An Introduction to Ethereum and Smart Contracts

An Introduction to Ethereum and Smart Contracts

May 22, 2018

Ethereum is now the world’s second-largest digital currency Etrémor was introduced by Vitalik Buterin Vitalic Bouterie in late 2013 and competed in early 2015, and less than two years, the price changed from 1 dollar to 1000 dollar. Ethereum’s working system is similar to other digital currencies based on the blocking technology of China, but […]

Ethereum is now the world’s second-largest digital currency

Etrémor was introduced by Vitalik Buterin Vitalic Bouterie in late 2013 and competed in early 2015, and less than two years, the price changed from 1 dollar to 1000 dollar.

Ethereum’s working system is similar to other digital currencies based on the blocking technology of China, but there is a major difference between Bitcoin and Ethereum, which is the amount of Ethereum is not limited.

Another important difference between Ethereum and Bitcoin is that Ethereum allows users to run their applications on the network, and this is a very amazing and innovative feature.

The Ethereum platform can be used as a platform for digital transferring, as well as a platform for online smart contract processing.

It might seem a bit confusing if we want to give a simple example. Difference between Ethereum and Bitcoin is just like the difference between an open operating system with thousands of applications and a limited operating system with a limited program.

Simply put, Bitcoin is a fixed-term application with block chaining technology, but the Ethereal core is designed like Windows, while Ethereum itself is on this core, others are also able to design different applications and build on this core.

What is token?

With the advent of the phenomenon called Etherium Tokens, Tokens are actually digital ones that do not use a dedicated blockbuster program but use open blocks like Ethereum. One of the great features that Etherium has provided is the possibility of Registering Smart Contracts.

What does smart contract mean?

An intelligent contract is a contract that the parties to the contract, as soon as agreement and the start of execution, are not concerned about the failure to fulfill the obligations of the other party because the contract will continue to operate automatically and intelligently after it is executed.

The smart contract is like ordinary paper contracts, but all of this is digitally executed on a block diagram platform, in fact, an intelligent contract like an application is installed on an operating system called Block Chain.

In the traditional system, it ensures the implementation of the contract with third parties and governments. You sign an agreement with someone else. If the person does not comply with his obligations, you must comply with the law through the law, but in intelligent contracts, everything will be done automatically, and there is no longer any violation or failure to fulfill obligations

The blocking technology of China allows smart contracts to be irreversible. This means that if the intelligence contract is concluded in this network it cannot be reversed and continue automatically on its path because the system is decentralized and the central, as a result, the possibility of contract cancellation reaches zero.

An example:

Suppose you borrow from a bank and allow the bank to automatically withdraw money from your account at the time of the agreement. On the other hand, the bank also knows that you will be paid $ 2,000 per month to your account by the employer. Therefore, the contract is set to automatically charge $ 500 on your first account every month, and this will continue until your mortgage is settled. This is an intelligent contract that is enforceable by software systems. The China Ethereum Block System will also have the ability to write BlockChina Ethereum to set up contracts with solidity language.

Another example: You might have seen shops in the city or hotels or airports

You enter a piece of coin from one side to the other and by selecting a button, for example, you choose a drink. Well, it’s an intelligent, non-intermediary contract called the vendor. The device is designed to recognize your money and knows which one you want the product and deliver the same product to you. This process is also an irreversible process. You can no longer deliver the beverage machine and get the money.

In the blockade system, smart writes are programmed into programming languages and then run on the network. These contracts are irreversible. The good thing about this is that there is no central block in the blockades, and once the contract is started, it is either contracted or it’s better to say the software is distributed throughout the network and is available to all users.

Related Posts

Money, Bitcoin, and Geopolitics; China Vs. USA

Money, Bitcoin, and Geopolitics; China Vs. USA

What is Bitcoin, and how does it work? Bitcoin is a decentralized digital currency that enables users to invest money without dealing with a bank or government. Users generate the coins by “mining” them by lending a computing lever to validate the transactions of many participants. So, as a result, They get paid with bitcoins. […]

A brief history of Bitcoin

A brief history of Bitcoin

The concept of a digital currency is not novel. Many attempts to create a cryptocurrency have been made in the past. The biggest thing that most of them had was the matter of double-spending. To avoid copying and effectively to counterfeit a digital asset, it must be available only once. We will start our discussion […]

Whatever you should know about Bitcoin Cash

Whatever you should know about Bitcoin Cash

Table of Contents1 Whatever you should know about Bitcoin Cash2 All should we know about the digital exchange platform (Hard Fork)2.1 What is the main difference between Bitcoin cash and Bitcoin? Whatever you should know about Bitcoin Cash We addressed with regard to digital currencies in the previous articles and we are going to introduce you another […]

Review of Cryptocurrency (Bitcoin) From the Financial Perspective

Review of Cryptocurrency (Bitcoin) From the Financial Perspective

A Brief Perspective of Cryptocurrency  We accept all leading Cryptocurrencies as a payment method, and currently, Bitcoin is available for withdrawal. Click to visit all acceptable Cryptos. The dramatic growth of Cryptocurrencies has boomed its market and increased the overall volume. These types of money are virtual in nature and it is claimed that they have the […]

Add your Comment

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Comments