Why is the world moving towards investing in Ethereum?

Ethereum: a complete system, not just a digital currency!

With the proliferation of digital currencies and investor demand for them, and the spread of Bitcoin as a digital currency, the newly popular Ethereum is not just a digital currency in itself, but more than that! 

Ethereum is a complete system and software platform that acts as a decentralized Internet and application store; That is, it is not under the control of a single controlling party, although most businesses and companies on the Internet are built on a centralized system, but this system is operated by thousands of devices around the world. 

 Such an independent electronic system definitely needs a digital currency to meet the computational needs required to run any application or program, and that is the role of the Ether (ETH) digital currency. 

 Ethereum was launched in 2015 in Switzerland by its founder Vitalik Buterin, and became available in the Arab region for the first time through the platform (BitOasis) in February 2017.  Therefore, the Ethereum coin is only part of the applications. of Ethereum smart contracts.

How does the ethereum system work?

Ethereum consists of the internet browser, its own coding language, and also a proprietary payment system. It allows its users to build applications on a system called Blockchain, which is a distributed public ledger technology. Among the most important characteristics of the Ethereum network are the following:

• decentralized applications

In principle, it is similar to other cloud and smartphone apps, but it is hosted on the Blockchain system and is not managed by a developer or central authority, and cannot be removed once it is placed on the Blockchain. 

• smart contracts

   They are a special type of Ethereum account that is capable of holding balance and sending coins, and what distinguishes them is that they cannot be controlled by the user, which is why they are also called self-applied tokens. 

•    Hosting of cryptocurrencies in ERC-20

The Ethereum network hosts thousands of other digital currencies or tokens, and these currencies include some of the most famous and largest digital currencies in the world, such as: (Chain Link), (Tether), (Shiba Inu) and others.

Ethereum and Bitcoin: Are they the same?

These are the main differences between them:

•    Both Bitcoin and Ethereum are based on Blockchain technology, which allows the history of each currency to be consulted and confirmed.

• Bitcoin and Ethereum operate on separate protocols, which means that some transactions that may be allowed on one system may not be allowed on another.

• Ethereum is recognized by the Ethereum network but is not widely used, on the contrary, Bitcoin cannot be used as a recognized currency on Ethereum.

•    A maximum of 21 million bitcoins can be created, but the creation of Ethereum may never end.

• Bitcoin can be mined using industrial mining farms, while Ethereum mining can be decentralized by individuals and users.

What is the price of ethereum against the dollar?

Ethereum first traded on August 7, 2015 for $2.77, then lost value on August 8, 2015 at $0.81 and remained below $1 until January 2016.

Four years in the trading world significantly raised the value of Ethereum; In December 2020, the value of the coin was $567.6, while the value of Ethereum on March 22, 2022 AD was approximately $2,860.64.

Should you invest in Ethereum?

There is no doubt that the cryptocurrency market is a very volatile market, so it is not always possible to be sure of profits, but since Ethereum is such a popular currency, the reason for its popularity can be attributed to the following:

•   It is completely immune to any external interference or the presence of a third party, and this ensures the complete independence of decentralized applications, protecting them from hacking attacks. 

•  Eliminating any possibility of fraud, corruption or forgery, to unanimously adopt the principle (Blockchain) in the system, and any changes to it must receive full approval. 

• The entire platform is decentralized, which means that there is no fixed point of failure and this ensures that work on the system will never stop.

•  The platform provides users with the Ethereum Virtual Machine (EVM), a smart contract system that provides protection for users and ensures that programs do not interfere with each other. 

•  On the other hand, with the widespread use of Ethereum, the project is still relatively new, so the Ethereum system has developed its technological performance and has undergone several upgrades over the years of its development, most of which come into in the regular update category.  for development and security purposes, such as (Homestead) Update and (DAO) . and (Eagle).

•  Experts also advise keeping an investment of less than 5% of the total storage portfolio, investing in what can be lost, and not at the cost of significant financial obligations.