Ethereum and Bitcoin - how do they differ?

By
Tokeneo
-
2 min reading

Ethereum and Bitcoin are two of the most popular cryptocurrencies in the world that are increasingly accepted as an important means of payment. Nevertheless, despite many similarities, they are completely different cryptocurrencies. What is the difference between Bitcoin and Ethereum?

bitcoin ethereum https://www.freepikcompany.com/legal

What is the difference between Bitcoin and Ethereum?

First of all, Ethereum and Bitcoin were created for a different purpose. The popular Bitcoin was created as an alternative to traditional cash. In contrast, states and financial institutions have no influence on it, it allows you to bypass intermediaries and conclude private and safe transactions.

The situation is the same with Ethereum, but unlike Bitcoin, it is not only a cryptocurrency, but also an extensive platform that allows users to create so-called smart-contracts and the creation of decentralized applications. In other words, the main difference between Ethereum and Bitcoin is the purpose for which they were created.

Ethereum and Bitcoin - is it an alternative?

Ethereum is a platform that allows you to create decentralized applications that, like the currency itself, are based on blockchain technology. In other words, the way they work depends on the software created, which cannot be changed! Additionally, no entity can gain control over an already created application. So Ethereum takes the next step to creating a surveillance-free and secure web space.

Smart-contracts

In addition, it is also worth emphasizing the essence of the so-called smart-contracts. It is a kind of contract between two entities operating on the basis of deterministic software. This software can perform predetermined actions on the blockchain network, if the appropriate conditions are met!

Thanks to this, you can be sure that the two interacting entities will fulfill the provisions of the contract, otherwise it will never enter into force. So, smart-contracts and the ability to create decentralized applications are a great answer to why Ethereum is better than Bitcoin.

Waluta Kurs Dokonaj zakupu

Dear customer,

We use cookies to provide our services correctly and safely. Cookies are small text-based data sets that shall be saved on the device you are using in connection with the use of this instnat website. Cookies are created in order to ensure proper functioning of thes instant website. By clicking the button "I accept and go to the website", you implicitly agree to creation of the cookies on your computer and to deploy automatic tracking and data collection and processing on behalf of the Tokeneo TEO OU. Click the above-captioned button is also tantamount to accepting website's privacy policy. Closing the notification by means of "X" is unequivocally connected with your consent. If you do not agree to any of the above, please discontinue using our Website.

“Cookies” shall make an identification of the software used by you and to customization of this instant website to your needs. Cookies contain the name of the domain from which they origin, duration of period of their storage on your computer and an assigned value.

Third party cookies:
We also use third-party cookies for the following purposes:

  • creating statistics - helping to understand the way Users use the Website, which allows to improve its structure and content with use of the analytical tools
  • defining a user profile - in order to display custom-tailored content in advertising networks.

External entities that might be source of any third-party cookies on this instant Website are as follows:

Using a settings of your web browser or by using pre-set configuration tools available in our service you can independently and at any time change the settings concerning your use of the “cookies”, specifying the conditionsof their storage and how your device is creating and downloading them. These settings can be changed to block the automatic handling of cookies in the settings of your web browser or inform about their placement on your device each time.

Detailed information about the options related to use of “cookies” is available in the settings of your software (web browser).

Service privacy policy

This instant document lays out the principles of the Privacy Policy on the tokeneo.com/news/pl website (hereinafter referred to as the "Website" or "Service"). The administrator of the Website is TOKENEO TEO OÜ (an Estonian law limited liability company) with its registered offices in Tallinn (in the province of Harju Maakond), at 19-7K Maakri Street (in the district of Kesklinna Iinnaosa), 10-145 Tallinn, Estonia, registered on 21.12.2018 in the Estonian Business Register under number 14630242, using the EU VAT number: EE102149487.

The full document to read the Tokeneo privacy policy is available in this document.

Advanced settings can be changed in your browser.