Ethereum is the largest decentralized platform enabling the development of smart contracts and decentralized applications on a blockchain, which ensures transparency and security. Ether, the platform's cryptocurrency, is used for transactions and computation on the network and is highly volatile. The document compares Ethereum to Bitcoin, highlighting key differences such as hashing algorithms, transaction speeds, and block reward structures.

1. Ethereum
The Future of Decentralized Apps

2. About Ethereum Project
Ethereum is the largest decentralized software platform that allows you to build
smart contracts and decentralized applications without any downtime and without
any third party interference.
It forms a decentralized and Peer-to-Peer network where all the applications run
on a public ledger called blockchain.
Blockchain also provides transparency to the users and prevents the network from
various fraudulent attempts and hackers looming around the internet.

3. What Is A Blockchain?
A blockchain public ledger that keeps a shared record of all the transactions
distributed over a vast network of users.
It is truly decentralized network and doesn’t require any intermediate system for
the exchange of services.

4. A blockchain is comprised of a series of data blocks wherein each block stores a
small patch of transactions made by the users. All these data blocks are chained
together electronically using a top-tier form of cryptography. Thus, all the blocks
together form a permanent and tamper-proof public record of each and every
transaction happened in the network. In a blockchain, every user is connected in
such a way that his/her data is made visible to every other user in that blockchain
without revealing their identity. To make it more simple, blockchain provides a
total transparency to the users.
How Blockchain Works?

5. A Smart Contract is basically a computer protocol that enforces the negotiation
between two exchanging parties.
it more simple, it makes up a contractual clause between two parties. It
automatically verifies the contract and executes the agreed terms.
Ethereum is the largest decentralized platform that allows you to build unlimited
Smart Contracts using Command line
Smart Contract

6. Decentralized Applications
An application will be called Decentralized if it incorporates following features:
★ The application must be completely open-source, it must operate
autonomously, and with no entity controlling the majority of its tokens.
★ The application's data and records of operation must be cryptographically
stored in a public, decentralized blockchain in order to avoid any central
points of failure.
★ The application must use a cryptographic token which is necessary for access
to the application.
★ The application must generate tokens according to a standard crytptographic
algorithm acting as a proof of the value nodes are contributing to the
application

7. Ether, The Fuel For Ethereum
Ether is the digital token used by Ethereum. It is also used to pay transaction fees
and other computational services on the Ethereum Network.
Ether is also used as a cryptocurrency and is traded on various exchanges just like
bitcoin.
It is the second most popular cryptocurrency in the world and has a market
capitalisation of 950 million USD.
The price of Ether token is also volatile just like other cryptocurrencies and it
keeps fluctuating every minute.

8. Ether Wallet
Ether wallet is a virtual wallet, basically a mobile or web application that lets you
store your ether tokens.
An Ether Wallet also provides several other facilities like sending your ethers to
another wallet address or receiving ethers from outside sources. You can also
keep a track of all your transactions.
Many wallet providers have also released web browser extensions of their
respective wallets and some are going to release a hardware version as well which
will be a USB stick that you can plug into any computer.

9. How New Ether Tokens Are Created?
The process of discovering and producing new ether tokens is called Mining. Ether mining is
very similar to the bitcoin mining except for the block halving and rewarding scheme offered
to the miners.
The person who mines or produces an ether, bitcoin or any other cryptocurrency is called
Miner. The miners solve complex mathematical problems on their computers using
advanced software tools and dedicated hardware chips called ASICs.
The main idea is to create a new block which gets added to the existing blockchain. Each
block contains a list of all the recent transactions happened within the bitcoin network.

10. Ethereum Virtual Machine is a computer software which runs at an abstraction
layer straight above the underlying hardware. Ethereum uses a Turing Complete
Virtual Machine for running and compiling the codes.
For this reason, Ethereum Virtual Machine is also called Turing Complete Virtual
Machine. The term “Turing Complete” flaunts that this software is adroit enough
to run any code defined by the developer or user.
Ethereum Virtual Machine (EVM)

11. Solidity, The Language Behind Ethereum
Solidity is one of the two main programming languages that are specifically
designed to target the Ethereum Virtual Machine or EVM. The other one is Serpent.
All the Ethereum based applications and Smart Contracts are written in Solidity.
Solidity was initially proposed in August 2014 by Dr. Gavin Wood and it was later
developed by the Ethereum project's Solidity team, lead by Dr. Christian
Reitweissner.

12. Solidity vs JavaScript
Solidity uses a whole new framework but it is very similar to the popular
JavaScript. Some points of difference between the two are given below.:
★ Solidity is kind of an Object Oriented (OO) language just like C++ and C#,
whereas Javascript is based on HTML.
★ Solidity is designed specifically for Ethereum applications and it runs only on
the Ethereum blockchain whereas JavaScript is a universal language for the
web and is being used in a large number of applications.
★ In case of solidity, the final result is available on every node within the
blockchain network. In contrast to this, the result is only available on a single
node in case of JavaScript.

13. Ethereum vs Bitcoin
One of the main reasons of Ethereum increasing popularity is its constant
comparison with bitcoin. Although Ethereum is built on bitcoin protocol, there are
many differences between the two.
★ Both Ethereum and bitcoin use different hashing algorithms. While Bitcoin
uses SHA-256 algorithm that produces a number in hexadecimal format,
Ethereum uses Ethash algorithm.
★ Ethereum uses a Ghost Protocol that fends off the use of centralized pool
mining. Whereas bitcoin still employs the pool mining concept.

14. ★ The pre-set block time in Bitcoin is 10 minutes whereas in Ethereum, the
block time is of 12 seconds. So consequently, while bitcoin transactions
normally take a few minutes to be cleared, the Ethereum transactions are
cleared almost instantly and in matter of seconds.
★ Ethereum uses a Turing Complete programming language and a Turing
Complete internal code owing to which almost anything can be calculated by
just providing sufficient computing power and a particular time period.
★ Bitcoin block rewards halve every 4 years whilst Ethereum releases the same
amount of Ether each year ad infinitum.
Ethereum vs Bitcoin Contd.

15. Other Projects Similar To Ethereum
Maidsafe
Counterparty
Lisk
Rootstock
Tauchain

16. MAIDSAFE
MaidSafe (Massive Array of Internet Disks - Secure Access For Everyone) is an
open-source program that enables a decentralized internet platform. Instead of
specialized servers, data is stored and distributed by a network of
internet-connected computers supplied by network users. MaidSafe handles the
allocation of hard disk space and communication between the computers. Data
stored on the network is either encrypted or cryptographically signed by
MaidSafe-connected applications. The network itself cannot decrypt any of the
data. Users providing storage space, cpu power and bandwidth to the network
earn Safecoin, a digital currency that can be used to store information on the
network

17. Counterparty
Counterparty is an innovative platform for peer-to-peer markets and financial
instruments. Unlike Wall Street and other centralized financial institutions,
Counterparty provides open, secure financial tools and markets that do not require
a trusted third party or middleman to use. Counterparty aims to decentralize and
democratize finance in the same way the Internet itself has done with creation and
sharing of information.
The platform is built on top of Bitcoin, and extends the functionality of the Bitcoin
network in new and unprecedented ways. With Counterparty, anyone with an
Internet connection gains access to financial instruments that were previously
cost prohibitive or not available at all.

18. Lisk is the first DAPP platform which encompasses the concept of sidechains to
extend the scalability of the system without undermining the overall speed and
performance. But now the question arises, What exactly is a sidechain? And what’s
the benefit of using a sidechain?
To be precise, sidechain is an independent cryptographic ledger that is linked
directly to the main blockchain without jeopardizing its speed and performance.
Sidechains are developed solely to enhance the scalability of the existing
blockchain network. Each sidechain is customizable and they are protected by a
group of 101 master nodes. These master nodes use the same proof-of-stake
(PoS) mechanism as used by the parent Lisk network.
Lisk

19. Rootstock
Rootstock is the first open-source smart contract platform with a 2-way peg to
Bitcoin that also rewards the Bitcoin miners via merge-mining, allowing them to
actively participate in the Smart Contract revolution. RSK goal is to add value and
functionality to the Bitcoin ecosystem by enabling smart-contracts, near instant
payments and higher-scalability.
RSK can scale far beyond Bitcoin in its current state. RSK scales to 100
transaction per second (same level as Paypal) without sacrificing decentralization
and reducing storage and bandwidth usage using probabilistic verification and
fraud proofs, as well as blockchain sharding techniques.

20. Tauchain
Tauchain or simply T-chain is yet another project that aims to foster the use of
P2P network having three unified faces, i.e Rules, Proofs and Computer programs.
The Tauchain developers claim that Ethereum’s Turing Complete nature is not
taking the users to a right direction.
Ethereum’s present model essentially requires a crypto asset or digital coin known
as Ether but Tauchain doesn’t need it. The Tauchain users can agree on certain
economic characteristics of the network. The users can outline any kind of
incentive over their local Tau client.

21. Thank You
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