchain technology, but what does this mean?
How Ethereum Works?
Every cryptocurrency work on blockchain, it is a decentralized network where records are kept in a public ledger and everyone on the network holds a copy of the ledger. It is decentralized that means it is not controlled or managed by any central authority and Ethereum is no exception.
To get new crypto people on the blockchain network mine or solve complex mathematical equations that confirm each transaction on the network and they in return are awarded by cryptocurrency tokens and in the case of Ethereum, the tokens are called Ether(ETH). This Ether can be used like bitcoin to buy or sell goods. It is like digital currency. Sounds confusing? Let us take a look at how they are different.
Ether Vs Ethereum
- Ether is used as a digital currency for financial transactions or just as an investment.
- Ethereum is a blockchain network on which ether is exchanged.
- Ethereum network can be used to build decentralized applications
How Ethereum is different from Bitcoin?
In Ethereum the network can form computations as part of the mining process. Bitcoin is a cryptocurrency but Ethereum Is a network and Ether is the cryptocurrency of the network, in other words, Ethereum applications and contracts are powered by ether, the Ethereum network’s currency.
Ethereum and NFTs
NFTs are one of the hottest topics in the crypto market around the globe. They are Non-fungible tokens which means they are unique and there can only be one NFT of its kind. For more information about NFTs check https://blog.eupload.in/what-is-nft/ or click here. Ethereum is the network on which most of the NFT transactions occur, which makes the network more liquid.
- Recently Ethereum founder Vitalik Buterin became the youngest cryptocurrency billionaire when Ethereum touched an all-time high of $3000.
- It is predicted to touch $10000 by the end of this year.
- Many cryptocurrency experts believe if Bitcoin is gold then Ethereum is silver so it can give you very good returns if investments are made smartly.
How to Buy Ethereum?
Yes, people are now interested in cryptocurrency than ever before and so they want to invest and make money with trends.
In India the best option is Wazirx. Just go fill in simple details and complete your KYC from home and that’s it. You can start investing in Ethereum or any other coin of your choice in less than 24hrs. They have a very good interface and they make it easy for new investors.
For outside India the best possible option is coinbase.
Should you buy Ethereum?
There is going to be a risk factor while investing in crypto coins but Ethereum is much more than just a cryptocurrency. If you invest in Ethereum network, You not only invest in Ether but also in the network, like you will get benefit if there Is an increase in the use of the network and it is one of the most popular networks out there and recent NFT trend is a very good example of this.
But before making any big investment in any cryptocurrency, consider taking advice from an expert.