Ethereum for newbies?
Ethereum is a pioneering blockchain software platform that is mentioned in the same breath as Bitcoin. It is fundamentally a decentralized platform for running specific code, also known as ‘smart contracts’. The technology was developed by the Ethereum Foundation in 2014. Smart contract applications are free from fraudulent activities, censorship, and possibilities of downtime. Understanding ethereum for newbies can be a difficult concept initially, as many crypto users do not have any coding knowledge. But anyone who has a basic understanding of blockchain technology can use it.
Ethereum allows independent parties to create their own cryptocurrency and circulate it. Developers can use the platform to create and deploy their custom applications. Smart contracts are developed in order to serve specific functions. They are required for any kind of transaction or payment. Due to the secure nature of contracts, the applications are also quite safe for the average user. The risks of information leaks are also reduced, which is why Ethereum is rising in popularity. Take a look at some essential facts regarding Ethereum that will give you a better idea.
Ethereum Facts You Should Know
1. Languages in which Ethereum is written in are C++, Rust, and Go.
- Ethereum uses its own language ‘Solidity’ to process smart contracts.
- Decentralized applications that run on the Ethereum are known as ‘dApps’.
- Unlike Bitcoin, many financial institutions have expressed interest in the implementation of Ethereum-based systems for blockchain transaction systems.
- The primary cryptocurrency unit on the Ethereum platform is known as ‘Ether’. This is one of the key concepts to grasp regarding ethereum for newbies.
- Up to 18 million Ether coins can be mined in a single year.
- There is no limit to the total number of Ether units that can exist. This concept is opposite to that of Bitcoin.
8. Companies that launch ICO (Initial Coin Offering) prefer the Ethereum blockchain due to its features and ease of use. Creating applications on Ethereum is quite simple.
- Ethereum is not just a platform for cryptocurrency, as secure applications can be created for various purposes.
- Some popular dApps span across various categories. These include - wallet, security, games, exchanges, financial, governance, development, gambling, media, and insurance.
11. Individuals who intend to run Ethereum dApps on their PC need to install a plugin named MetaMask. It will allow you to run dApps right in your browser.
12. Ethereum has found its supporters in various globally leading brands like Samsung, Accenture, ING, Intel, Deloitte, Microsoft, and J.P. Morgan.
The Ethereum Enterprise Alliance
The smart contract based blockchain structure of Ethereum makes it a lucrative medium for everyone from individuals to large businesses. The Ethereum Enterprise Alliance (EEA) is an association that works towards the development of this open-source platform for industry-specific requirements. It has many prominent Fortune 500 companies, research bodies, and emerging businesses as members. The EEA will continue to further strengthen Ethereum and make it even more secure. Since the platform is still considerably new, innovations are expected in the near future.
For the average crypto user, Ethereum is an investment that can be looked into. The platform is arguably more versatile than Bitcoin in essence. But how can you get your hands on some Ether in the first place? Take a look at the steps mentioned below.
Steps to Invest in Ethereum
1. Get an Ethereum wallet like the official Ethereum Wallet or MyEtherWallet.
2. You might also choose a hardware wallet like Ledger.
3. If you want to use your BTC (Bitcoins) for purchasing Ether, go to a site like Poloniex.
4. CoinMama, Coinbase etc. are sites where you can register, login, link your bank account, and directly purchase ETH. But, make sure you already have done step 1 (getting your own wallet account).
Ethereum is not that much of a challenge, if you are willing to put in a little time. Learning Etherium for newbies is a stepwise process. Now that you have a basic idea regarding Ethereum, get ready to explore this exciting blockchain medium.