$ETH Ethereum is a decentralized platform that allows for the creation of decentralized applications (dApps) and the execution of smart contracts. It is often described as a "world computer" that operates on a global network of computers.
What makes Ethereum special?
* Smart contracts: These are self-executing programs with the terms of the contract directly written into the code. Once deployed on the blockchain, they automatically execute when certain conditions are met, without the need for intermediaries.
* Tokens: Ethereum uses its own native token, Ether, which is used to pay transaction fees and as a medium of exchange within the platform.
* Blockchain: Like Bitcoin, Ethereum uses a blockchain, a public and distributed ledger that records all transactions immutably. This ensures the transparency and security of the network.
What is Ethereum used for?
* Decentralized finance (DeFi): Ethereum is the leading platform for DeFi, enabling the creation of financial services without intermediaries such as lending, decentralized exchanges, and derivatives.
* Non-fungible tokens (NFTs): Ethereum is used to create and trade NFTs, which are unique and non-interchangeable digital assets, such as digital artwork or collectibles.
* Games: Ethereum enables the creation of decentralized games, where players have full control over their virtual assets.
* Other applications: Ethereum has a wide range of applications, from supply chain management to the creation of decentralized voting systems.
What are the challenges of Ethereum?
* Scalability: As the number of users increases, the Ethereum network becomes slower and more expensive to use.
* Energy consumption: The mining process of Ethereum consumes a large amount of energy.
