EthereumEthereum is a decentralized global open-source platform. The goal is to create a world computer where anyone can build and... Read More is an open-ended, decentralizedDecentralization, an aspect of blockchain technology, facilitates power or authority distribution among individuals, groups, or institutions. A decentralized structure allows... Read More, blockchain-based, public software platform that facilitates peer-to-peer contracts, known as Smart Contracts, as well as Decentralized ApplicationsApplications that run on decentralized peer-to-peer networks such as Ethereum. Ethereum is one of the most popular platforms for developers... Read More, known as DApps.
Smart contracts allow users to exchangeA digital marketplace where you can buy and sell cryptocurrency. Read More value without requiring an intermediary. Smart contracts are agreements with defined terms and protocols in place to enforce them.
But unlike traditional contracts, written in human languages and enforced by courts of law, smart contracts are written in code that a computer can execute, which eliminates ambiguity.
The Ethereum networkThe Ethereum network is a decentralized distributed network of computers that run decentralized applications and smart contracts. As a platform,... Read More acts as a single decentralized computer that runs the smart contractA smart contract is a piece of computer software that is designed as an automated self-enforcing contract, which means it triggers certain... Read More code. This means that all computers participating in the Ethereum network will come to consensusConsensus is what allows a distributed system (like the blockchain) to function as a decentralized peer-to-peer system without the need... Read More on the outcome of each smart contract.
Traditional software applications often rely on centralAn organizational structure wherein a small handful of actors have control over the entire network. In the context of bitcoin,... Read More authorities to store data and perform operations on that data. This requires trust in the central authorityA central authority is an entity that holds centralized control over something, such as a financial exchange, asset, or transaction.... Read More.
DApps can make use of smart contracts on the Ethereum network to achieve decentralizationThe principle of distributing power away from a central point. Blockchains are traditionally decentralized because they require majority approval from... Read More. Smart contracts can store data. The Ethereum network enforces that all operations on the data happen according to the smart contract code. In other words, the data maintains its integrity without a central trusted party.
