What Is Ether?
Ether (ETH) is the second-largest cryptocurrency by market capitalization after Bitcoin.
It serves as both a cryptocurrency and a decentralized computing platform.
The Ethereum blockchain, powered by Ether, enables the development and execution of smart contracts and decentralized applications (dApps) without intermediaries or downtime.
The Ethereum network uses Ether to pay transaction fees, access services, and reward stakers who validate transactions.
It also serves as a fundamental currency for building decentralized finance (DeFi) applications, games, and other applications operating on the Ethereum network.
Ether vs Ethereum
- Ether and Ethereum are often used interchangeably, but they have distinct meanings. Ether refers to the cryptocurrency token used within the Ethereum network for transactions and services.
- Ethereum, on the other hand, represents the decentralized public ledger that facilitates the development of dApps. It provides the necessary infrastructure for developers to create, host, and deploy blockchain-based applications, leveraging the power of Ether.
Ether vs Bitcoin
Bitcoin and Ethereum are both open-source blockchain platforms but serve different purposes and offer distinct capabilities.
- Bitcoin is a decentralized digital currency system designed for online payments and value storage.
- Ethereum is a platform dedicated to building dApps and executing smart contracts.
Developers can leverage the Ethereum Virtual Machine (EVM) to create and deploy decentralized applications and programs.
The Ethereum blockchain is more versatile, supporting the creation of digital tokens, ERC-20 tokens, non-fungible tokens (NFTs), and other value-based assets.