Origin and critical feature of Ethereum

The key feature of Ethereum is the smart contract. Like Bitcoin, Ethereum is based on blockchain technology, but the difference from Bitcoin is that “contract information” can be stored on the blockchain. This is called a smart contract.

The origin of Ethereum

 Ethereum was invented by Russian Vitalik Britain in late 2013 and was released in July 2014. Impressed by the technology called blockchain that forms Bitcoin’s basis, he worked as a researcher and led Ethereum from his point of view.

 The market capitalization as virtual currency is the second largest after Bitcoin, and the currency unit is ETH.

Ethereum has emerged not as a way of using the bitcoin blockchain as it is, but as a move to overcome its weaknesses and create its blockchain with expanded functions. The biggest feature is a smart contract/distributed application construction platform. Many of Bitcoin and other integrated platform type Bitcoin 2.0 projects can be written and implemented only by the development team. There are some restrictions on the execution of smart contract programs on the blockchain. While Ethereum The feature is that any user (general person) can freely describe and execute a smart contract. As a result, Ethereum has given the power of blockchain to everything, not only as a value as a virtual currency but also as a platform. You can join the Bitcoin Rejoin website to do bitcoin trading.

How Ethereum and Ether differ from each other?

When I first learned about Ethereum, I didn’t quite understand the difference between Ethereum and Ether. Ethernet is, of Ethereum distribution as an internal currency, ones that are, ETH will be referred to as.

Like other virtual currencies, Ether (ETH) can be used to transfer money using a wallet, etc. and is used as transaction issuance fees and mining rewards. In short, Ether is the currency of distribution on the Ethereum network.

With the explanation so far, I hope you understand the difference between Ethereum and Ether, but the word “Ethereum” used in everyday conversation is the virtual currency Ether (ETH). Most of the time, it points.

Therefore, some people say that the rate price of Ether is ~, while some people say that the rate price of Ethereum is ~, so I don’t think you need to be too nervous about the difference.

What is the disruption of Ethereum? What is DAO?

Ethereum has a lot of potential to enrich our lives. Such a brilliant Ethereum has a history of not only light but also shadow. That is the DAO case.

DAO is a project launched in 2016, which is a project that tried to democratize investment. DAO stands for “Decentralized Autonomous Organization” and means “distributed autonomous organization.”

Today, the investment can be made by various means, one of which is called an investment fund. Investment funds manage the funds collected from companies, institutional investors, and individual investors.

Usually, a fund manager exists in an investment fund, and the stocks of the investee are selected and managed. While fund managers with a high investment track record are highly paid, the hurdles to investing in excellent funds are also extremely high, and ordinary citizens like individual investors and us cannot participate at all. You can join a high investment fund.

That’s where DAO comes in. In DAO, a diversified investment fund, the choice of investment destination is decided by the voting of all investors. DAO runs on the Ethereum network, and of course, the currency of distribution is Ether (ETH).

Also, apart from Ether (ETH), there is a currency called DAO token, and DAO could be exchanged for Ether (ETH). Participants can vote on which projects to fund after receiving the DAO token.

Unfortunately, the DAO suffered from hacking and lost a total of 36 million ETH. DAO was collecting about 15 billion yen at that time, but about 7.5 billion of that money was stolen (converted to ETH rate at that time).

Originally, virtual currencies such as Ethereum are managed on the blockchain, so it is impossible to recover the currency once hacked. However, Ethereum lead developers went back through the blockchain’s trading history and returned it to the hacking victims. This became controversial, leading to the disruption of the Ethereum community and its division.