In this infographic we discuss Ethereum now & in the future. Ethereum was created by Vitalik Buterin, and went live late in June 2015. It essentially took the idea of the blockchain behind Bitcoin, and made it programmable through it’s Smart Contracts to make decentralized applications, including self-enforcing agreements. Ethereum has it’s own cryptocurrency digital token called Ether (used as “juice” or “gas” for the system), which has been number two in price and market cap, bested thus far only by Bitcoin; And it’s inception has sparked and enabled the creation of hundreds of other digital tokens since, as well as many other blockchain based projects. Ethereum has undergone a hardfork, which resulted in the creation of Ethereum Classic, and is now facing the pending resulting of more recent hard forks.

A precise timeline for Ethereum from late 2013 to January of 2016 can be seen in the infographic below.

The Ethereum blockchain has many benefits. Among them being that it’s generally perceived as being immutable, meaning that a third party can’t make changes to the data. It’s generally considered to be secure against hacking attacks and fraudulent activities, as it’s on a distributed network, and uses cryptography. Ethereum is corruption and tamper resistant, working on a consensus principle, making censorship nearly impossible. And Ethereum also has zero-downtime, meaning that apps built on it never go down, and can’t be switched off.

Compared with Bitcoin, Ethereum has many differences. For example, whereas the Bitcoin blockchain is only used for verifying transactions and ownership of coins, the Ethereum blockchain can also be programmed, allowing the building of decentralized applications and smart contracts. Bitcoin uses ASIC chips, which has led to a Moore’s Law race and concentrated mining power, whereas Ethereum uses ethash instead of sha-256, which allows individuals to compete in mining. Transaction confirmation times is another huge difference between BTC & ETH, with a Bitcoin transaction confirmation happening within 10 minutes, & an Ethereum transaction confirmation taking less than 20 seconds. As far as economic plans, Bitcoin’s block reward halves every four years until the year 2140, whereas Ethereum is moving towards a Proof-of-Stake modal and has a continual block reward. As to code, Bitcoin is written in a stack based language which isn’t Turing Complete, whereas Ethereum is written in a Turing Complete language.

Ethereum is currently the second best cryptocurrency, under Bitcoin, as far as price is concerned. However, in the wake of Bitcoin’s amazing bull run in 2017, Ethereum has gained an overall higher percentage in growth.

There are potential risks to the Ethereum network however in some people’s opinion. Those include: a poorly managed code, a lot of marketing hype as opposed to substance, an immature community, and insider trading and news flow between consensys. Despite these potential drawbacks however, Ethereum has some very good opportunities in it’s favor. These include: great developer interest, strong external company interest, and their innovative smart contracts – which are hoped to be used to execute and enforce legal transactions.

The Ethereum platform is being used to create decentralized applications across a broad range of services & industries, and these have the potential to disrupt hundreds of industries, including finance, real estate, insurance, and many more.

Enjoy the infographic below,
Have a great week ahead,
The Blockchains.my team.

Ethereum