Ever since the precipitous collapse of Bitcoin prices last December, cryptocurrencies have dominated financial headlines. In particular, Ethereum has turned heads because of its rapid acceptance among investors and software developers alike.
When people discuss Ethereum, they may speak as often about the technology that underlies it as they do the currency that has become the second-largest in the world. Although you may feel tempted to view Ethereum as a Bitcoin imitation, continue reading to learn what makes it so special. The following Ethereum acts will inform and guide you through 2018.
ICOs use Ethereum
A plethora of cryptocurrencies emerged after Bitcoin set the standard for success. Typically, developers launch these currencies via an Initial Coin Offering (ICO). More than three -quarters of ICOs are hosted using Ethereum’s blockchain.
Banks and developers also choose to use Ethereum technology, primarily because the technology has been proven to be sufficiently flexible, resilient and secure. Using Ethereum, people can safely send, transfer and store a variety of data.
Ethereum is Uncapped
Many cryptocurrencies, Bitcoin included, have a limited to the maximum supply of coins. As time passes, fewer new coins will become available and, eventually, mining will end. Ethereum has no such limitation.
Every year, miners can create up to 18 million new coins, depending on the current total Ether supply. Production can indefinitely continue, presenting investors and consumers alike with ongoing opportunities.
Ethereum Volume Fluctuates
As is the case with many cryptos, the number of Ethereum trades can vary a lot from one day to another. Even during intraday trading, the volume of currency changing hands can transition from a flood to a trickle. The fluctuating price of Ethereum helps to explain fluctuations in trading volume.
In many ways, price and volume charts for Ethereum resemble stock charts with many different indicators that may suggest “bullish” and “bearish” conditions. Although many describe Ethereum as “volatile,” the currency has a steady upward trend.
Regulations Impact Ethereum
A growing desire by the world’s governments to exercise control over digital currencies continues to impact Ethereum as well as other coins. In some ways, regulatory oversight may inspire consumer confidence in Ethereum and cause more people and businesses to embrace it.
Recently, South Korean regulators raided UpBit, the largest crypto exchange in that country. Such draconian measures by government officials routinely spook investors and cause them to fear that authorities may altogether ban alternative coins and tokens. If they take such action, investors could lose some, if not all of their investments.
Ether vs Ethereum
Although many people use both the terms “Ether” and “Ethereum” to refer to the popular cryptocurrency, the terms are technically not synonymous. Ethereum is actually the name of the platform that powers this and other currencies. The Ethereum platform supports smart contracts and applications that are immune to fraud.
The Ether currency is the “fuel” that powers the Ethereum platform. Ether serves as a form of payment for people who own computers and equipment used to perform operations for the Ethereum platform. That payment has become a popularly traded cryptocurrency.
Ethereum is OpenSource
Anyone with the proper equipment can use Ethereum using the Ethereum Virtual Machine (EVM). This runtime environment was created using multiple programming languages, including C++, Rust and Go.
Ethereum developers can create applications that run on Ethereum and use its survivability, security and authenticity to secure their data. Additionally, banks and organizations can create smart contracts with Ethereum that resist fraud. Right now, smart contracts are created by using a programming language called Solidity.
In conclusion, you can probably tell that Ethereum is a complicated subject that combines many elements. Governments, regulations, programmers, financial institutions, investors, and consumers all have a stake in Ethereum and the Ether currency. Many of the world’s largest institutions are developing new ways to use Ethereum to become more efficient and secure.
As more industries and institutions embrace Ethereum, so will ordinary consumers. So, use the above Ethereum facts to inspire you to learn more about Ethereum and how it can improve life for you and the world.