Ethereum was proposed in late 2013 by Vitalik Buterin, a cryptocurrency researcher and programmer. Many people donated money to support the development of the system in what was one of the first initial coin offerings. The system came online on 30 July 2015.
Structure[change | change source]
Ether is a type of money that is decentralized which means that there's no company, bank or government that oversees it. Instead, it uses the Ethereum network of computers spread around the world, which keep track of every payment of ether. As in other cryptocurrencies, Ethereum keeps track of payments by using a blockchain, which is a growing registry of every payment. This blockchain is open for everyone to read, and it is spread across the network so that everyone can check what payments have been made. This also protects against hacking or theft of money from the system, because if the blockchain was to be altered in some computers then it would be noticed that it is not identical with the others.
Ether is a form of cryptocurrency, which means that it is decentralized, and also means that people can use it for payments without revealing who they are. Instead, people can use the Ethereum system by addresses (also called keys) which they can keep secret from others.
References[change | change source]
- "What is Ethereum? A Comprehensive Explanation - Coin Bureau". Coin Bureau. 2017-09-03. Retrieved 2018-06-24.
- etherchain.org. "Accounts - etherchain.org - The ethereum blockchain explorer". www.etherchain.org. Archived from the original on 7 August 2017. Retrieved 30 May 2017.