Crypto Currency

What is the difference between Bitcoin and Ethereum?

It has been a very exciting year for Cryptocurrency with the market value of most major Cryptos increasing dramatically over…

It has been a very exciting year for Cryptocurrency with the market value of most major Cryptos increasing dramatically over the past 12 months. Investors saw the increasing adoption of Cryptocurrency as a payment method and decided to back its potential.

In addition to inflows of capital from investors keen to hold Cryptocurrency, substantial resources were also invested in the technical development of various Cryptocurrencies.

The underlying infrastructure needed to support the wider adoption and use of Cryptocurrency also benefited from increased levels of innovation and development throughout the year.

In the midst of all this activity two Cryptocurrencies in particular have attracted a lot of attention; Bitcoin and Ethereum. This has been for a variety of reasons, but it has resulted in these two Cryptos being the most widely held ones at present.

But what is the difference between Bitcoin and Ethereum? This article will take you on a short journey through the Crypto landscape to explain what these differences are.

 

Bitcoin

 

Bitcoin was the very the first Cryptocurrency. It was invented by an unknown person or group of people under the name Satoshi Nakamoto and released as open-source software in 2009.

It operates on a peer-to-peer basis with transactions taking place between users directly, without an intermediary. Essentially people can send Bitcoins to each other directly thus transferring value to each other without having to go through a bank or other payment provider.

These transactions are verified by network nodes through the use of cryptography and recorded in a publicly available ledger known as a Blockchain.

 

What exactly is a Blockchain?

 

A Blockchain is a public record of all transactions in a particular system that have ever been executed. It cannot be tampered with or edited and is protected by cryptography.

A Blockchain thus stands as an unchangeable record of all transactions on a network, accessible to all participants. It is essentially a public record of all of the transaction which have taken place on a particular network, but it can also be much more.

 

Enter Ethereum!

 

Whilst Blockchain technology, in the beginning, was used as a method to simply record transactions between people using things like Bitcoin, it is now being developed further and used to support applications which are beyond just a digital currency like Bitcoin.

Ethereum is one of those advances. Launched in 2014, it is an open-ended decentralized software platform that enables smart contracts and Distributed Applications to be built and run. This is designed to happen without any downtime or interference from a third party by using Blockchain technology in a different way to Bitcoin.

Ethereum is not just a platform but also a programming language running on a blockchain. It is designed to help developers to build and publish distributed applications, not just transfer value between each other. It is far more than just another Cryptocurrency.

No one owns the Ethereum network itself, but the system runs it cannot be run for free. The network needs ‘ether’, a unique piece of code that can be used to pay for the computational resources needed to run an application or program. Ether is the token you see traded widely on Crypto exchanges.

The potential applications of Ethereum are wide-ranging and it is really only at the beginning of what could be a very exciting journey.

 

Difference Between Bitcoin and Ethereum?

 

While both Bitcoin and Ethereum are powered by the principle of a distributed ledger that is really where the major similarities end.

The difference between Bitcoin and Ethereum is their purpose. While Bitcoin is created as an alternative to regular money and is thus a method of payment and store of value, Ethereum is developed as a platform which facilitates peer-to-peer contracts and other software applications.

While Bitcoin and Ether, the token which runs on Ethereum, are both digital currencies, the primary purpose of Ether is not to be used to make payments but to assist developers in running distributed applications on the Ethereum platform.

 

Conclusion

 

As we have seen Bitcoin was designed to transfer value anonymously just like any other coin but Ethereum has much more advanced aims. It wants to be a platform which can be used to distribute other software applications and facilitate far more complex types of interaction than just the transfer for value.

Ethereum and its goals are more in line with the greater discussion around Blockchain based technology we can see today. Companies around the world see the Blockchain as something which can be used for much more than just value transfer.

It is certainly a very exciting time to be involved in this area. A public peer to peer ledger that cannot be tampered with offers up so many more possibilities than what it is being used for at present. Possibly far more than Satoshi Nakamoto could have envisaged all the way back in 2008.

 

More articles on cryptocurrency in our cryptocurrency section

 

 

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Crypto Currency

‘Fortnite’ vulnerability put millions of accounts at risk

It turns out that for the millions of people playing Fortnite, there was more than just a Victory Royale at stake.  On Jan. 16, internet security firm Check Point Research disclosed a vulnerability in the popular online video game that could have allowed malicious actors to take over practically any Fortnite account — all a…


It turns out that for the millions of people playingFortnite, there was more than just a Victory Royale at stake. 

On Jan. 16, internet security firm Check Point Research disclosed a vulnerability in the popular online video game that could have allowed malicious actors to take over practically anyFortniteaccount — all a player had to do was click a malicious link. 

“By discovering a vulnerability found in some of [Fortnite owner] Epic Games’ sub-domains, an XSS attack was permissible with the user merely needing to click on a link sent to them by the attacker,” explains the report. “Once clicked, with no need even for them to enter any login credentials, their Fortnite username and password could immediately be captured [by] the attacker.”

Epic Games confirmed the now-patc

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Crypto Currency

The sad story of a lonely alleged SIM swapper who stole millions

You probably shouldn’t feel sorry for Nicholas Truglia. It’s just that his story is so pathetic. The 21-year old Manhattan resident was arrested last November and extradited to California in December. There, he’d face 21 felony counts relating to accusations of SIM swapping his way to a million dollars worth of stolen cryptocurrency. While Truglia’s…


You probably shouldn’t feel sorry for Nicholas Truglia. It’s just that his story is so pathetic.

The 21-year old Manhattan resident was arrested last November and extradited to California in December. There, he’d face 21 felony counts relating to accusations of SIM swapping his way to a million dollars worth of stolen cryptocurrency. While Truglia’s fate remains unclear, details of his life leading up to the arrest have begun to emerge thanks to a lawsuit filled by a separate alleged victim, and oh man is it a wild ride. 

As Krebs on Security reports, a lawsuit filed by Michael Terpin — a cryptocurrency investor and self-described “thought leader” — against Truglia claims he lost over $23 million after Truglia SIM swapped him and drained his crypto accounts in January of 2018. That document, and a supporting affidavit by one of Truglia’s former friends, tells the story of a cash-flush young man who saw himself as untouchable. 

And, perhaps unsurprisingly, they also paint Truglia as kind of an asshole. 

The now-deleted Twitter profile pic of @erupts, the account allegedly once belonging to Truglia.

The now-deleted Twitter profile pic of @erupts, the account allegedly once belonging to Truglia.

Image: twitter / waybackmachine

“Nick likened himself to Robin Hood who robs from the rich but did not give to the poor,” explained Chris David, former associate of Truglia’s, in the aforementioned affidavit. 

Instead, the documents paint a picture of someone who delighted in giving to himself — in the form of a Rolex, a $6,000-a-month apartment, and a $100,000 stack of cash he kept on his credenza. But that clearly wasn’t enough for him.

According to David, Truglia operated the now-suspended Twitter account @erupts, where he lamented that his wealth didn’t bring him friends, and even bra

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Crypto Currency

Ethereum is about to get a big upgrade. Here’s what you need to know.

Ethereum, the third-largest cryptocurrency by market cap and the most popular platform for decentralized applications (dApps), is getting an upgrade on (roughly) Jan. 16.  The upgrade is called Constantinople and it makes the Ethereum network a bit more efficient, paving the way for bigger changes further ahead. It also brings some important changes for miners…


Ethereum, the third-largest cryptocurrency by market cap and the most popular platform for decentralized applications (dApps), is getting an upgrade on (roughly) Jan. 16. 

The upgrade is called Constantinople and it makes the Ethereum network a bit more efficient, paving the way for bigger changes further ahead. It also brings some important changes for miners on the network. 

Here’s an overview of what, exactly, is happening, and the steps owners of ether should undertake ahead of the fork. 

The answer to the second question is really easy: There’s no need to do anything. The upcoming upgrade, while technically a fork, will very likely be non-contentious, meaning there’s no disagreement on whether it should happen. This means Ethereum won’t split into two separate coins next Wednesday. If everything goes well — and chances are good that it will — your ether holdings will be exactly the same before and after the fork, regardless of whether your ether is located on a private wallet or an exchange. 

And no, ether holders will not be getting a new coin; if you see info about it anywhere, it’s either a scam or a mostly-irrelevant project that’s just trying to get some attention out of the confusion that surrounds every cryptocurrency fork (which is why I’m primarily calling Constantinople an upgrade and not a fork). 

Ethereum node operators and miners will have to update their software ahead of the upgrade; the links can be found here. 

Note that the January 16th date for the upgrade is approximate. The upgrade should happen when block 7,080,000 on the Ethereum blockchain is mined, which is currently approximately Wednesday, Jan, 16, 8pm UTC, but the exact time will shift a little as new blocks aren’t always found in the same amount of time. 

Paving the way for a faster future

With that out of the way, there are still a few things you should know about this upgrade. 

Constantinople consists of five Ethereum Improvement Proposals (EIPs), which are documents explaining a new feature or change in Ethereum’s code. Explaining them in detail might

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Crypto Currency

Attack on Ethereum Classic Highlights a Crypto Weakness

bitcoin is that you don't need to trust the people to whom you send or receive money, because the software makes it technically impossible for anyone to cheat the system. Instead of relying on humans and their flawed judgment, you rely on the laws of mathematics. But a recent attack on the cryptocurrency Ethereum Classic—not…


bitcoin is that you don’t need to trust the people to whom you send or receive money, because the software makes it technically impossible for anyone to cheat the system. Instead of relying on humans and their flawed judgment, you rely on the laws of mathematics. But a recent attack on the cryptocurrency Ethereum Classic—not to be confused with the original Ethereum project—shows once again how hard it is to remove human frailty from digital systems.

Like other cryptocurrencies, Ethereum Classic relies on a decentralized ledger known as a blockchain created and shared by the machines that process transactions on the network. This ledger ensures that no one can spend their virtual tokens twice. Unless, that is, someone could take over at least 51 percent of the machines in the network. That’s what appears to have happened last weekend.

Currency exchange Coinbase said Monday it had detected double spends on the Ethereum Classic platform on Saturday and that it had suspended transactions involving Ethereum Classic. Kraken, another exchange, followed suit with a similar announcement. Coinbase security engineer Mark Nesbitt wrote in a blog post that the company had spotted 12 instances of double spending Ethereum Classic tokens, involving a total value of about $1.1 million.1Ethereum Classic is not as popular as some other cryptocurrencies: It had a total market value of $553.5 million on Friday, according to CoinMarketCap; by comparison, ether, the currency created by the original Ethereum project, had a value of $16.3 billion, and bitcoin a value of $67.5 billion.

Nesbitt told WIRED that Coinbase is “very confident” that the d

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