All about Ethereum

by Matthew Russell - Posted 4 years ago

   

Yo Vigilantes! Over here. Today I have something special for you. I went to a friend to help me explain Crypto Currency, Blockchain, and Etherieum. Eoin Whipple wrote me up a pretty great article for your eyes only (and for anyone else you share this with, but only them!) Without further adieu, enjoy!

What is block chain technology and how secure is it?

Throughout the computer world, there are so many different software and programs that work to protect you on the network you’re on. Third-party companies develop VPNs, antivirus software, and other programs that actively work to prevent your computer from being compromised.

But what if you had a network that works actively works to protect you, even without a VPN or antivirus, not to say you shouldn’t be using one of course. In Ethereum, a decentralized network by default will shield your purchases from threats online. However, before you can understand Ethereum and how it works, you’ll want to have a basic understanding of a decentralized network and block chain technology.

Decentralized Networks and Block chain


A decentralized network is a network where there is no regular single point of failure (such as a single database). The network is not centralized to one central network server but instead, each computer connected has a piece of the entire network infrastructure and configurations. This allows for more secure peer to peer networking and transactions. Block chain technology is used in decentralized networks. In simple words, block chain is digital information (“the block”) on a public network and database (“the chain”). Each block on a chain has a unique code called a “hash” which allows each block to be distinctive from the others.

This makes the network more secure compared to traditional centralized networks against potential hackers or viruses. When a hacker tries to edit data on a block, every other block has to verify that change. When a hacker changes the data on a block, it changes the unique hash code as well, but previous blocks on the chain are unchanged. Each block is built off of the code of the last block so changing one would send up a giant red flag to the others. The hacker would have to change the hash on every single block in order to gain control. This would take an extremely unrealistic amount of computing power.

In order for a hacker to overwhelm a network using block chain, they would have to be able to control over 51% of the blocks, which is highly improbable.

Brief History of Ethereum.

Founded and launched in 2015 by Vitalik Buterin and Gavin Wood, Ethereum has revolutionized the way data is shared and edited on a network through a large programmable block chain.


Ethereum went through many stages before being set at the top podium of programmable block chain platforms. The system had various changes and security updates and improvements throughout the last 5 years. An Etherum split also occurred which created Ethereum Classic and Ethereum.

The cryptocurrency Ether within the Ethereum platform has raised in value by over 10000% percent since it’s release in 2015 and investors often move from Bitcoin to Ethereum due to the potential it has.

Why is Ethereum better than bitcoin?


Ethereum is the world’s largest programmable block-chain and while bitcoins do use block chain technology, Ethereum is far beyond a simple cryptocurrency. Users on the platform can develop decentralized apps, also known as “dapps”, that are trusted on the network. For example, online comics selling and creating a website is made on the Ethereum platform. People can create original and creative comics that you can sell on the online market for Ethereum.

When someone wants to purchase a comic, they simply can perform a peer to peer transaction with no third party authority. You do not have to go through a bank and the money can go directly from you to the comic creator. This is made possible through “smart contracts”, a digital contracts that autonomously regulates transactions within block-chain technology. The smart contracts eliminate the middlemen factor and any third-party authority from verifying transactions.

More to Come


We aren't anywhere close to done with bringing you the latest news and information on Ethereum or the block chain. I would like to again say thank you to Eoin on this great article. Watch out for more right here. Same Bat Time, same Bat Channel. Until then, why don't you head on over to the Marketplace and see the block chain in action.