How is Ethereum similar to Bitcoin?
I think it’s easiest to understand Ethereum by exploring the similarities and differences between Ethereum and a simpler system, Bitcoin. So what are the similarities?
Ethereum has a blockchain
Like Bitcoin, Ethereum has a blockchain, which contains blocks of data (transactions and smart contracts). The blocks are created or mined by some participants and distributed to other participants who validate them.
You can explore this blockchain here: https://etherscan.io
Blocks form a chain by referring to the hash or fingerprint of the previous block. See a gentle introduction to blockchain technology for a primer.
Ethereum is public and permissionless
Like Bitcoin, the main Ethereum network is a public, permissionless network – ie anyone can download or write some software to connect to the network and start creating transactions and smart contracts, validating them, and mining blocks without needing to log in or sign up with any other organisation.
In general, when people talk about Ethereum they mean the main public permissionless instance (version) of the network. However, like Bitcoin, you can take Ethereum software, modify it slightly and create private networks that aren’t connected to the main public network. The private tokens and smart contracts won’t be compatible with the public tokens though, for now. For more on the difference between public permissionless and private permissioned networks, see confused by blockchains? Revolution vs Evolution
Ethereum has Proof-of-Work (PoW) mining
Like Bitcoin, mining participants create valid blocks by spending electricity to find solutions to a mathematical puzzle. Ethereum’s PoW maths challenge called Ethash works slightly differently to Bitcoin’s, and this allows common hardware to be used for mining. This reduces the efficiency edge of task-specific hardware known as ASICs, which are common in Bitcoin mining.
For more on mining see a gentle introduction to bitcoin mining.
On Ethereum’s roadmap there is a plan to move from electricity-expensive Proof-of-Work mining to a more energy-efficient Proof-of-Stake protocol called Casper, in a future release of the Ethereum software called Serenity.
Ethereum has an inbuilt cryptocurrency
Ethereum’s token is called Ether, shortened to ETH. This is a cryptocurrency that can be traded for other cryptocurrencies or other sovereign currencies, just like BTC. Its current value is around US$13 per ETH token (Oct 2016). Token ownership is tracked on the Ethereum blockchain, just like BTC ownership is tracked on Bitcoin’s blockchain, though at a technical level they track them in slightly different ways.
For more on cryptocurrencies and tokens see a gentle introduction to digital tokens.
bitcoin source получить bitcoin ethereum 1070 ethereum bonus bitcoin 123 ethereum валюта eos cryptocurrency ethereum transactions 1080 ethereum bitcoin валюты исходники bitcoin mining ethereum порт bitcoin monero logo lealana bitcoin yota tether бесплатные bitcoin free monero Verification and privacyreddit bitcoin
conference bitcoin
bitcoin цены bitcoin api hd7850 monero форк bitcoin bitcoin nodes создать bitcoin
цена ethereum bitcoin invest film bitcoin monero pro
ethereum transactions monero настройка wirex bitcoin
ethereum cryptocurrency python bitcoin новости monero bitcoin obmen
цены bitcoin bitcoin регистрации ethereum supernova gek monero bip bitcoin ethereum эфириум
withdraw bitcoin особенности ethereum flypool ethereum конец bitcoin txid bitcoin
bitcoin xt
bitcoin инвестиции bitcoin server hourly bitcoin monero xeon happy bitcoin bitcoin conf bitcoin лайткоин
programming bitcoin bitcoin wm flypool ethereum bitcoin passphrase bitcoin marketplace tether limited bitcoin ротатор tether coin bitcoin motherboard перевод bitcoin bitcoin перевод монета ethereum adc bitcoin bitcoin account обменять monero bitcoin loto bitcoin node рубли bitcoin bitcoin qazanmaq happy bitcoin the ethereum tether приложения top tether bitcoin пул monster bitcoin вывести bitcoin monero hardware bitcoin icons bitcoin anonymous bitcoin javascript bitcoin вирус bitcoin market
bitcoin лотереи nicehash monero форки ethereum
monero обмен bitcoin информация cc bitcoin ethereum stats site bitcoin bitcoin cgminer bitcoin коды капитализация ethereum капитализация ethereum настройка bitcoin bitcoin pdf china cryptocurrency monero обменять bitcoin автоматически 60 bitcoin иконка bitcoin bitcoin sha256 xmr monero bitcoin сигналы bitcoin eobot connect bitcoin bitcoin buying bitcoin mining bitcoin nodes статистика bitcoin bitcoin utopia
ethereum game bitcoin скачать заработок bitcoin bitcoin site ethereum com майнить bitcoin
bistler bitcoin bitcoin mercado bitcoin avalon vk bitcoin bitcoin double bitcoin dollar average bitcoin monero proxy обналичить bitcoin bitcoin payeer
tether usb bitcoin fields tether usd
платформа ethereum
boom bitcoin bitcoin япония decred cryptocurrency bitcoin segwit2x today bitcoin bitcoin qr bitcoin чат balance bitcoin start bitcoin bitcoin avalon ethereum вики monero core bitcoin in bitcoin explorer контракты ethereum blockchain ethereum
bitcoin desk
bitcoin banks ethereum картинки loco bitcoin my ethereum bitcoin wm
wild bitcoin bitcoin прогноз faucet cryptocurrency bitcoin порт котировки ethereum bitcoin ocean monero вывод donate bitcoin ethereum заработок bitcoin instagram
ethereum news кости bitcoin
bitcoin рубли капитализация bitcoin bitcoin calculator abc bitcoin bitcoin escrow
bitcoin лучшие bitcoin coins bitcoin brokers rx470 monero bitcoin calc github bitcoin
описание bitcoin bitcoin wallpaper
avto bitcoin bcc bitcoin bitcoin block cudaminer bitcoin bitcoin xl биржи bitcoin бесплатно bitcoin go ethereum bitcoin abc konvert bitcoin Blockchain Interview Guidecrashes, or there is a widely held fear that it might do so, there arebitcoin бесплатные net bitcoin bitcoin unlimited monero обмен обменник bitcoin
wild bitcoin bitcoin half bitcoin legal bitcoin freebitcoin bitcoin android ethereum russia bitcoin etherium bitcoin cap зарегистрироваться bitcoin генераторы bitcoin polkadot store bitcoin update ethereum metropolis reddit cryptocurrency bitcoin monkey bitcoin instagram фонд ethereum bitcoin вклады bitcoin clicks bitcoin pay Obviously, the choice of which coin to stake is paramount. This may be influenced by the historical returns, the functionality and development expectations of the blockchain itself. It is also important to note whether your stake is subject to a lockup period or not. The technical requirements and knowledge needed to stake are also a factor. As mentioned already, there are usually penalties involved if those staking on the network do not maintain their infrastructure properly. This may be a challenge for some with less technical background, making it more attractive to use a staking service provider. However, a provider will usually charge a percentage fee from the rewards earned.автомат bitcoin time bitcoin
bitcoin коллектор bitcoin avto
системе bitcoin mineable cryptocurrency bitcoin split bitcoin страна genesis bitcoin
логотип ethereum компания bitcoin курс ethereum bitcoin example ethereum видеокарты
bitcoin node клиент ethereum
ethereum flypool bitcoin 99 ethereum blockchain платформу ethereum ethereum википедия bitcoin проверить bitcoin торговля ebay bitcoin
ethereum plasma logo bitcoin заработка bitcoin china bitcoin ethereum client flypool ethereum bitcoin карты bitcoin air рост bitcoin ethereum заработок
service bitcoin film bitcoin pplns monero ad bitcoin bitcoin base Learning how to invest in Ethereum will help you when investing in some other cryptocurrencies (such as Bitcoin and Litecoin). They follow a similar process. First, you need to use a broker or P2P exchange. Then, once you’ve purchased your coins, you need to send them to a secure wallet.bitcoin mail platinum bitcoin bitcoin openssl карты bitcoin bitcoin development autobot bitcoin вики bitcoin биржи monero bitcoin parser bitcoin stock
blue bitcoin bitcoin экспресс neo bitcoin claim bitcoin avto bitcoin bubble. They are more right than they know.Today, bitcoin mining is so competitive that it can only be done profitably with the most up-to-date ASICs. When using desktop computers, GPUs, or older models of ASICs, the cost of energy consumption actually exceeds the revenue generated. Even with the newest unit at your disposal, one computer is rarely enough to compete with what miners call 'mining pools.'ethereum хешрейт
bitcoin escrow bitcoin banks bitcoin play
vizit bitcoin bitcoin farm tx bitcoin bitcoin официальный polkadot stingray ethereum сайт bitcoin cgminer bitcoin apk сеть ethereum
bitcoin обзор перевести bitcoin bitcoin brokers dag ethereum bitcoin андроид bitcoin 600 bitcoin ethereum asic bitcoin спекуляция отзыв bitcoin bitcoin ann solo bitcoin bitcoin 4096 рулетка bitcoin брокеры bitcoin cold bitcoin проверка bitcoin game bitcoin
bitcoin machines bitcoin wordpress sberbank bitcoin
bitcoin analysis avalon bitcoin bitcoin facebook bitcoin course банк bitcoin перспективы bitcoin masternode bitcoin cgminer monero bitcoin satoshi ethereum заработать bitcoin вложить купить bitcoin buy tether bitcoin сети вывод bitcoin bitcoin youtube bitcoin цены
bitcoin математика ethereum contract обменник bitcoin bitcoin пирамида supernova ethereum monero hashrate bitcoin 1000 bitcoin бонус Operating this computer hardware incurs an expense, first in the form of the hardware, and then in the form of electricity consumed by the hardware. Thus, miners must be confident that their cryptocurrency rewards will be valuable in the future before they will be willing to risk the capital to mine them. This confidence is typically rooted in the abilities and ideas of the core developers who build the software protocols the miners will follow. As time goes on however, the miners recoup their expenses and make a profit, and may lose interest in a given network.poloniex monero
tether bootstrap создать bitcoin moneypolo bitcoin форумы bitcoin chaindata ethereum cryptocurrency trading
ethereum dark bitcoin лучшие 22 bitcoin lucky bitcoin bitcoin fpga
bitcoin рухнул курс ethereum
ethereum plasma monero купить bitcoin минфин
bitcoin create bitcoin official flappy bitcoin korbit bitcoin ethereum алгоритмы doubler bitcoin
пирамида bitcoin bitcoin spinner bitcoin форк bitcoin принцип air bitcoin bitcoin новости
bitcoin cloud source bitcoin bitcoin x2
bitcoin терминалы токен bitcoin lootool bitcoin bitcoin fire bitcoin agario обменник bitcoin спекуляция bitcoin bitcoin drip r bitcoin keystore ethereum bitcoin кредиты bitcoin change android tether fpga bitcoin bitcoin проверить bitcoin otc coinmarketcap bitcoin
skrill bitcoin ropsten ethereum обменять ethereum This is quite a difficult question to answer accurately. One approach is to count how many bitcoin clients connected to the network in the last 24 hours. We can do this because some clients transmit their addresses to the other members of the network periodically;суть bitcoin kinolix bitcoin fpga ethereum bitcoin поиск ethereum прогнозы форк ethereum Before exploring how Ethereum mining works, it’s important to understand why mining exists at all. There are a couple of key reasons:As soon the vote is added to the public ledger, the information can never be erasedcryptocurrency magazine 00 : blitz bitcoin стоимость ethereum bitcoin chain bitcoin магазины ethereum пулы заработок bitcoin цена ethereum rx580 monero ethereum картинки bitcoin анализ bitcoin парад bitcoin investing валюты bitcoin antminer bitcoin dat bitcoin криптовалюта tether mt5 bitcoin bitcoin расчет биржи bitcoin китай bitcoin
bitcoin машина in bitcoin 6000 bitcoin bitcoin faucet продать monero ethereum clix обналичивание bitcoin bitcoin продажа checker bitcoin биржа ethereum ethereum mining euro bitcoin bitcoin pizza
bitcoin playstation monero сложность bitcoin plus direct bitcoin ethereum habrahabr bitcoinwisdom ethereum reverse tether
ethereum asic
anomayzer bitcoin bitcoin fpga сервисы bitcoin tether bitcointalk bitmakler ethereum bitcoin фильм bitcoin аккаунт
bitcoin usd instaforex bitcoin bitcoin usd bitcoin scripting bitcoin кошелька bitcoin novosti поиск bitcoin bitcoin вложения bitcoin майнер homestead ethereum сети bitcoin ethereum сайт bitcoin удвоитель акции bitcoin bitcoin миллионеры кошелек tether bitcoin fields ethereum пулы
bitcoin автомат ethereum кран bitcoin billionaire
mine ethereum bitcoin bitrix poloniex bitcoin bitcoin inside ethereum продам Mined By:a situation that 'occurs when two or more blocks have the same block height':glossaryкошелек monero bitcoin usa clicks bitcoin bitcoin update пополнить bitcoin bitcoin spinner криптовалюта tether 1080 ethereum bitcoin airbit bitcoin poloniex bitcoin metatrader ethereum bonus monero 1060
bitcoin wsj antminer bitcoin bitcoin bbc ethereum клиент ethereum claymore
byzantium ethereum bitcoin gambling форумы bitcoin партнерка bitcoin выводить bitcoin bitcoin legal amd bitcoin nodes bitcoin Bitcoin gains more legitimacy among lawmakers and legacy financial companies. For example, Japan passed a law to accept bitcoin as a legal payment method, and Russia has announced that it will legalize the use of cryptocurrencies such as bitcoin.index bitcoin bitcoin оборот bitcoin развитие ethereum контракт r bitcoin xbt bitcoin rotator bitcoin bitcoin ira bitcoin автокран адрес bitcoin bitcoin database bitcoin проблемы monero transaction
bitcoin vk проекты bitcoin bonus bitcoin mt5 bitcoin ethereum ann bitcoin bux 16 bitcoin bitcoin status keys bitcoin получить ethereum
cryptocurrency ico bitcoin coinmarketcap qtminer ethereum bitcoin attack bitcoin блок
bitcoin options china bitcoin bitcoin значок ethereum transaction ethereum homestead
андроид bitcoin code bitcoin bitcoin описание bitcoin dice ethereum rotator buy ethereum аналитика bitcoin bitcoin алгоритмы обучение bitcoin bitcoin hashrate bitcoin download брокеры bitcoin валюты bitcoin
ethereum проблемы bitcoin расчет alliance bitcoin
bitcoin safe книга bitcoin эфириум ethereum iso bitcoin scrypt bitcoin bitcoin презентация monero сложность bitcoin pattern reklama bitcoin nanopool monero Conclusionbitcoin ставки bitcoin red фото bitcoin bitcoin goldmine bitcoin автоматически cryptocurrency wallets bitcoin poker block ethereum bitcoin blender opencart bitcoin segwit2x bitcoin bitcoin usd monero майнить