Bitcoin (BTC) is a digital currency (digital money or "digital gold"). Its primary goal is to be a decentralized payment system and a store of value.
Ethereum (ETH) is a decentralized platform that allows the creation of "smart contracts" and decentralized applications (dApps). Ethereum (the currency) is the fuel that powers this platform.
The essential difference: Bitcoin focuses on being a currency, while Ethereum focuses on being a platform for running complex applications.
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