Ethereum is usually the #2 by market capitalization and is known as the network that took cryptocurrency beyond "digital money," enabling apps and smart contracts (smart contracts).
What is it?
Ethereum is a programmable blockchain where, in addition to sending value, you can execute smart contracts (code that runs on the network) and create decentralized applications (dApps).
Why was it created? $ETH
Because Bitcoin was primarily designed for payments/transfer of value, and Ethereum aimed to expand the concept: a decentralized "world computer" to build applications, tokens, and financial systems without intermediaries.
How does it work (simply)?
• Users pay gas (fees) to execute transactions and smart contracts.
• Today Ethereum operates using Proof of Stake (staking/validators) to validate blocks (no longer PoW mining as before).
What is it used for today?
✅ Financial apps (DeFi): loans, swaps, savings, etc. (depending on platforms)
✅ Tokens and stablecoins: many tokens and stablecoins operate on Ethereum or use standards like ERC-20 (depending on the case)
✅ NFTs and gaming/Web3: collectibles, items, and on-chain projects
✅ Governance/voting (when applicable): some projects use smart contracts for internal voting (DAOs), not "government voting" as such.
Quick facts:
• Ticker: ETH
• It is known for enabling smart contracts and a large ecosystem of dApps
Risks / limitations:
• Variable fees (gas), sometimes high during congestion
• Smart contract risk (bugs/exploits in apps)
• Price volatility like any cryptocurrency
