Ethereum is another type of cryptocurrency, which would decentralize the current client-server model. It is the second largest cryptocurrency, in fact. Thanks to it, servers and clouds are removed by numerous nodes run by volunteers from around the planet. It serves as a global computer.
Those who take part in the never-ending Ethereum vs. Bitcoin war claim that Bitcoin is not the best cryptocurrency in the world, especially when Ethereum is in game.
A startup was initiated back in 2013. Gavin Wood created the cryptocurrency along with his colleague Vitalik Buterin. Crowdfunding helped to launch fundraising; those who wanted to collect $18 million in Bitcoin had to provide sixty million Ethereum coins.
The current Ethereum value equals to $205 billion. To learn the correlation different from Ethereum to USD, use special online currency converters. Ethereum stock and investing information will help to understand whether this cryptocurrency is right for you.
As for the Ethereum mining pool, there is a big difference how you mine Bitcoin and Ethereum. They both are based on a blockchain technology. Even though Bitcoin is maturing fast, Etherum, on the other hand, does not have a similar general cap. It has an annual restriction on new issuance, and it equals to something like $18 million. It assists in keeping inflation at bay.
If you wonder how to mine Ethereum, here is how to get started. Start with purchasing a few coins. In case there are available finances that you can invest, create a “farm.” That is a tool used to mine various type of cryptocurrency.
How to buy Ethereum? For Ethereum an investor needs a quality graphics card or even more than one at a time. Keep in mind these cards:
- ATI Radeon R9-280x;
- Radeon R9 290;
- AMD Radeon HD 7970;
- Radeon HD 7950.
The next question to pop up is where to trade the coins. For Ethereum, use these platforms:
Websites possess online chat rooms so that miners and traders can exchange data and provide recommendations to each other. You can withdraw the earned money immediately to more than one wallet. Follow news and quotes to keep in touch.
We recommend storing Ethereum in the official MyEtherWallet.
How Is Ethereum Different from Other Cryptocurrencies?
The fact Ethereum offers the smart contracts makes this innovation almost achieve the level of famous Bitcoin.
Every single transaction is done with the help of computer software. It scans the terms of the transaction and how well the parties fulfilled their responsibilities. Those parties are the sender and the recipient. The system itself controls the compliance with the contracts instead of real people. That is why honesty and safety are guaranteed. Breaking a smart contract is impossible.
The contracts are also present in Bitcoin blockchain. However, the founder of Bitcoin restricts the opportunities. Such contract can deal only with the easiest assignments.
Ethereum Blockchain and Other Related Terms
To begin with, a blockchain is a database in cryptocurrencies. The database saves the data on the transactions that took place. The information is then saved as a chain of blocks, forming a blockchain. The word “block” in this phrase usually stands for the:
- Technology that lays on the basis of cryptocurrencies
- Peer-to-peer network
- Decentralization of the register
- Ether is the currency, which is exchanged. The shorter name is ETH.
As for the smart contracts, those are protocols to confirm liabilities of the Ethereum community members. You will not obtain the transfer until he meets all the requirements mentioned in the contract. There is no need for the regulatory/state bodies to ensure the accomplishment of responsibilities of both sides.
Main Features of Ethereum
Ethereum can change the lives of average users thanks to the smart contracts and a common network. The primary features of this cryptocurrency are:
- Resistance to DDoS threats
- High level of protection and confidentiality via authorization through cryptographic signatures
- The history of the entire list of transactions saved in the blockchain
As for the currency’s capitalization, it is going up all the time as the users invest in Ethereum in new ICOs. The experts predict the growth in the price of Ethereum
up to several thousand dollars in 2018. While the Ethereum price predictions are positive, you may come up with a couple of great solutions. A user can either purchase the coins or invest in new ICO with their help.