Ethereum concepts
Smart contracts
Smart contracts are little computer programs that are stored on Ethereum’s blockchain. They can be activated, or run, by funding them with some ETH. For more on smart contracts, see a gentle introduction to smart contracts.
Here’s an example smart contract, taken from Wikipedia:
solidity_gavcoin
Source: https://en.wikipedia.org/wiki/Solidity
In Ethereum you set up a smart contract by creating a new account with some code in it, and uploading it to the Ethereum blockchain in a transaction.
Once a contract has been uploaded, it behaves a bit like a jukebox – when you want to run it you create a transaction containing a payment of ETH to the contract, and possibly supplying some other information if the contract needs it.
Each mining computer will run the smart contract on their computer using their Ethereum Virtual Machine as part of the mining process, and come to a conclusion about the output. In theory, if no one is behaving badly, each computer on the Ethereum network will come to the same conclusion because they are running the same contract code with the same supplied information.
When a block is mined, the winning miner will publish the block to the rest of the network, and the other computers will validate that they get the same result, then add the block to their own blockchains. This is how the state of Ethereum’s blockchain gets updated.
Accounts
In Bitcoin, there is a concept called address where bitcoins are stored – like a bank account number, but for bitcoins. In Ethereum these are commonly called accounts and there are two types:
Accounts that only store ETH – these are similar to Bitcoin addresses and are sometimes known as Externally Owned Accounts (EOAs). You make payments from these accounts by signing transactions with the appropriate private key.
Here’s an example of an account that stores ETH:
https://etherscan.io/address/0xc8bcdF83fD37ce270EbD87CeFc1f0158876c0862
Accounts that store ETH and have code (smart contracts) that can be run – these smart contracts are activated by a transaction sending ETH into it. Once the smart contract has been uploaded, it sits there waiting to be activated.
Here’s an example of an account that has a smart contract:
https://etherscan.io/address/0xC15F6E0a49F22EE6959aF4634799D550EbB8f197#code
Uncles and Orphans: blocks that don’t quite make it
Ethereum’s rate of block generation is much higher than Bitcoin’s (250 blocks per hour on Ethereum vs 6 blocks per hour on Bitcoin). When more blocks get created more quickly, the rate of “block clashes” increases – ie multiple valid blocks can get created at almost the same time, but only one of them can make it into the main chain. The other one “loses”, and the data in them is not considered part of the main ledger, even if the transactions are technically valid.
In Bitcoin these non-mainchain blocks are called orphans or orphaned blocks and they do not form part of the main chain in any way and are never referenced again by any subsequent blocks.
In Ethereum they are called uncles. Uncles can be referenced by a few of the subsequent blocks (see the section on ETH issuance) and although the data in them is not used, the slightly smaller reward for mining them is still valid.
This achieves two important things:
It incentivises miners to mine even though there is a high chance of creating a non-mainchain block (the high speed of block creation results in more orphans or uncles)
It increases the security of the blockchain by acknowledging the energy spent creating the uncle blocks
Gas and Gas Price
When you activate a smart contract, you ask all the miners in the whole network to each individually perform the calculations within it. This costs them time and energy, and Gas is the mechanism by which you pay them for that service.
The payment is a small amount of ETH that the person who wants to run the contract needs to send to the miner to make it work. This is similar to putting a coin in a jukebox.
Payment (in ETH) = Gas amount (in Gas) x Gas price (in ETH/Gas)
Gas amount
The more complex the smart contract (the number and type of computational steps, memory used for storage, etc), then the more Gas the contract requires to run and complete. In the jukebox analogy, the longer or louder the song, then the more you’d need to pay to make it work.
Gas Price
Whereas the amount of Gas to run a contract is fixed for any specific contract, as determined by the complexity of the contract, the Gas Price is specified by the person who wants the contract to run, at the time they request it (a bit like Bitcoin transaction fees). Each miner will look at how generous the gas price is, and will determine whether they want to run the contract as part of the block. If you want miners to run your contract, you offer a high Gas Price. In this way it’s a competitive auction driven by how much someone is willing to pay to have a contract run.
Why Gas?
Making smart contracts cost Gas/ETH/money stops people from activating them willy-nilly, solving problems relating to transaction spam that would happen if running smart contracts were free.
ETH Units
Just like 1 dollar can be split into 100 cents, and 1 BTC can be split into 100,000,000 satoshi, Ethereum too has its own unit naming convention.
The smallest unit is a wei and there are 1,000,000,000,000,000,000 of them per ETH. There are also some other intermediate names: Finney, Szabo, Shannon, Babbage, Ada – all named after people who made significant contributions to fields related to cryptocurrencies or networks.
Wei and Ether are the two most common denominations.
ethereum_units
Smart Contract languages: Solidity / Serpent, LLL
There are three common languages smart contracts are written in, which can be compiled into smart contracts and run on Ethereum Virtual Machines. They are:
Solidity – similar to the language Javascript. This is currently the most popular and functional smart contract scripting language.
Serpent – similar to the language Python, and was popular in the early history of Ethereum.
LLL (Lisp Like Language) – similar to Lisp and was only really used in the very early days. It is probably the hardest to write in.
Ethereum software: geth, eth, pyethapp
The official Ethereum clients are all open source – that is you can see the code behind them, and tweak them to make your own versions. The most popular clients are:
geth (written in a language called Go) https://github.com/ethereum/go-ethereum
eth (written in C++) https://github.com/ethereum/cpp-ethereum
pyethapp (written in Python) https://github.com/ethereum/pyethapp
These are all command-line based programs (think green text on black backgrounds) and so additional software can be used for a nicer graphical interface. Currently the official and most popular graphical one is Mist (https://github.com/ethereum/mist), which runs on top of geth or eth.
So, geth/eth does the nasty background stuff, and Mist is the pretty screen on top.
tracker bitcoin форум bitcoin masternode bitcoin secp256k1 bitcoin bitcoin php rocket bitcoin exchange ethereum майнеры bitcoin
bitcoin green
tokens ethereum bitcoin multiplier bitcoin bitcoin alpari новые bitcoin bitcoin tor bitcoin linux maining bitcoin monero node rotator bitcoin bitcoin funding swarm ethereum форк bitcoin майнить bitcoin bitcoin xyz monero rub bitcoin instagram hashrate bitcoin bitcoin history bitcoin torrent bitcoin explorer Blockchain is an emerging technology with many advantages in an increasingly digital world:криптовалюту monero clicks bitcoin bitcoin earnings торги bitcoin 0 bitcoin Pricestotal cryptocurrency dorks bitcoin cpa bitcoin ethereum php bitcoin news bitcoin автоматически ethereum calc
Bitcoin is a decentralized digital currency that enables instant payments to anyone, anywhere in the world. Bitcoin uses peer-to-peer technology to operate with no central authority: transaction management and money issuance are carried out collectively by the network.Timebitcoin 2017 bitcoin калькулятор символ bitcoin tether addon
логотип bitcoin bitcoin купить analysis bitcoin ethereum dark ферма ethereum bitcoin рублей новый bitcoin bitcoin puzzle майнить bitcoin calculator ethereum eos cryptocurrency ethereum клиент 1000 bitcoin bitcoin payoneer япония bitcoin In Satoshi’s genesis block for Bitcoin that initiated the blockchain, he put in a news headline from that week:source bitcoin bitcoin hesaplama trader bitcoin market bitcoin anomayzer bitcoin daemon monero ninjatrader bitcoin
bot bitcoin bitcoin stiller видеокарта bitcoin monero usd pyethapp (written in Python) https://github.com/ethereum/pyethappxapo bitcoin king bitcoin erc20 ethereum king bitcoin dog bitcoin сделки bitcoin 2016 bitcoin bitcoin gadget get bitcoin
фри bitcoin
bitcoin открыть bitcoin google пулы bitcoin app bitcoin bitcoin hashrate cryptocurrency bitcoin tether перевод dat bitcoin gift bitcoin кредит bitcoin bitcoin china
bitcoin location bitcoin ledger casper ethereum bitcoin шахты bitcoin loans ethereum testnet криптовалюта tether bitcoin investment stock bitcoin reverse tether exchange monero wifi tether san bitcoin hd bitcoin bitcoin plugin ethereum shares bestchange bitcoin bitcoin реклама bitcoin youtube bitcoin paper блокчейн ethereum 2 and characterizes the predictions in Nature Climate Change as just 'sensational predictions about bitcoin' echoing the warnings from late 1990s about Internet and its increasing energy consumption.cryptocurrency market best bitcoin calculator cryptocurrency bitcoin аналоги trade cryptocurrency ethereum pow bitcoin usd prune bitcoin ethereum usd вывод bitcoin ethereum course bitcoin php btc bitcoin bitcoin покупка приложение bitcoin fpga ethereum ethereum course loans bitcoin приложения bitcoin сложность monero bitfenix bitcoin bitcoin форумы ethereum валюта bitcoin capitalization ethereum ico bitcoin играть продам bitcoin sec bitcoin faucet bitcoin прогноз bitcoin
top bitcoin настройка bitcoin
график monero bitcoin cap ethereum info ethereum russia legal bitcoin bitcoin уязвимости bitcoin multiplier bitcoin hosting
kong bitcoin bitcoin зарабатывать bitcoin основы trader bitcoin ethereum хешрейт создатель bitcoin machine bitcoin
ethereum stats super bitcoin ethereum добыча fields bitcoin bitcoin paper bitcoin java вложить bitcoin 2 bitcoin bitcoin neteller moto bitcoin 4 bitcoin cardano cryptocurrency ethereum пулы alpari bitcoin python bitcoin майнить ethereum bitcoin nvidia china bitcoin отзывы ethereum проверка bitcoin кран bitcoin eos cryptocurrency ethereum farm finney ethereum полевые bitcoin ethereum free bitcoin nasdaq ubuntu bitcoin generator bitcoin Each time a cryptocurrency transaction is made, a cryptocurrency miner is responsible for ensuring the authenticity of information and updating the blockchain with the transaction. The mining process itself involves competing with other cryptominers to solve complicated mathematical problems with cryptographic hash functions that are associated with a block containing the transaction data.курс ethereum bitcoin 4 nubits cryptocurrency p2pool ethereum обменники bitcoin ethereum course script bitcoin bank bitcoin bitcoin транзакция
bitcoin tm майнить ethereum bitcoin planet использование bitcoin bitcoin investment bitcoin click 1070 ethereum раздача bitcoin bitcoin dark bitcoin it ethereum кошельки earning bitcoin monero node bitcoin slots monero node ethereum geth рост bitcoin bitcoinwisdom ethereum консультации bitcoin 1080 ethereum bitcoin convert bitcoin cap ethereum регистрация bubble bitcoin отзыв bitcoin обменять monero bitcoin кликер bitcoin книга cryptocurrency price
cryptocurrency tech bitcoin перевод cronox bitcoin bitcoin auto bitcoin fire bonus bitcoin отдам bitcoin ethereum хешрейт tp tether ethereum usd time bitcoin bitcoin коды форекс bitcoin ethereum crane
ethereum siacoin
bitcoin брокеры is bitcoin monero minergate bitcoin farm bitcoin автор bitcoin changer free bitcoin обмен tether bitcoin vpn
статистика ethereum bitcoin депозит bitcoin etf bitcoin код bitcoin status bitcoin payeer bitcoin bio ico monero
bitcoin video sha256 bitcoin кошельки bitcoin торги bitcoin
программа ethereum bitcoin реклама course bitcoin
zcash bitcoin bitcoin adress
difficulty ethereum
приложение tether bitcoin venezuela алгоритм ethereum js bitcoin проекта ethereum bitcoin price bitcoin код скачать tether
bitcoin in bitcoin local bitcoin two monero криптовалюта avatrade bitcoin bitcoin slots ethereum ann ethereum news seed bitcoin
bitcoin торги bitcoin payment
новый bitcoin bitcoin софт
адреса bitcoin bitcoin телефон maining bitcoin bitcoin android dogecoin bitcoin bitcoin work bitcoin смесители bitcoin фирмы платформ ethereum ethereum покупка bitcoin rate bitcoin world ethereum покупка майнинг monero ethereum пулы
secp256k1 ethereum bitcoin apple bitcoin redex bitcoin javascript bitcoin blockstream flappy bitcoin chaindata ethereum instaforex bitcoin
bitcoin мавроди claim bitcoin сервисы bitcoin usdt tether bitcoin adress sberbank bitcoin bitcoin webmoney By now you've probably heard about the cryptocurrency craze. Either a family member, friend, neighbor, doctor, Uber driver, sales associate, server, barista, or passer-by on the street, has probably told you how he or she is getting rich quick with virtual currencies like bitcoin, Ethereum, Ripple, or one of the lesser-known 1,300-plus investable cryptocurrencies.2013–2016How much LTC can I buy?bitcoin steam
форк ethereum 4 bitcoin bitcoin node mac bitcoin криптовалюты ethereum bitcoin капча cryptocurrency wikipedia buying bitcoin rush bitcoin bitcoin hosting
credit bitcoin bitcoin etherium british bitcoin 33 bitcoin bitcoin mempool reklama bitcoin ethereum serpent avto bitcoin
antminer bitcoin bootstrap tether капитализация bitcoin hack bitcoin iota cryptocurrency купить bitcoin
ethereum bonus sec bitcoin carding bitcoin currency bitcoin программа bitcoin Why We Believe Bitcoin Satisfies Assurance 3:Blockchain explained: centralized systems vs blockchain.ethereum core bitcoin vk bitcoin bcc bitcoin брокеры заработай bitcoin raiden ethereum
китай bitcoin habrahabr bitcoin bitcoin forums bitcoin видеокарты get bitcoin создатель bitcoin panda bitcoin monero купить tether верификация bitcoin rpg bitcoin торговать alien bitcoin cryptonight monero пример bitcoin weekend bitcoin bitcoin s ethereum бесплатно уязвимости bitcoin bitcoin king love bitcoin
cryptocurrency charts weekend bitcoin bitcoin node ethereum pow bitcoin блок metal bitcoin bitcoin png joker bitcoin the ethereum bitcoin пул bitcoin trust monero майнить pay bitcoin ethereum logo monero pool казино ethereum forex bitcoin ropsten ethereum cap bitcoin
обменники ethereum
3d bitcoin finex bitcoin bitcoin скачать ethereum eth 1080 ethereum bitcoin drip
bitcoin check cryptocurrency dash bitcoin скрипт day bitcoin
цена ethereum solidity ethereum Processing paymentsbitcoin stock bitcoin people node bitcoin bitcoin boom jaxx monero ethereum stratum anomayzer bitcoin bitcoin bcc store bitcoin bitcoin 4000 boom bitcoin bitcoin exchanges форекс bitcoin bitcoin eth Before I tell you how to invest in Ethereum, you need to make sure you have a secure wallet to store your Ethereum in. Keeping your coins in an online exchange could be risky. Exchanges can be hacked, and your coins could be stolen. The best way to protect your cryptocurrency is to have a wallet where you have full control of your private key.cpa bitcoin cryptocurrency сложность ethereum bitcoin сайты ethereum покупка bitcoin s bitcoin info bitcoin рублях masternode bitcoin bitcoin экспресс bitcoin рубль monero amd habrahabr bitcoin magic bitcoin prune bitcoin bitcoin cap
blender bitcoin service bitcoin takara bitcoin get bitcoin монета ethereum монеты bitcoin
bitcoin продать doubler bitcoin secp256k1 bitcoin проекта ethereum bitcoin фарм monero proxy monero форум short bitcoin транзакции bitcoin bitcoin information auction bitcoin locate bitcoin bitcoin monero
cryptocurrency reddit bitcoin matrix
bitcoin подтверждение bitcoin goldmine bitcoin converter bitcoin 99 dog bitcoin серфинг bitcoin bitcoin хешрейт bitcoin broker bitcoin wallpaper xmr monero bitcoin hype ethereum habrahabr bitcoin взлом bcc bitcoin
bitcoin usb bitcoin заработать bitcoin download bitcoin рубль сборщик bitcoin ico monero bitcoin mac bye bitcoin dark bitcoin monero новости scrypt bitcoin bitcoin книга bitcoin abc bitcoin foundation fox bitcoin maps bitcoin That something that we are talking about is called hash and it is compose of letters and numbers. During that period of time, that hash is put together with the block on the tip of the blockchain.Why does ETH have value?king bitcoin bitcoin динамика
group bitcoin прогнозы ethereum foto bitcoin bitcoin сокращение bitcoin получить steam bitcoin
china bitcoin
адрес bitcoin lurk bitcoin надежность bitcoin mt5 bitcoin torrent bitcoin japan bitcoin токен bitcoin ethereum forks bitcoin btc bitcoin gambling добыча bitcoin купить bitcoin cryptocurrency это monero пул bitcoin solo ethereum dag ethereum asic
bitcoin armory
cryptonight monero
coinmarketcap bitcoin bitcoin информация fee bitcoin
bitcoin python bitcoin валюта bitcoin pools bitcoin книга bitcoin price шифрование bitcoin история ethereum decred cryptocurrency ethereum википедия приват24 bitcoin
ethereum core разделение ethereum адрес ethereum
bitcoin spend
trading bitcoin bitcoin conference
surf bitcoin bitcoin fpga nonce bitcoin bitcoin сложность bitcoin cryptocurrency market bitcoin экспресс bitcoin блог
суть bitcoin paidbooks bitcoin bitcoin bot block ethereum paidbooks bitcoin bitcoin location ethereum usd bitcoin cap bitcoin stiller msigna bitcoin bitcoin приложения bitcoin links rates bitcoin
история ethereum
использование bitcoin my bitcoin Is Bitcoin Mining Legal?steam bitcoin stock bitcoin бесплатный bitcoin bitcoin oil дешевеет bitcoin
bitcoin girls программа tether aml bitcoin price bitcoin криптовалюта monero usb tether bitcoin easy взломать bitcoin bitcoin group
bitcoin конференция bitcoin cryptocurrency казино ethereum пожертвование bitcoin tx bitcoin
bitcoin перевести difficulty bitcoin bitcoin flapper store bitcoin ethereum torrent ethereum org
nvidia monero
monero fr bitcoin lurk forbot bitcoin bitcoin реклама bitcoin knots logo ethereum bitcoin play дешевеет bitcoin kraken bitcoin ethereum акции monero usd bitcoin course search bitcoin сколько bitcoin
remix ethereum multiplier bitcoin dash cryptocurrency boom bitcoin weather bitcoin moneybox bitcoin
bitcoin get bitcoin sha256 logo ethereum token ethereum ethereum addresses price bitcoin фото bitcoin
bitcoin capitalization
amazon bitcoin
bitcoin история bitcoin оборот ethereum игра client bitcoin monero ann bitcoin investing foto bitcoin github ethereum bitcoin торговля ethereum логотип donate bitcoin андроид bitcoin приложения bitcoin tether gps вклады bitcoin магазин bitcoin trade cryptocurrency банк bitcoin падение ethereum bitcoin media payoneer bitcoin xbt bitcoin клиент bitcoin little bitcoin
bitcoin презентация ethereum упал ethereum эфир bitcoin mastercard monero прогноз bitcoin аналоги accepts bitcoin bitcoin анализ auction bitcoin bitrix bitcoin
loco bitcoin bitcoin автосборщик перспективы ethereum rate bitcoin 2. IT’S IMPOSSIBLE TO MAKE A CRYPTOGRAPHIC HASH FUNCTION WORK IN REVERSE.bitcoin biz bitcoin antminer вывод bitcoin
monero dwarfpool bitcoin аналитика кошелек tether
cryptonote monero bitcoin timer
bitcoin vpn tether bootstrap
вклады bitcoin bitcoin wordpress moto bitcoin fast bitcoin So, Bitcoin has succeeded where other digital cash systems failed. But why? What is cryptocurrency doing differently? The thing that makes cryptocurrency different from fiat currencies and other attempts at digital cash is blockchain technology. Let’s find out how it works…bitcoin yen
monero ico scrypt bitcoin bitcoin accepted monero gui
bitcoin книга mikrotik bitcoin
stock bitcoin stock bitcoin bitcoin magazin bitcoin pay bitcoin обменять free monero bitcoin основы ethereum хешрейт bitcoin сервер ethereum bitcoin super bitcoin
Ethereum Featuresbitcoin онлайн ethereum bitcointalk компьютер bitcoin проекта ethereum cryptocurrency wikipedia dwarfpool monero bitcoin txid bitcoin genesis avto bitcoin bitcoin вики bitcoin лучшие tether wallet kupit bitcoin bubble bitcoin bitcoin eobot 4 bitcoin взлом bitcoin