Bitcoin is booming: #1 ETH - My Favorite Coin

Hello steemian, once again I am happy by the return of contest which deals with the world of crypto, here I am writing to you about the most important facts related to Ethereum currency and what you need to know in a way that will benefit you whenever you decide to enter the digital currency market.

Introduction :

For years, electronic currencies have developed strongly and spread to impose themselves on the world of finance and business in a way that made experts expect that electronic currencies will be the currencies of the near future. Although Bitcoin is the first, most widespread and highest value currency in the cryptocurrencies market, it is not the only currency today, but there are many other options available as a good number of new electronic currencies have emerged that They operate on the same principle, with differences in details and the size of the popularity these coins have.

Why Ethereum?

Personally I have invested in Ethereum because it is the second digital currency in the world in popularity, size and value, tracks Bitcoin in market value so far, and Ethereum currency has grown very well over the period. recent, which means that its market value currently exceeds 66 M$.

Coinmarketcap

The origins of Ethereum

Ethereum was first launched in August 2015 to be added to the basket of digital currencies (Cryptocurrencies), which competes for Bitcoin, which dominates the scene so far, and since its launch it has grown and grown. has grown very rapidly, pushing its market price up by $ 2.8 when it was launched and hit the threshold of $ 1400 on Jan 14, 2018, at a time when many other digital currencies have failed to reach the same popularity and spread despite launching around the same time.

Coinmarketcap

How Ethereum works?

Whether it is Ethereum, Bitcoin, or other digital currencies, the digital currency system is based on a single database called the blockchain, regardless of the currency difference. With regard to the Ethereum currency, it is defined as a decentralized digital information system that is done through electronic computers linked to each other and spread all over the world, these computers use applications through which many orders related to smart contracts are executed in a very, very complex way, and it requires a lot of Informational protocols are similar to concluding common financial contracts, but they are implemented after subjecting to many requirement in a way that is difficult to simulate or fraud. All of these digital protocols are not subject to any authority or government at all, and no party is able to control the mining or exchange of Ethereum like other currencies.

Source

Ether and the decentralized Ethereum system :

It is true that everyone calls Ethereum the word electronic currency, but the truth is that the electronic currency associated with this decentralized system is Ether, which is a programmatic process launched by the huge decentralized system known as Ethereum.

Comparison between Ethereum and Bitcoin:

We cannot consider Ethereum as a currency like Bitcoin, even if Ethereum produces its Ether currency, Ethereum in its basic content works to serve the users of the platform by providing an Ethereum wallet that people use for the applications they are developing. As for Bitcoin, it is a clear digital currency that is being prepared to replace traditional currencies.

• The supply of Ethereum is unlimited: The availability of Ethereum is limitless and is not affected by the use of individuals, while the supply of Bitcoin is limited and affected by the coin makers themselves, and it is assumed that the Bitcoin manufacturing will end by the year 2140.
• Ethereum trades more quickly: Bitcoin exchanges take up to 10 minutes to complete the trade process, while Ethereum is processed in just 15 seconds.
• Ownership of Ethereum: While Bitcoin is the property of the individuals who manufacture it, especially the first of them, the Ethereum currency is financed by collective parties, which is considered a matter that serves Ethereum financiers and makers in the near term (expected within 5 years).

Factors affecting the value of the Ether coin or the Ethereum system :

Certainly, Ethereum is the primary decentralized system through which the coin is produced (Ether), but a very large sector of people tend to use Ethereum as a name for the currency when talking about currency to the extent that many sites specialized in currency trading use the name Ethereum, not ether, perhaps for the convenience of traders.

But regardless of the naming of the currency, what is meant remains one thing whose value is affected by many factors that drive the market value of the currency to rise or fall. Here are the most important of these factors:

• The market value of Ether increases as the number of agencies that recognize and approve it as a type of parameter increases.
• Also, the more applications that rely on this currency, the greater its market value.
• The strength of the decentralized system that guarantees security and the inability of any party to control it or to manipulate the values and exchanges of this currency. Also, ensuring that no breaches of the system occur, it protects the system from collapse and thus protects the currency from loss and the fall of its market value.
• Also, the value of the ether currency is related to the value of the leading and pioneering bitcoin currency in the field, and you may notice that the rise in the value of Bitcoin enhances the value of Ether and raises it as well. And the opposite is completely true, any shake-up in the value of Bitcoin and its financial position necessarily leads to a vibration of the value of Ether, so experts advise that Ethereum traders be aware of all Bitcoin news because they are definitely very influential on the currency they trade in.

Future forecasts for digital currencies and ether:

Certainly, digital currencies are on their way to sovereignty not only in the field of financial transactions, but in the field of creating a completely free economic system that is not controlled by a person or government, but is actually subject to a very large decentralized system of global computers in a way that makes it the right of everyone to exchange what He wants currencies and makes the contracts he likes without having a middleman or party responsible for completing these procedures. Only adhere to database technologies and solve algorithmic equations to obtain digital and electronic validations to complete these operations.

In terms of the price of Ethereum going forward, there is general certainty from experts in this crypto world that ETH will hit the $ 30,000 threshold as the demand for Ethereum steadily increases. And this is a great indicator, mainly because crypto prices operate on a supply and demand system.

Summary:

Ether is a digital currency that is generated from very complex operations through smart contracts in the central blockchain database and through the decentralized Ethereum system that works on mining new currencies from Ether and organizes the exchange of these currencies without being subject to a specific party or financial institution.