Bitcoin coverage was basically inescapable in 2017, and by now, you’re probably also aware that Bitcoin isn’t the only cryptocurrency in the game. We’ve covered dozens of altcoins, such as Litecoin, Bitcoin’s first spinoff, Ripple, and IOTA. It’s about time we discussed Ethereum, the system that runs Ether (ETH). If you’re considering buying ETH, it’s important to understand what Ethereum is, why it even exists in the first place, and how the second biggest coin can change your life. To do that, you’ll have to go back to 2013.
What is Ethereum?
What is Ethereum? In the simplest of terms, it’s an open-source blockchain system. It powers the cryptocurrency Ether (ETH), but it’s capable of much more.
It dates back to 2013, when developers and crypto believers began to see the limitations in Bitcoin’s use of the blockchain system. Instead of being this great, innovative technology that could be used for a variety of applications, Bitcoin was pretty much bound to transactional uses as a currency. Russian Bitcoin investor, Vitalik Buterin, then 19, recognized these limits and published a proposal for a new kind of blockchain system, called Ethereum, which could facilitate all kinds of decentralized applications. By 2014, the platform was crowdfunded by hoards of fans hoping to open up crypto tech to new heights.