What is the Ethereum Blockchain?
The Ethereum blockchain is a decentralized, open-source platform that enables developers to build and deploy smart contracts and decentralized applications (dApps). Launched in 2015 by Vitalik Buterin and a team of developers, Ethereum operates on a technology called blockchain, which is a distributed ledger that records all transactions across a network of computers. This ensures transparency, security, and immutability.
Unlike Bitcoin, which primarily serves as a digital currency, Ethereum goes beyond simple transactions. Its native cryptocurrency, Ether (ETH), is used to facilitate these smart contracts and pay for computational services on the network. Smart contracts are self-executing contracts with the terms of the agreement directly written into code, allowing for automated processes without the need for intermediaries.
The Ethereum blockchain also supports token creation through its ERC-20 and ERC-721 standards, enabling the development of various tokens, including stablecoins and non-fungible tokens (NFTs). With its robust ecosystem, Ethereum has become the backbone for many innovations in the cryptocurrency space, fostering a vibrant community and driving significant advancements in decentralized finance (DeFi) and the broader Web3 movement.
As Ethereum continues to evolve, especially with upgrades like Ethereum 2.0, it aims to improve scalability, security, and sustainability, solidifying its position as a leading blockchain platform worldwide.