What is Ethereum?

Ethereumis a decentralized platform that runs smart contracts: applications that run exactly as programmed without any possibility of fraud or third party interference. Ethereum is built on a blockchain, a decentralized ledger of all transactions that have ever taken place on the network. This blockchain is stored and replicated on thousands of computers around the world, and is constantly growing as new transactions are added to it. 

How does it Work

• Every transaction on the Ethereum network is stored in a block, and each block is chained to the previous one, forming a blockchain. This blockchain is used to verify and confirm all transactions that take place on the network. 
• In order to run a smart contract on Ethereum, you need to first create an account with a password. This account will be used to hold your ETH, or Ether, the native cryptocurrency of Ethereum.
• Once you have an account, you can use it to send ETH to other accounts on the network, or to create and deploy smart contracts. 
• Smart contracts are pieces of code that can be deployed on the Ethereum network. They can be used to create decentralized applications, or DApps, that run on the network. 
• DApps can be used for a wide variety of purposes, from financial applications and games to social networking and data storage.
• Smart contracts are programmed using a language called Solidity, which is similar to JavaScript. They are stored on the blockchain and executed by the Ethereum Virtual Machine (EVM), a decentralized computer that runs on every node in the network. 
• The EVM is what allows Ethereum to run applications with no third party interference. It is also what makes Ethereum more scalable than other blockchain networks. 
• Every transaction on the Ethereum network must be gas, which is a unit of measurement that denotes the amount of computational power required to execute a transaction. 
• The more complex the transaction, the more gas it will require. Transactions are bundled into blocks by miners, which are then added to the blockchain. 
• Miners are rewarded with ETH for their work in verifying and validating transactions. This is how new ETH is created. 

Conclusion

Ethereum has a lot of potential because it is both a decentralized platform and a decentralized computer. This gives it the ability to run applications that are not possible on other blockchain networks. Ethereum is still in development and is not yet ready for mass adoption. However, it has the potential to revolutionize the way we interact with the internet and could change the world as we know it