Ethereum and Smart Contracts for Beginners
Introduction: What is Ethereum?
Ethereum was founded by Vitalik Buterin in 2013, and its main goal is to build a programmable blockchain. The Ethereum Virtual Machine (EVM) is capable of running scripts using an international network of public nodes.
These scripts are written in a Turing complete language, meaning that they can execute any type of computation that a computer can do.
Ethereum is a decentralized platform that runs smart contracts: applications that run exactly as programmed without any possibility of downtime, censorship, 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 futures contract) and many other things that have not been invented yet, all without a middleman or counterparty risk.
The Ethereum Virtual Machine (EVM)
The Ethereum Virtual Machine (EVM) is the runtime environment for smart contracts. It is the runtime environment in which all smart contracts are executed. The EVM is deterministic and sandboxed, meaning that it can run code but does not allow access to other parts of the system.
What is a Smart Contract?
A smart contract is a computer protocol that can automatically execute the terms of a contract. This means that it can automatically enforce the obligations and provide the benefits promised by all parties to the contract.
The term "smart contract" was first introduced by Nick Szabo in 1994, but they were first implemented on the Ethereum blockchain in 2015.
How Does Ethereum Work?
Ethereum is a blockchain-based decentralized platform that enables the development of smart contracts and Distributed Applications (ĐApps) without the need to trust a central authority.
Ethereum vs Bitcoin: What are the Differences and Which One is Better?
Bitcoin is the first cryptocurrency, which was released in 2009. It was the first decentralized digital currency to ever exist. Bitcoin’s popularity has been increasing at an exponential rate over the years, with its price skyrocketing from $1000 in 2017 to over $20,000 in December 2017.
Ethereum is a cryptocurrency that was released in 2015. Unlike Bitcoin, Ethereum has a much wider scope of applications and uses than just being a currency. For example, Ethereum can be used to build Decentralized Autonomous Organizations (DAO), create smart contracts, or even issue tokens for projects.
Conclusion: The Future of Ethereum
Ethereum is a relatively new concept that is quickly gaining popularity. It has many benefits to offer, but it also has its drawbacks.
The future of Ethereum will be determined by how governments react to it. Governments might try to regulate or even ban it because of the risks associated with this type of currency.