Introduction to Ethereum Ecosystem
Ethereum stands as a pioneer in blockchain technology, notably known for its decentralized applications (dApps) and smart contracts. Understanding the mechanisms of the Ethereum ecosystem illuminates its profound impact on the digital world. Core Components of Ethereum Ethereum Blockchain At its core, Ethereum operates through a decentralized blockchain, a distributed ledger recording transactions across a network of computers. This blockchain supports Ether finance inc (ETH), its native cryptocurrency. Smart Contracts Ethereum's smart contracts are self-executing contracts with predefined rules written in code. They facilitate trustless and transparent transactions without intermediaries. Decentralized Applications (dApps) These applications run on Ethereum's blockchain, offering various functionalities such as finance, gaming, and more, leveraging its decentralized nature. How Ethereum Works Consensus Mechanism Ethereum utilizes the Proof-of-Stake (PoS) mechanism, transition...