What is Ethereum (ETH): Complete Guide for Developers and Investors
Ethereum is a decentralized platform that enables the creation of smart contracts and decentralized applications. Launched in 2015 by Vitalik Buterin and a team of developers, Ethereum has revolutionized the blockchain landscape as the leading platform for decentralized finance and tokenization.
Ethereum was proposed in late 2013 by programmer Vitalik Buterin. Development was crowdfunded in 2014, and the network went live on July 30, 2015, with 72 million pre-mined coins. Significant developments include the transition to Ethereum 2.0 with Proof of Stake, the rise of DeFi and NFTs, and the implementation of the London Hard Fork.
TECHNOLOGY
Ethereum functions as a virtual machine and uses its native cryptocurrency, Ether, to power transactions. It has migrated from Proof of Work to Proof of Stake, making it more scalable and energy-efficient. The platform's flexibility allows for the development of a wide range of applications beyond simple data handling.
USE CASES
Ethereum is utilized for decentralized applications and smart contracts. Its use cases include: Development of decentralized finance (DeFi) projects; Creation and trading of Non-Fungible Tokens (NFTs); Implementation of decentralized autonomous organizations (DAOs).
FORECAST
Ethereum is anticipated to grow as it continues to evolve with its shift to Ethereum 2.0 and the expansion of decentralized applications. The potential increase in adoption across various industries could enhance Ethereum's demand, but challenges remain with scalability and market competition.
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