Ethereum is a decentralized, open-source blockchain platform best known for enabling smart contracts and decentralized applications (dApps). Conceived by Vitalik Buterin in 2013 and launched in 2015, Ethereum introduced the concept of a programmable blockchain, allowing developers to build a range of applications beyond digital currency.
Its native cryptocurrency, ether (ETH), is the second-largest crypto asset by market capitalization, used to pay transaction fees and as collateral within the network. Unlike Bitcoin, which is primarily digital money, Ethereum acts as a global, decentralized computer powered by the Ethereum Virtual Machine (EVM), where smart contracts—self-executing code with preset rules—are deployed and run without a central authority.
Ethereum supports innovations like DeFi (decentralized finance), NFTs (non-fungible tokens), and a variety of digital applications across sectors including finance, gaming, and supply chain. In 2022, Ethereum shifted from Proof-of-Work (PoW) to Proof-of-Stake (PoS) consensus, drastically reducing its energy consumption and further decentralizing its validation process.
Key features:
Smart contracts: Automate agreements and trustless transactions
dApps: Allow censorship-resistant, open participation
Decentralization: No single entity controls the network
Programmable blockchain: Sophisticated, customizable digital infrastructure
Ethereum is regarded as a foundational technology for the emerging Web3 ecosystem, empowering users to interact, transact, and build in an open, permissionless environment.#
