Ethereum is a decentralized, open-source blockchain platform that enables the creation and execution of smart contracts and decentralized applications (dApps). Its native cryptocurrency is Ether (ETH), which is the second-largest cryptocurrency by market capitalization after Bitcoin.
Conceived by Vitalik Buterin in 2013 and launched in 2015, Ethereum introduced the concept of a "world computer" where anyone can deploy self-executing agreements (smart contracts) without intermediaries. This programmability has led to a vast ecosystem of decentralized finance (DeFi) applications, non-fungible tokens (NFTs), and various Web3 projects. In September 2022, Ethereum transitioned from a proof-of-work (PoW) to a proof-of-stake (PoS) consensus mechanism (The Merge), significantly reducing its energy consumption. ETH is used to pay for transaction fees ("gas") and for staking to secure the network and earn rewards.$ETH