In essence, Ethereum is a platform in the cryptocurrency market, which was launched in 2015 and helps create applications that are operated on blockchain. Although Ethereum popularity rose and declined within a year after its launch, it still holds the second position in the market after Bitcoin. But Ethereum comes with several factors that make it significant despite the changes, and here are some of the reasons why it is doing so well in the crypto market.
One of the things that make Ethereum stand toe to toe with the competition is that it is decentralized, just like Bitcoin, but the currency has the potential to be even more successful. The fact that it is decentralized makes it waterproof, since every participant doubles as both a server and a client, giving it resilience and security. This keeps hackers at bay, as well as ensuring no downtime in case technical difficulties.
Besides, another aspect of blockchain that makes Ethereum strong is the integrity of data. In this case, anyone can access records of any transactions ever made on the network, and locate the sender and receiver. Not forgetting, the records cannot be altered, making them safe all the time. This strategy makes it impossible for someone to use coins that they don’t have, which makes it ideal for payment protocol.
However, some developers have noticed this efficiency is not only about an instance of one simple use since keeping a registry comes with added security and efficiency of blockchain. This comes down to domain names, business contracts, and records of ownership among other essentials.
Although developers have already tried producing new apps using the blockchain theory, both have proved inefficient. At first, the idea was to create an app on top of Bitcoin, but the script is incapable of solving problems that other programming languages would otherwise solve with ease. This means developers have to improvise to get the desired results. Another idea was to develop, launch, and promote an alternative chain, which means missing the opportunity to use the significant power that Bitcoin network has up its sleeve.
Hence, the option of running blockchain remains the only resort, but this is costly and cannot work for every app. Despite all the downfalls, Ethereum has apparently come up with an answer through the…