In the past few years, Ethereum has been one of the most steady coins in the market. From December 2016 to December 2017, less than a year, Ethereum’s value has gone from about $8 to over $1,000. However, this sudden rise is not because it is some new coin that no one knows about; rather its popularity stems from how easy it is to program smart contracts on its blockchain. The system was created by Vitalik Buterin who saw Bitcoin as an inefficient and expensive solution for payments and wanted something better.
Ethereum has been the second most steady coin for years. It was only at the beginning of 2017 that XRP (Ripple) overtook Ethereum to take its place for a short period of time before it came back, but since then it has not left the second spot. It is currently valued at about $4200 per coin with a market cap of over $400 billion.
The Reason It Was Built In The First Place
Vitalik Buterin, a Russian-born Canadian programmer, started Ethereum to create a platform where smart contracts could be easily made and executed by anyone in the world. His idea was to use a coding language that would be familiar to programmers and make it easy for them to code in it. He also wanted to add more features such as Turing completeness (the ability to execute an infinite number of commands depending on the length of the contract) and make sure that programmers did not have access to each other’s information.
The Ethereum network allows developers to create decentralized applications, which are called “Dapps”
Dapps is a decentralized version of an application. In traditional applications, all the information is stored on a central computer and accessed by users from their computers.
In Decentralized Applications, all the information is decentralized and each user can create his/her own copy of the application which updates as new information comes in. This means that if a developer creates a decentralized version of Twitter, then every time a tweet is published all the users who have downloaded the application will update accordingly.
Dapps can be used for various purposes such as gambling, social media platforms, or even financial services.
It’s Also Possible To Create A New Type Of Token With An Erc-20 Standard On Ethereum
ERC-20 is a set of rules which all Ethereum tokens must follow, to be compatible with each other. This allows developers to create new tokens on the same blockchain without having to recreate many of the functionalities that are already present in Ether.
Ethereum also has its programming language, Solidity. This makes Ethereum more flexible than other cryptocurrencies because of its Turing completeness (ability to execute an infinite number of commands depending on the length of the contract.)
This standard has led to the creation of ICOs (Initial Coin Offerings) which help startups to gather funds for their projects. ICOs are a way of crowdfunding new cryptocurrencies by allowing anyone to buy tokens offered by the company. By doing so, users can use these tokens within certain platforms or services, thus creating demand as more people start using them as well as increasing their value as they become harder to acquire.
How Ethereum Is Used In Some Industries
The betting industry is one of the industries that can benefit most from Ethereum’s blockchain. This is because betting requires many different steps to be executed in a fast and efficient way. All these actions (checking if users have enough money, executing commands, updating game balance, etc.) require some sort of verification process which must be done by an external computer.
With Ethereum, all the actions that must be done by a betting company can be programmed into a smart contract that requires no verification from external computers and does not have to be limited to a sequence of commands either. This means that betting companies do not have to pay someone to monitor their betting platform anymore and it also allows for better transparency and betting to be done in a trustless environment.
More and more betting platforms utilize Ethereum as a payment method. The value of the coin and its immersed market cap are good reasons for the betting platform to utilize this currency just like Bitcoin. Soon we will see unbreakable relationships of betting sites from Ethereum.
The Recipe Behind The Steady Success Of Ethereum
One of the reasons for the steady growth of ether is its simplicity. Ethereum’s blockchain can be compared to a web browser. Each user has its own copy of the whole blockchain to access Dapps and be able to use it at all times.
When a user updates the Ethereum blockchain, his/her copy is also updated and automatically synced with all the other users’ copies. This means that any new information added to a Dapp will be instantly updated in every single copy of the blockchain.
This has created a network where each user can create their own ‘server’ or ‘node’. As more users are able to connect to the network, it also becomes harder to shut down or destroy.
Ethereum has become one of the few coins that have resilient value in the market. Even when its price drops, it still holds a large market cap which makes it one of the most valuable coins around.
Another reason which makes Ethereum so versatile is that anyone can create their own coin on the ethereum blockchain. So instead of creating an alternative coin or new protocol, it’s easier to build new Dapps on top of Ethereum, this will also increase its demand and price.
This has created one of the largest industries in the world where anyone can invest without having to go through middlemen.
The Future Of Ethereum
Ethereum has been one of the most steady coins in the market for years. Ethereum was created by Vitalik Buterin, who saw Bitcoin as an inefficient and expensive solution for payments and wanted something better. The system allows developers to create decentralized applications which are called “Dapps” that can be used for various purposes such as gambling or social media platforms. It is also possible to create a new type of token with an ERC-20 standard on Ethereum which has become popular among other cryptocurrencies and ICOs. In 2016 there were over 1 million active addresses from users who participated in transactions on the blockchain, making it clear how this technology will continue to grow into the future.