The arrival of Bitcoin as a new turn within the financial system in general and the monetary market in particular, opening the millennia of cryptocurrencies. A series of financial, monetary, economic activities are under direct, indirect influence of this occurrence.
By the end of 2013, the Bitcoin developer, Vitalik Buterin, wanted to build decentralized applications, argued that Bitcoin needed a scripting language for application development. Nevertheless, without reaching a compromise with the Bitcoin development team, he proposed developing a new platform with a more general scripting language, which is Ethereum.
Known as a distributed, public, open source platform based on Blockchain technology, Ethereum has a feature of creating smart contracts that facilitates online contract deals. In addition, this platform includes a fully virtual Turing – Ethereum Virtual Machine (EVM), which can execute scripts using an Ethereum computer network. At the same time, Ethereum also provides a crypto-currency called “Ether,” which can be transferred between accounts and used to pay miners to do the calculations. The internal transaction price mechanism for Ethereum is referred to as “GAS” for the purpose of minimizing waste transactions and allocating resources on the network.
Ethereum was proposed in late 2013 by Vitalik Buterin, a pre-coder, and programmer. However, by 2016, Ethereum was split into two, the minority changed its name to Ethereum Classic and the majority was Ethereum.
How Ethereum differs from Bitcoin
In terms of origin, Bitcoin is created as a currency and to store value. Ethereum was created as a distributed platform for smart deal dispersion. One point to note is that Bitcoin can also handle smart contracts and vice versa. Compared to Bitcoin, Ethereum has some of the more advanced features in the following:
Recently, most projects favor Ethereum because of its community-based nature. Ethereum is an open source based on Blockchain technology, so everyone can use Ethereum, creating tokens and virtual wallet for themselves, the participant using that electronic currency is also a member of that community. The more people use it, the bigger the community will expand.
As analyzed from the outset, the development of cryptocurrencies is accompanied by economic activity, thus the application of Ethereum’s features to create an e-commerce transactional system with cryptocurrencies, archived by e-wallet is considered one of the most promising business models. Meanwhile, it holds the ability to overcome the disadvantages of traditional e-commerce. JCW Blockchain Venture is a project dedicated to investing in blockchain technology startups with the goal of developing a global decentralized e-commerce ecosystem. Along with financial resources, startups are also supported by the Blockchain platform, such as electronic payment gateways, loyalty reward schemes, built-in smart contract modules, etc.
In recent years, the competition between two types of currency has become increasingly intense. According to experts, although Bitcoin is currently the safest choice, Ethereum is still the biggest rival and can be more popular in the future.