January 29, 2022

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Ethereum Meaning and Key Explanations

Ethereum is a technology platform built on blockchain to power cryptocurrency Ether and other decentralized applications. It can also be defined as a community-run technology
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Ethereum is one of the biggest cryptocurrencies in the world. It also serves as a Blockchain platform that houses gaming apps, decentralization finance (DeFi), NFTs, and so on. In this article, I will take you on a ride.

Definition of Ethereum

Ethereum is a technology platform built on blockchain to power cryptocurrency Ether and other decentralized applications. It can also be defined as a community-run technology that houses digital money, global payments, and applications.

Key Explanations

Ethereum is built on blockchain technology. This means you can’t break into it. The blockchain platform is known for its strong security. Also, it does not use your normal password. Its password is usually long and difficult to store in the brain. Also, it is called a ledger because of its ability to keep records of every transaction and its connectivity with most computers around the world.

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It’s powered by a cryptocurrency called Ether. Ether is the second most popular digital money only after Bitcoin. The value of Ether at the time of writing is 1.5 million Naira with a market capitalization of 183.8 trillion Naira. Ether can be held, bought, or sold. More so, it’s a form of investment. You can earn capital gains from it. In addition, it can be used for buying and selling goods or services.

Ethereum supports decentralized applications. From its open-source, developers can create applications for decentralized finance (DeFI). DEFI are applications that aid cryptocurrencies. For example, a cryptocurrency exchange, wallet where you can store your cryptos, payment platforms, and so on.

In addition, games applications can be created from Ethereum blockchains. Websites, social media can be created as well. Most of these platforms allow you to earn Ether while you play games, like social media posts as the case may be.

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Conclusion

Ethereum is a platform that is used to run the famous cryptocurrency Ether. It has a community of developers that creates decentralized applications like global payment apps, games, and websites on web 3.0. People believe that blockchain technology is the future. And knowing this digital currency is necessary.

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