Ethereum code is an open software platform used for enabling developers to build and deploy decentralized applications. It is based on blockchain technology. Ethereum was developed by a cryptocurrency researcher and programmer. It can be transferred between two accounts and also it is used to compensate mining nodes for the computations performed. There is a machine called Ethereum Virtual Machine, which can execute an international network of public nodes.
Ethereum was divided into two separate blockchains.
- A new version called Ethereum(ETH)
- The original version called Ethereum Classic(ETC)
Ether is basic cryptocurrency which provides a distributed ledger for the transactions in the operation of Ethereum. It is also used for paying the transaction fees and the computational services on the ethereum network.
Characteristics of ethereum code:
The validity of each ether is provided by a blockchain. The blockchain is nothing but the continuously growing list of records. Here, the records are called Blocks, which are linked and protected using cryptography. Ethereum usually operates the accounts and balances in a way called state transitions. State indicates the present balances of all accounts and extra data. There is a wallet named “Cryptocurrency wallet” that stores the private and public keys or addresses which are used to send or receive ether. Ethereum addresses are denoted with the prefix “0x” which is commonly used to identify a hexadecimal digit.
Difference between Ethereum code and bitcoin:
Ethereum code and bitcoins are not similar. It has some differences between them. Let us take a close look at those difference.
- Currency issuance:
Ethereum will create three new ether every 15 seconds, whereas, bitcoin creates 112.5 new bitcoins every 10 minutes.
- Currency cap:
Ethereum has no cap for currency production, but bitcoins can produce only 21 million bitcoins.
- Creation of block:
Ethereum creates new block every fifteen seconds whereas bitcoins can create new block every ten minutes only.
- Scripting language:
Ethereum has a scripting language known as Turing-complete and the programs are written in this language are called “Small contracts. While bitcoin has a scripting language that is very limited in the functionality with only some operations in it.
- Cost of transaction:
Ethereum cost is generally called “gas” for the use of storage on the blockchain and a bitcoin cost is based upon the size of the transaction.
- Size of the block:
Ethereum blocks are capped by the size of the gas whereas blocks of bitcoins are limited to 1MB in their size.
- Account types:
Ethereum code has two types of account, one for fund of users and the other for holding the code of the computer. Bitcoin has only one address code of its own.