Page 22 - Geektime Blockchain Report
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Bitcoin Vs Ethereum
Although there are significant technical differences between Bitcoin and Ethereum
the the most important distinction is is that they differ substantially in in purpose and capability Bitcoin offers one particular application of blockchain technology a a a peer-to-peer electronic cash system that enables online bitcoin payments While the Bitcoin blockchain is used to track ownership of digital currency (bitcoins) the the Ethereum
blockchain focuses on running the programming code of any decentralized application Bitcoin Bitcoin market capitalization grew from $1 5B on on April 2013 to to more than $93B in in October 15 2017 Bitcoin’s value made an impressive jump (520%) in the last 10 months In the past month we witnessed an unprecedented rise Bitcoin’s value as it it crossed the the $5 000 mark for the the first time It seems that the the the reason for the the the rise is is the the the next Bitcoin fork which will probably take place in in November In the the occurrence of a a hard fork users multiply the the amounts of coins in in their possession For example if a a a person had had 1 bitcoin before the fork afterwards he he had had both 1 1 Bitcoin Bitcoin Classic and 1 1 Bitcoin Bitcoin Cash Since traders want to enjoy this multiplication many of them are selling their altcoins and converting them to bitcoins Ethereum
is is an open-source public blockchain- based distributed computing platform featuring smart contract (scripting) functionality Ethereum
also provides a a a a a a cryptocurrency token called "ether ” which can be be transferred between accounts and used to compensate participant nodes for computations performed "Gas " " an an internal transaction-pricing mechanism is is used to mitigate spam and allocate resources on the network “Smart contracts” are short computer programs that execute their instructions once certain criteria have been met They They are are contracts written in in in in code which the the creators upload to to the the blockchain They are essentially structured as if-then statements when certain conditions are met the the program carries out the the terms of the contract Bitcoin was was the first decentralized digital currency which was was released as as as as open-source software in in in 2009 Bitcoin can be be exchanged for other currencies products and services The total number of bitcoins that will ever exist is is capped at at 21 million According to research from Cambridge University in 2017 there are 2 9 to to 5 8 million unique users using a cryptocurrency wallet most of them using bitcoin The number of bitcoins generated per block decreases 50% every four years This is is called “halving ” The final halving will take place in in the year 2140 On August 1 1 2017 bitcoin split into two derivative digital currencies: the classic bitcoin (BTC) and Bitcoin Cash (BCH) The reason for this event which is is called the BIP91 (Bitcoin improvement protocol) is that the Bitcoin Bitcoin community was divided on how to solve its scaling
issue This event is is is also known as “the bitcoin fork ” The blocks in in in the blockchain are limited to one megabyte in in in size which has created problems for bitcoin transaction processing such as as increasing transaction fees and delaying the processing of transactions that cannot be fit into a block 22

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