One of the most important blockchain to date is Ethereum or simply ETH. Here’s what you need to know about the digital application.
What Is Blockchain Technology?
Cryptocurrencies largely run through various blockchain technologies. Blockchain technology is a method where you use crypto assets to chain together blocks of digital records across groups of computers.
These computers will contain the records so that if one goes down, the others will be able to support the system. Typically, there are thousands of computers involved in the process. There is no single governing authority that controls the network, which makes the blockchain a decentralized system.
What Is Ethereum?
Ethereum can be described as an open-source platform that is used by developers to help create actual cryptocurrencies, as well as other digital applications, such as security. Ethereum is the software, but it is also known by its own cryptocurrency coin, known as Ether.
Whilst the blockchain was created by a few people, there is actually no one who owns it or controls it. The price is dictated by the crypto market and the amount of people largely buying and selling.
Ethereum is unique compared to other cryptocurrencies, as it is much more multi-purpose. Where developers can actually come in and create their own digital applications, making it quite a valuable tool in the crypto world.
When Did It Begin?
Ethereum can trace its origins back to 2013, when Vitalik Buterin published a paper talking about the ways in which Bitcoin could be improved. He believed that Bitcoin should open up more into outside development, allowing developers to create their own decentralized applications that would run through a Bitcoin platform.
When that was dismissed, he decided to create it himself. A few years later, and after a successful crowdsourcing campaign, Ethereum launched in 2015.
How Do I Get Some?
It’s all well and good knowing what Ethereum is, but it’s also important to know where you can actually get some. Essentially, you can purchase Ethereum much like how you would buy any other cryptocurrency. You can use peer-to-peer marketplaces or public trading platforms to search for Ethereum coins, known as ETH, and buy at the right place.
The advantage of peer-to-peer marketplaces is that you can buy crypto at a better price compared to traditional crypto exchanges because extra fees are lower, if ever there was one at all.
P2P marketplaces also allow you to trade with users on a more personal basis. This means you will be able to see the country they are buying or selling from, and even have a reputation system in place to find people you can trust. You are much more likely to buy from a five-star seller, than you are a two-star one. You should ensure you find the right marketplace and trading platform that suits you. Of course, it’s also important for the marketplace to have enough users signed up. Platforms such as Paxful will be able to explain to you how to buy Ethereum as well as other cryptocurrencies, as well as providing a means to trade with gift cards, if that’s what you’re into.