Unlike most other digital currencies including Ripple, and, Bitcoin, Ethereum soared in prices in recent days. After reaching the 995 USD mark on January 6, the digital currency has risen to 1,280 USD presently as reported by Coin Market Cap. Ethereum now seems like an appetizing market that is ripe for investment after reaching a market capitalization of 124 billion USD. This guide provides a brief overview of what Ethereum is if you are not vast in digital currencies.
Ethereum or Ether is an open software network that much like Bitcoin, is powered by Blockchain technology, and is designed for all users to create decentralized applications. Vitalik Buterin is Ethereum’s founder after the latter launched the digital token in 2015 with the aim of letting users make secret payments digitally across International boundaries with no need for third parties or the traditional banking system.
Describing his cryptocurrency, Buterin said:
“Ethereum is a software platform specifically designed for users to build DAPs or decentralized applications. It can also be used to create fully trustworthy and transparent financial applications because they run via the Blockchain initiative.”
It has been a remarkable year for the cryptocurrency after Ethereum’s market value jump from a little below 10 USD as at this time the previous year to nearly 1,280 USD for one token in the present year. Ether’s stunning rise to the top has made co-creator Steven Nerayoff predict what is called a flippening. A situation was Ether will knock off Bitcoin from the top spot as the most valuable cryptocurrency by market capitalization by year end.
In an interview with CNBC, Nerayoff said:
“What you see with Ether is as a result of the exponential increase in the sum of projects (because billions of dollars are poured into the digital currency ecosystem right now) maybe even ten times more the number of projects this year when compared to last year. This scenario could easily result in a doubling or even a tripling in prices by the end of 2018.