A centralized approach means single-person control. This, in turn, makes applications in the system and online servers extremely vulnerable to possible cyber-attacks and even power failures. Ethereum, which does not have a central system, is completely autonomous and cannot be controlled by anyone. While users’ personal information remains on their own computers, content such as apps and videos remain in full control of content creators, without having to comply with the rules implemented by hosting services like the App Store and YouTube.
Ethereum uses the technological properties of Bitcoin by developing them. Ethereum is a complete network with its own internet browser, encoding language and payment system. One of the most prominent features of Ethereum is that it allows users to generate new decentralized applications on the Ethereum blockchain.
Ethereum-based applications put an end to all kinds of payments to third-party companies to make all kinds of services attractive. Both the singer singing in the Ethereum-based version of a social network like Facebook and the person who likes that singer win a reward from the liking.
Features of Ethereum
The entire Ethereum system is supported by a global system called ‘nodes’. Nodes are the volunteers who download all the Ethereum blockchains on their desktops and implement the whole consensus of the system entirely, keep the network honest and receive the rewards. Many other aspects of the network are defined by “smart contracts”. Smart contracts are designed to automatically secure your network operations and other specific actions you have performed with third parties.Terms are preprogrammed into the contract for both parties. Fulfilling these terms will then trigger a transaction or any special action.
Many people think that smart contracts are safer than traditional contracts, reduce contract costs, and build trust between the two sides, so they believe smart contracts will replace the traditional legal contracts in the future. The system also offers the Ethereum Virtual Machine (EVM) service, which serves as an environment for Ethereum-based smart contracts. ESM prevents programs from interacting with each other when an unsafe code is detected; and thus allowing the system to stay safe
Because ESM is completely isolated from the main Ethereum network, it is an excellent virtual space tool for testing and developing smart contracts. The platform also offers a cryptocurrency called “Ether”.
Who is the founder of Ethereum?
Vitalik Buterin, the founder of Ethereum, wrote the white paper of Ethereum towards the end of 2013 and sent it to his friends. Buterin then discussed the concept of Ethereum with 30 friends who reached him. Thinking that these people will criticize the concept and show its errors, Buterin did not get any negative comments.
In January 2014, the project was announced to the public by the core team consisting of Vitalik Buterin, Mihai Alisie, Anthony Di Iorio, Charles Hoskinson, Joe Lubin and Gavin Wood. Buterin also told about Ethereum at a Bitcoin conference in Miami, and only a few months later the team turned to mass sales to provide funding/resources to develop the network’s crypto-money Ether.