Ethereum (ETH) USD Price

Ethereum Price Data

Ethereum (ETH) currently has a price of $3.1K and is up 0.55% over the last 24 hours. The cryptocurrency is ranked 2 with a market cap of $382.7B. Over the last 24 hours, it saw $10.8B of trading volume. The token has a circulating supply of 122.1M tokens out of a total supply of 122.1M tokens.

Ethereum (ETH) is a decentralized blockchain platform that enables developers to build and deploy smart contracts and decentralized applications, providing them with a secure and scalable infrastructure. It operates on its native cryptocurrency called ether, used by participants to transact and incentivize network operations.

Unique features of Ethereum:

Smart contracts

Ethereum stands out for its ability to support smart contracts, which are written into code and stored on the Ethereum blockchain. These contracts eliminate the need for intermediaries or third parties, as pre-defined actions are carried out when they are triggered. This sets Ethereum apart from other cryptocurrencies and traditional financial systems. Smart contracts on Ethereum have diverse applications, automating processes like financial transactions, supply chain management, and voting systems. For instance, a rental agreement stored as a smart contract could transfer payment from a tenant to a landlord on the specified due date, without manual intervention or reliance on a trusted third party.

The execution of smart contracts on Ethereum brings transparency and immutability to the network. Once deployed, these contracts cannot be altered or tampered with due to the decentralized nature of the blockchain. This ensures that the agreed-upon terms and conditions are followed without any potential for manipulation or fraud. Since the contract is visible to all participants on the Ethereum network, it promotes transparency and trust, allowing independent verification of the contract's execution and outcome. Ethereum's smart contract feature revolutionizes the way agreements and transactions are conducted, eliminating intermediaries, automating processes, and ensuring transparency and immutability. This functionality opens up a world of possibilities for decentralized applications and contributes to a more efficient and secure financial system.

Decentralized applications

Ethereum is a cryptocurrency that offers a unique feature — the ability to support decentralized applications (dapps). Unlike traditional applications that rely on a central server, dapps operate on a network of computers, ensuring that no single entity has control. This decentralization makes them resistant to censorship and manipulation. Developers can leverage Ethereum's blockchain technology to create smart contracts for dapps. These contracts automatically execute transactions when specific conditions are met, ensuring trust and transparency. By being stored and executed across multiple computers, intermediaries are eliminated, reducing costs and increasing efficiency. The potential of Ethereum's dapp ecosystem extends beyond financial applications. It opens up possibilities for decentralized social media platforms, gaming applications, and more. This fosters innovation and interaction, creating new opportunities in various industries. Ethereum's support for decentralized applications empowers users by giving them control over their data and transactions. It promotes transparency and efficiency, while also enabling censorship-resistant applications that facilitate global collaboration.

Ether as fuel for network

Ether serves as a means to pay for transaction fees and resources required for smart contract execution. This approach ensures that users initiating transactions cover the associated fees, while also deterring network abuse and spam attacks. By mandating payment in ether, Ethereum promotes responsible and efficient use of the platform, thereby maintaining its security and scalability over time. Beyond being a medium of exchange, Ether holds significant importance within the Ethereum ecosystem. It acts as a store of value and facilitates the creation and execution of decentralized applications and smart contracts. Ether serves as collateral for these applications, guaranteeing trust and security. Ether is also burned during transactions as part of the fee system.

Ethereum Virtual Machine

The Ethereum blockchain relies on the Ethereum Virtual Machine (EVM) as a crucial component. The EVM is a decentralized virtual machine that operates within the Ethereum blockchain. Its main purpose is to enable the execution of smart contracts. These smart contracts are written in Solidity, Ethereum's programming language, and are stored on the blockchain, ensuring their immutability and transparency. The EVM ensures a secure and reliable environment for executing smart contracts. It achieves this by eliminating the possibility of external interference or censorship, ensuring that the code within the smart contract is executed exactly as intended. This is made possible through the consensus mechanism of the Ethereum network, which requires multiple nodes to agree on the validity of each transaction and smart contract execution.

Consensus algorithm: Proof of Stake

Ethereum uses a proof-of-stake consensus mechanism. In Ethereum's algorithm, validators are selected based on the number of coins they hold and are willing to lock up as collateral. The more coins a staker possesses, the higher their chances of being chosen to create a new block.

One of the notable advantages of Ethereum's algorithm is its energy efficiency compared to proof of work. In proof of work, miners need to expend substantial computational power to solve complex mathematical problems. However, proof-of-stake validators do not compete in such puzzles, resulting in lower energy consumption. This makes Ethereum's algorithm more sustainable and environmentally friendly.

When was Ethereum created or founded?

Ethereum was created in 2013 by a group of programmers and developers led by Vitalik Buterin. Buterin, who is widely regarded as one of the most influential figures in the blockchain industry, conceptualized Ethereum as a decentralized platform that would expand the capabilities of blockchain technology beyond simple financial transactions. The team behind Ethereum wanted to create a platform where developers could build and deploy smart contracts and decentralized applications easily. They aimed to provide a secure and scalable infrastructure that would revolutionize various industries by enabling trustless and transparent transactions.

The programmers included Mihai Alisie, a Bitcoin Magazine co-founder, Anthony Di Iorio, a cryptocurrency entrepreneur and Charles Hoskinson, who would later go on to create Cardano. Gavin Wood, a British programmer, co-founded the project and contributed to the design and implementation of its smart contract language, Solidity. Joseph Lubin, an American entrepreneur, co-founded Ethereum and went on to establish ConsenSys, a blockchain software technology company that focuses on building decentralized applications.

What are some notable events in the history of Ethereum?

• July 22, 2015: Ethereum is launched through its initial coin offering (ICO), raising over 31,000 BTC (worth around $18.4 million at the time).
• July 30, 2015: The first block of the Ethereum blockchain, known as the Genesis block, is mined.
• July 20, 2016: The Ethereum network undergoes a hard fork, resulting in the creation of Ethereum Classic (ETC) after a disagreement over the handling of a hack on the DAO (Decentralized Autonomous Organization).
• June 17, 2017: The price of ether reaches an all-time high of over $400.
• October 16, 2017: The Byzantium hard fork is implemented, marking the first phase of the Metropolis upgrade for Ethereum.
• December 17, 2017: Ether reaches its peak price of around $1,400 during the cryptocurrency market bull run.
• February 28, 2019: The Constantinople hard fork introduces various improvements to the Ethereum network.
• March 11, 2020: The Ethereum network experiences significant congestion and transaction fees skyrocket due to increased demand and the rise of decentralized finance (DeFi) applications.
• July 30, 2020: Ethereum 2.0 is announced, outlining the transition from a proof-of-work to a proof-of-stake consensus mechanism to improve scalability and energy efficiency.
• December 1, 2020: The Beacon Chain, the first phase of Ethereum 2.0, is launched, marking the beginning of the transition to proof of stake.
• May 19, 2021: The price of ether reaches a new all-time high of over $4,300, driven by increased institutional adoption and the growing popularity of decentralized finance.
• August 5, 2021: The London hard fork is implemented, introducing the Ethereum Improvement Proposal (EIP) 1559, which aims to improve transaction fees and supply dynamics.
• September 15, 2021: The Ethereum network undergoes The Merge, transitioning from proof of work to proof of stake with the integration of the Ethereum 2.0 Beacon Chain and the original Ethereum chain.