Cryptocurrencies, such as bitcoin, enable anyone to transfer money globally. Ethereum does too, but it can also run code that enables people to create apps and organizations. It’s both resilient and flexible: any computer program can run on Ethereum.
Not everyone has access to financial services. An internet connection is all you need to access Ethereum and the lending, borrowing and savings products built on it.
No government or company has control over Ethereum. Decentralization makes it nearly impossible for anyone to stop you from receiving payments or using services on Ethereum.
Anyone can interact with Ethereum network or build applications on it. This allows you to control your own assets and identity, instead of them being controlled by a few mega-corporations.
Customers have a secure, built-in guarantee that funds will only change hands if you provide what was agreed. Likewise, developers can have certainty that the rules won't change on them.
Ethereum allows you to coordinate, make agreements or transfer digital assets directly with other people. You don't need to rely on intermediaries.
All apps are built on the same blockchain with a shared global state, meaning they can build off each other (like Lego bricks). This allows for better products and experiences and assurances that no-one can remove any tools apps rely upon.
Ethereum is not controlled by any particular entity. It exists whenever there are connected computers running software following the Ethereum protocol and adding to the Ethereum blockchain. Each of these computers is known as a node. Nodes can be run by anyone, although to participate in securing the network you have to stake ETH (Ethereum’s native token). Anyone with 32 ETH can do this without needing permission.
Even the Ethereum source code is not produced by a single entity. Anyone can suggest changes to the protocol and discuss upgrades. There are several implementations of the Ethereum protocol that are produced by independent organizations in several programming languages, and they are usually built in the open and encourage community contributions
Smart contracts are computer programs living on the Ethereum blockchain. They execute when triggered by a transaction from a user. They make Ethereum very flexible in what it can do. These programs act as building blocks for decentralized apps and organizations.
Once a smart contract is published to Ethereum, it will be online and operational for as long as Ethereum exists. Not even the author can take it down. Since smart contracts are automated, they do not discriminate against any user and are always ready to use.
Many actions on the Ethereum network require some work to be done on Ethereum's embedded computer (known as the Ethereum Virtual Machine). This computation is not free; it is paid for using Ethereum's native cryptocurrency called ether (ETH). This means you need at least a small amount of ether to use the network.
Ethereum used the previous protocol named proof-of-work, but since this type of protocol required a huge amount of energy consumption working day and night to power mountains of computers working at the same time, they upgraded their network to proof-of-stake that reduced the energy consumption required to secure Ethereum by 99.95% creating a more sucure network for a much smaller carbon cost.
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Ethereum is now a low-carbon blockchain while boosting its security and scalability.
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Using Ethereum today means interacting with hundreds of different networks and apps. All backed by Ethereum as the foundational backbone.
On the official Ethereum website the two main networks that are currently maturing are Arbitrum and Optimism.