Ethereum (ETH)

  • Official Website: ethereum.org
  • Definition: Ethereum is a decentralized, open-source blockchain platform that enables smart contracts and decentralized applications (dApps).
  • Category: Blockchain, Layer 1 chain, Cryptocurrency.
  • What It Is: A programmable blockchain that allows developers to build and deploy dApps and smart contracts.
  • Function: Powers decentralized finance (DeFi), NFTs, and other blockchain-based applications.
  • Analogy: Think of Ethereum as a global computer. Just like a computer runs programs, Ethereum runs decentralized apps.
  • Pros: Highly versatile, large developer community, supports DeFi and NFTs.
  • Cons: High gas fees, scalability challenges, competition from other Layer 1 chains.
  • Controversies: Transition to proof-of-stake (Ethereum 2.0), regulatory scrutiny.

This page was last updated on January 28, 2025.