Ethereum Vs Ether: Know The Difference Between ETH & Gas?

Cryptocurrency is a fascinating field, but it also features a steep learning curve for those who are just starting to get involved. Oftentimes, individuals need to do a great deal of research to understand what they are doing and to actually invest smartly.

The good news is that this post may help individuals gain a better understanding of key elements of cryptocurrencies – Ethereum and Ether. While it may seem that these are similar – there are actually a number of differences that are imperative to be aware of.

What Is Ethereum And Ether?

First, Ethereum is a platform that is based on block-chain. On the other hand, Ether is the underlying cryptocurrency that supports the blockchain platform. While very few cryptocurrencies will designate Ethereum as Ether, they’ve only termed ether as shorthand for Ethereum – which is neither true nor completely accurate.

To help individuals completely understand what both Ethereum and Ether are, here is an overview of each. With this knowledge, individuals can make better and smarter decisions when dealing with cryptocurrencies.

About Ethereum

Ethereum is a platform that was introduced in a White Paper by Russian programmer Vitalik Buterin. The platform is designed to write autonomous smart contracts and applications that are decentralized. These elements are both self-executed when the right conditions are met. The benefit of the code that can be written on Ethereum blockchain is that it cannot be modified, altered, and more importantly – hacked. These features make it an application that is reliable and adequately able to support user needs.

Further, once all of the coding conditions are met, the initial contract is self-executed and payment is issued. Again, as users can tell, this system is completely decentralized, meaning that users have more control over the system and the steps that they take.

About Ether

On the other hand, Ether is Ethereum’s underlying crytpcurrency. The cryptocurrency is what fuels the system and is the source of payment for the smart contracts and other transactions conducted on Ethereum. As the brand explains, Ether (ETH for short) can be programmed on a case-to-case basis, for example, to run DApps or to enable smart contracts, to generate tokens, and for the standard P2P payments.

As the tool that runs the Ethereum network, Ether is an integral resource. Without Ether, Ethereum cannot be run properly. Further, unlike Ethereum, Ether is purchased and sold, it only enables operations on blockchain, and it is a cryptocurrency.

Ethereum Vs Ether Summary

Overall, by understanding the differences between Ether and Ethereum, individuals will be able to make smarter and better decisions for their application and cryptocurrency needs. To learn more about these resources and to tap into them adequately, it is useful to actually try using them.

In addition, as one delves more into cryptocurrency, it is always beneficial to understand the elements that they are comprised of. Unfortunately, many individuals work with cryptocurrencies, but are not caught up with the terminology, which can eventually lead to some unsatisfactory consequences. At least those who know the differences will be one step ahead.