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Add to Watchlist What is Ethereum?

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Ethereum is a decentralized operating system. The platform introduced, in practice, the concept of "decentralized applications". Its founder, Vitalik Buterin, has been engaged in the development of blockchain and Bitcoin since its inception.

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Today, several cryptocurrencies are issued in ICOs using Ethereum. Through the development of "smart contracts", Ethereum made it possible to sign tokens that have a specific function besides being a medium of exchange and broadened the capabilities of blockchain "transactions".

Its key cryptocurrency is the Ether, which is usually used for payments in smart contracts or dApps.

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In addition, Ethereum is also fueled with GAS, a cryptocurrency associated with operations that require some kind of computation from its nodes. The GAS price is proportional to the type of the computational power required execute a task.

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Therefore, a fee in GAS is included to pay for the nodes running or authenticating a transaction. Originally, Ethereum used proof-of-work to reach consensus.

The Casper protocol, however, gradually shifted Ethereum consensus from PoW to a custom proof-of-stake protocol.

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