Ethereum is a decentralized global software platform that uses blockchain technology to support application development and conduct financial transactions securely and transparently. 

Launched in 2015, Ethereum is not only a cryptocurrency like Bitcoin but also a platform for dApps and smart contracts. To better understand Ethereum and decide whether you should invest in ETH or not, follow the AZcoin article.

What is Ethereum?

Ethereum was introduced by Vitalik Buterin in 2014 and officially launched in 2015. What sets Ethereum apart from Bitcoin is the integration of smart contract capabilities into its blockchain.

Smart contracts are programs that execute themselves when pre-defined conditions are met. This allows Ethereum to not only handle monetary transactions but also support the development of other complex applications.

How does Ethereum work?

Ethereum uses blockchain technology, a distributed ledger to record all transactions and ensure transparency. The Ethereum blockchain not only stores transaction information but also provides an environment for deploying and executing smart contracts. These contracts automatically execute their terms when conditions are met, without the need for third-party intervention. 

Additionally, Ethereum supports various applications, including blockchain art, by enabling the creation and exchange of digital assets and NFTs. Ethereum has moved from a PoW to a PoS consensus mechanism with the goal of reducing energy consumption and increasing efficiency. In PoS, validators need to stake a certain amount of ETH to be able to validate transactions and create new blocks.

Comparing Ethereum and Bitcoin

While both Ethereum and Bitcoin are cryptocurrencies, they serve different purposes. Bitcoin is primarily used as a digital currency and store of value, while Ethereum also serves many other functions, such as building decentralized applications and executing smart contracts. 

Ethereum versatile platform supports innovations like NFT ownership, allowing users to create and manage digital assets and collectibles. Additionally, Ethereum processes transactions faster than Bitcoin, with an average block time of about 12 seconds compared to Bitcoin’s 10 minutes.

Advantages and disadvantages of Ethereum

Ethereum is one of the most popular blockchain platforms today, with many notable advantages and disadvantages:

Advantages

• Decentralization: Ethereum is not controlled by any third party, which ensures transparency and security.
• Smart contracts: Ethereum allows the implementation of smart contracts, which automate and secure transactions without human intervention1.
• Decentralized applications: The platform supports the development and deployment of decentralized applications, opening up new opportunities in areas such as finance, healthcare and supply chain management.
• Large community: Ethereum has a large global community and is the largest ecosystem in blockchain and cryptocurrency.
• Scalability: With the transition to PoS consensus mechanism, Ethereum has improved scalability and reduced transaction fees.

Disadvantages

• High transaction costs: Ethereum popularity has led to high transaction costs, known as "gas" fees, which can fluctuate and increase significantly during times of network congestion.
• Network congestion: As the number of transactions increases, the Ethereum network can become congested, leading to longer transaction processing times.
• Security issues: Ethereum has experienced major hacks such as the DAO hack (2016) and the Parity hack (2017), which resulted in millions of dollars in losses.

Detailed information about ETH tokens

Key metrics ETH tokens

🍥 Token name: Ethereum

🍥 Coin code on the exchange: ETH

🍥 Blockchain: Ethereum

🍥 Token type: Utility & Governance

🍥 Token Standard: ERC-20

🍥 Contract: 0x26EbB8213fb8D66156F1Af8908d43f7e3e367C1d

🍥 Circulating supply: 120,272,420

🍥 Fully Diluted Valuation: $317,774,661,362

🍥 Market capitalization: $317,774,661,362

🍥 24 Hour Trading Vol (13/08/2024): $21,558,600,883

ETH tokens allocation 

With the total supply as stated, the RETIK token allocation is divided as follows:

• Ethereum Crowdsale: 83.33%
• Ethereum Foundation, Early Contributors & Others: 16.68%

Where to buy and sell ETH tokens?

You can buy and sell ETH on exchanges like Binance, Coinbase, Huobi, Kraken, Kucoin, Bitfinex,....DEXs like Uniswap, SushiSwap, dYdX are also good options.

ETH token storage wallet

To store ETH tokens, you can use many different types of wallets such as:

• Hot wallets: MetaMask, Trust Wallet, MyEtherWallet - convenient for daily transactions. 
• Cold wallets: Ledger Nano S, Trezor - high security, suitable for long-term storage.

Should you invest in ETH tokens?

Ethereum (ETH) is predicted to have a bright future with a lot of growth potential. According to forecasts, ETH price may reach around $3.5k by the end of 2024 and continue to increase to $5.2k by 2025.

By 2030, ETH value may reach $8.3k. The continued development of dApps, smart contracts and platforms like Pudgy Penguins NFT, which utilize Ethereum blockchain, highlights its evolving ecosystem. However, as with any investment, investing in ETH comes with risks and should be carefully considered.

Conclusion

Above is information about Ethereum and ETH tokens. To make an accurate investment decision, carefully consider the above factors and follow the latest developments in the Ethereum community. Wish you have smart and successful investment decisions.