What is the Ethereum Network?
The Ethereum network is a decentralized, open-source blockchain platform that enables developers to build and deploy smart contracts and decentralized applications (dApps). Unlike Bitcoin, which primarily serves as a digital currency, Ethereum aims to broaden the blockchain's utility by fostering a platform for innovation and automation.
Core Features
- Smart Contracts: Ethereum's self-executing contracts allow for automated transactions without intermediaries, enhancing speed and reducing costs.
- dApps: Developers can create applications that run on the blockchain, benefiting from its security and decentralized nature.
- Ethereum Virtual Machine (EVM): The EVM enables any computer to run Ethereum applications, promoting broad accessibility and compatibility.
ETH Cryptocurrency
Ethereum's native cryptocurrency, Ether (ETH), is used to pay for transaction fees and computational services on the network. Unlike Bitcoin's capped supply, Ether can be mined and has a more flexible supply model, allowing for ongoing financing of the network.
Decentralization and Community
Ethereum operates on a decentralized network of nodes, ensuring that no single entity controls it. This community-driven approach facilitates collaborative development and innovation while maintaining security and transparency.
Conclusion
In summary, the Ethereum network extends beyond digital currency, offering a robust environment for smart contracts and dApps. Its ongoing evolution continues to challenge traditional financial systems, setting it apart from Bitcoin.