Ethereum (ETH) crypto review: A guide in 2024
Ethereum (ETH) review: Explore the latest insights, trends, and developments in the world of Ethereum cryptocurrency.
Our Verdict
Our Verdict
Ethereum is a decentralized blockchain platform that enables the creation and execution of smart contracts and decentralized applications (DApps). It was proposed by Vitalik Buterin in late 2013 and launched in July 2015. Ethereum's native cryptocurrency, Ether (ETH), serves as a means of payment for transactions and a unit of value on the Ethereum network.
Pros
- Decentralization and security
- Smart contract functionality
- Ethereum Improvement Proposals (EIPs)
Cons
- Scalability challenges
- Competition and alternatives
Starting price
$0.74Tokenization and DeFi
YesSupporting smart contracts
Ethereum serves as a platform for executing smart contractsUnderstaning Ethereum
Delve into the essence of Ethereum, tracing back to its origins. In 2013, Vitalik Buterin, a Canadian-Russian developer, introduced the Ethereum network via a whitepaper. A year later, after a crowdfunding campaign gathering 30,000 bitcoins, the Ethereum blockchain emerged. Initially dubbed "Frontier," Buterin's vision aimed to disrupt the financial landscape through the internet. Ethereum is a decentralized blockchain platform enabling the creation of smart contracts. Its global impact is evident through the proliferation of decentralized applications (DApps). Ether (ETH), Ethereum's native cryptocurrency, has achieved remarkable success since its inception, maintaining second place after Bitcoin. It's worth noting that Ethereum, though often referred to as a cryptocurrency, is a platform, leading to linguistic inaccuracies like "Ethereum crypto" or "Ethereum euro price."
How to purchase Ethereum (ETH)?
Ether (ETH), the cryptocurrency, is accessible for purchase on various well-known exchanges, such as Coinbase and Binance. These exchanges provide regular updates on Ethereum's price, allowing users to track its fluctuations. However, our review emphasizes eToro.com as a prominent platform for Ethereum acquisition. eToro stands out for its reliability, holding PSAN registration with the AMF, and adhering to regulations from CySEC, FCA, and ASIC. Offering a diverse range of cryptocurrencies and additional assets like indices and stocks, eToro requires a minimum investment of just €100.
Here's a guide on how to buy Ethereum on eToro:
- Leading copy trading platform globally
- Incorporates a social network for traders
- Allows trading of cryptocurrency CFDs
Tread 1 – Register on the crypto trading platform
Navigate to eToro.com and create your account. Click on "Start investing" or "Register" at the top right corner. Fill out the required form with your username, email, and password.
Tread 2 – Deposit funds into your account
Make your initial deposit on eToro, with a minimum of €100. You can use a credit card or choose from other payment methods available. Select your fiat currency deposit (euros or dollars) and specify the amount to transfer.
Tread 3 – Locate Ethereum (ETH) in the cryptocurrency list
Find Ethereum in the broker's provided list of cryptocurrencies. Click on Ethereum once you've found it, then proceed to validate by clicking the "Trade" button. Choose the wallet where you want to receive your cryptocurrencies.
Tread 4 – Purchase Ethereum on the platform
In the designated box, enter the amount you wish to invest in Ethereum. Click the "Open Trade" button to initiate the trade. Confirm your purchase by clicking "Validate."
Exploring the mechanisms of Ethereum
Ethereum operates on blockchain technology similar to Bitcoin, enabling cryptocurrency payments and facilitating the creation of decentralized smart contracts, free from third-party control. The blockchain serves as a publicly accessible ledger, updated regularly to prevent fraudulent transactions without reliance on traditional banking systems, offering a secure and immutable storage solution.
Ethereum blockchain
Users verify transactions through their wallets on the Ethereum blockchain, facilitated by its peer-to-peer network. Multiple computers continuously update the blockchain's state before disseminating results, ensuring network-wide security.
Smart contracts
Ethereum's distinguishing feature from Bitcoin lies in its smart contracts, computerized mechanisms that eliminate intermediaries, enabling transparent and reliable transactions.
Exchange security
Smart contracts enhance security in Ethereum transactions, ensuring cryptocurrency traders receive their assets as agreed upon. Transaction status verification is simple through the smart contract code.
Participation in ICOs
Ethereum's ERC20 standard allows programmers to create new tokens, facilitating fundraising through Initial Coin Offerings (ICOs). This grants token issuers the ability to generate unique digital assets on the platform.
Is investing in Ethereum in 2024 a wise choice?
After learning how and where to purchase Ethereum, it's crucial to examine its news and potential for growth. While some analysts suggest that it's not too late to invest in Ethereum, the cryptocurrency has experienced a period of stagnation. So, is it still advisable to buy Ethereum? Considering the balance between its benefits and drawbacks, our Ethereum cryptocurrency review affirms a positive stance on this question.
Ether's growth potential
Investing in Ethereum cryptocurrency can be lucrative for traders employing effective strategies. The price of ETH has shown consistent growth over the years.
Ethereum debuted in 2015 at approximately $1, with significant increases starting in 2016. The price surged to nearly $1,400 in 2018 before experiencing a downturn in the 2019 bear market, dropping to around $100. However, the market boom from 2020 to 2021 propelled Ethereum's price to over $4,500. A new stock market crisis in 2022 temporarily drove the price below $1,500, but it remained above the critical threshold of $1,000.
In 2024, Ethereum reached new highs amidst the cryptocurrency boom following the approval of Bitcoin ETFs. Platforms like Coinmarketcap or Coingecko offer real-time updates on the Ethereum price in EUR, enabling users to track its evolution and make informed decisions.
In our assessment, buying Ethereum still holds potential benefits due to significant network upgrades, including The Merge and the implementation of Ethereum 2.0. The transition to a new validation protocol, Proof of Stake, is expected to reduce energy consumption compared to Proof of Work.
What was the purpose behind Ethereum's creation?
Ethereum cryptocurrency has garnered investor attention due to its advantageous features, primarily revolving around its blockchain's utilization of smart contracts for secure and decentralized transactions. Before delving into purchasing Ethereum crypto, understanding its design rationale is essential.
Creation and management of decentralized applications
Ethereum empowers developers to decentralize numerous services. Through its DApps creation functionality, third-party services are eliminated, enhancing user satisfaction. Decentralized applications comprise code that facilitates transactions on the Ethereum blockchain.
Establishment of Decentralized Autonomous Organizations (DAOs)
Ethereum's purpose also includes the creation of DAOs, entities with multiple leaders. DAOs operate via programming code, reducing the necessity for human involvement on the blockchain. This code governs both centralized management needs and the organization's rules on a traditional blockchain.
Automated execution of smart contracts
Ethereum's platform is user-friendly for DApps developers while ensuring swift transaction processing. Moreover, human intervention is unnecessary, as smart contracts execute automatically. These features enable Ethereum to maintain its position as a leading platform for launching decentralized applications.
What is the current circulating supply of Ethereum?
Unlike Bitcoin, Ethereum does not have an ultimate cap on the number of coins in circulation. Currently, there are 120,149,688 ETH in circulation. Does this imply an inflationary model for Ethereum? Not necessarily. While the supply of Ethereum continues to increase, the network employs a mechanism known as "burn," removing a portion of circulating tokens. This helps control the balance between supply and demand. Specifically, Ethereum employs burning mechanisms, such as removing Ether coins used for transaction fees, to manage its supply dynamics.
