ethereum is a digital platform that adopts blockchain technology (blockchain) and expands its use to a wide variety of applications, while ether is its native cryptocurrency. In the world of digital finance, it is common for cryptocurrency to be called the network, although they are not really the same thing.
the ethereum platform, founded in 2015 by programmer Vitalik Buterinsought to be an instrument for decentralized and collaborative applications on which smart contracts (dAPPs) can be made
However, among its shortcomings is its limited scalabilitythat is, it only allows you to do 15 transactions per secondthis situation already put ethereum in check when in December 2017 the CryptoKitties app ‒a game where users could trade digital kittens for speculative purposes‒ led to a huge congestion on the platform in which many transactions did not go through. Currently working on version 2.0 to make improvements.
Like bitcoin, the price of ether skyrocketed in a short period of time. In January 2016, ether was trading around a dollar and currently has an all-time high of 4891.7 units. Nor has it been saved from major setbacks.
Hour: 1:05 p.m. (UTC time)
Cost : 1868.62 dollars
Change in the last 24 hours: -1.87%
Change in the last hour: -0.59%
Popularity by capitalization: #two
cryptocurrencies they are ceasing to be foreign elements and have begun to enter everyday language, arousing the interest of those who are concerned about finances or even to the point of being legalized in some regions of the globe.
As its name says, virtual currencies use cryptographic or encryption methods to carry out transactions in a deregulated system and, most of them, through block chains (blockchain), which distances it from traditional models in which banks act as intermediaries.
Its innovation has caused many people to be interested in investing in the coins digital, as its value has increased considerably in recent years being bitcoin, ethereum and dogecoin the most popular and those with the highest capitalization in the market.
Each of these units are produced through a process called “mining” and users can acquire them through different cryptocurrency agents or exchanges, and then store them in “cryptographic wallets” or make various transactions with them by means of unique keys.
Although it was in 2009 when bitcoin entered the market as the first cryptocurrency in the worldthe truth is that these are just experiencing a boom in the financial field, so their use is expected to increase in the near future.
Cryptocurrencies have several factors that make them unique: not being controlled by any institution; not require intermediaries in transactions; and almost always use accounting blocks (blockchain) to prevent new cryptocurrencies from being created illegally or transactions already made from being modified.
However, by not having regulators such as a central bank or similar entities they are pointed out as being unreliable, as being volatileencourage fraud, not have a legal framework that supports its users, allow the operation of illegal activities, among others.
Although it could be a paradox, cryptocurrencies in turn guarantee security to their miners in terms of the network in which it is located (framework) and that implies code management; hacking this security is possible but not so easy to achieve because whoever tried it would have to have a computational power even higher than that of the computer itself. Google.
Who invests in this type of digital assets must be very clear that this form brings with it a high risk to capitalWell, just as there may be an increase, there may also be an unexpected crash and end the savings of its users.
To store them, users must have a digital purse or wallet, which is actually a software through which it is possible to save, send and make transactions of cryptocurrencies. In reality, this type of wallet only stores the keys that mark the ownership and right of a person over a certain cryptocurrency, so these codes are the ones that must actually be protected.