If Bitcoin is digital money, Ethereum is more like a global computer. It’s a blockchain designed not just to send value, but to run programs.
How is it different from Bitcoin?
Bitcoin focuses on being sound, decentralized money. Ethereum was built to be programmable, so developers can create applications that run exactly as written, without a company controlling them. Its native coin is called Ether (ETH).
What are smart contracts?
A smart contract is a program stored on the blockchain that automatically carries out an agreement when certain conditions are met — no middleman needed.
Think of a vending machine: you put in money, select an item, and it’s dispensed automatically. A smart contract works similarly — the rules are fixed in advance and execute on their own.
What can you build on Ethereum?
- DeFi: lending, trading, and saving apps with no bank.
- NFTs: proof of ownership for digital items.
- DAOs: communities that govern shared funds by voting.
- Games and apps that live entirely on the blockchain.
Why it matters
Ethereum showed that blockchains can do far more than move coins. By letting anyone deploy code that no one can secretly change, it opened the door to a whole ecosystem of decentralized apps — many of which we cover across our channels.