Other than Bitcoin, Ethereum is the second no. Open source blockchain-powered platform to be preferred by users in terms of market capitalization. Smart contracts and decentralised applications are possible with Ether (ETH) the native cryptocurrency of Ethereum. It is tamper-proof and censorship-resistant. Apart from these applications, they can function with end-to-end encryption without interference of any other party. Want to know the top reasons for Bitcoin’s influence over other cryptos? Here is a guide on the top reasons.
Ethereum works as a Bitcoin-like cryptocurrency. However, their functions are similar to Litecoin, Bitcoin and so on. Moreover, Ethereum as a cryptocurrency is an open-source virtual machine which enhances the community scope for further innovations. In only 5 years, Ethereum rise among all experts in Initial Coin Offering (ICO) and became the base of 2000 decentralised applications. During writing time, the value of Ethereum currency was $54 billion.
Let’s go through the journey of Ethereum, its launch, versions and milestones.
The Invention & ICO
The Canadian-Russian programmer and the co-founder of the British computer scientist, Gavin Wood invented Ethereum. Me. Buterin visualizes the project . Wood invented Ethereum’s programming language. He also introduced the EVM machine in his yellow paper. The chief technology Officer of Ethereum was Wood in 2016. Later on, when the team innovative ideas, Ethereum became able to earn $18 million when it launched its ICO in 2014.
Frontier: the try
In the initial stage of the network, the first network that come into existence was Frontier in the year 2015 and the first block which was mined was possible with the blockchsin name Ethereum. Although Ethereum was capable of managing smart contracts and Dapps, Frontier was keep on experimenting the Ethereum to analyse the shortcomings that occurred in its security system. Therefore it become a landmark in Ethereum history.
In the mid of August, when the Ether market price was approximately $2.77, at that time 100000 blocks were available. But due instability of the network, its value keeps on dropping as down as $0.68. Later on, a debate was proposed between Nick Szabi and Devcon-1 in London for discussing the future impact of Ethereum in the market.
Stability release
Several blocks were upgraded in 2016 with a lot of security mechanisms and improved functions after that the market value of Ether increased in March. as a result the Ethereum value reached millions after imposing upgraded security and stability protocols. And with the popularity of Ethereum, Ether prices also increased furthermore. The whole project was under DAO (Decentralised Autonomous Organisation). However, the story of DAO remains so long out of the 7.9 million Ether (~$132.7 million) locked in the DAOs. On the other part, ether’s price dropped to $11 because it got hacked. Therefore the community decide to solve the issue. As a result, the original Ethereum split into two parts. One of them become an Ethereum Classic (ETC) and another one was (ETH) as done by the crypto community.
Metropolis: Scalability
In 2017, Ethereum’s market crossed its capital worth rs. $400 million due to strong security features and stability implied on the project, it entered into the third phase of its journey named Metropolis. After that, this upgrade was planned to release three successive upgrades named Byzantium, Constantinople, and Istanbul.
Serenity: Ethereum 2.0 (Eth2)
To pave the way for Ethereum 2.0, it was necessary to make a strong Ethereum network by upgrading it. However, in the 0 versions of the Ethereum phase name Beacon chain – Eth2, it was impending the Proof-of-stake consensus protocol instead of Proof-of-Work (PoW).
Summary
As ETH hold in the user’s “staking wallet”, the voting and validation authority is given by the PoS to the network. Moreover, Eth2 is supposed to implement a feature which is more incentive provider and monetize the ecosystem for Ethereum users. In addition to this, Eth2 is planning to make the network more scalable by implementing sharding such as simply, linking the main chain to the sub-chain. And these upgrades evoked substantial interest among all institutional players to strengthen the ground for the Eth2 platform. Ethereum will be future beneficial for both individuals and enterprises. But anyone can take disadvantage of its security constraints always leave a risk, especially in the digital market.
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