Author: changehero
October 27, 2021

Ethereum Altair upgrade arrived on October 27, 2021 on the Ethereum 2.0 mainnet. Why was it so anticipated and what does it mean, explained in our new recap. Key Takeaways The Ethereum Altair upgrade is the first planned update to the Ethereum beacon chain (Ethereum 2.0). It was launched on Oct 27, 2021 at 10:56:23 […]

What is Ethereum Altair Upgrade?

Ethereum Altair upgrade arrived on October 27, 2021 on the Ethereum 2.0 mainnet. Why was it so anticipated and what does it mean, explained in our new recap.

Key Takeaways

  • The Ethereum Altair upgrade is the first planned update to the Ethereum beacon chain (Ethereum 2.0). It was launched on Oct 27, 2021 at 10:56:23 UTC and introduced some changes to consensus and rewards and punishment;
  • The hard fork will require action from node operators and validators and will not affect end-users of Ethereum beacon chain;
  • The Ethereum community anticipates that this update will serve as a stepping stone for the merger of legacy Ethereum chain and Ethereum 2.0 and usher in the transfer to Proof-of-Stake.

What is Ethereum Altair Upgrade?

Proof-of-Work Ethereum chain has had eleven upgrades so far, with the London hard fork being the latest. However, this has not been the case with the Proof-of-Stake Ethereum chain until recently.
Altair is the first scheduled update to the beacon chain of Ethereum (commonly known as Ethereum 2.0). It was performed as a hard fork, meaning once it is active, there is a new chain with new rules and old chain, which will die out.

When Will the Ethereum Altair Upgrade Happen?

According to the official blog post, Ethereum Altair upgrade will take effect in epoch 74240. In more common terms, this block activated on Oct 27, 2021 at 10:56:23 UTC.
When will ETH 2.0 launch and Ethereum 2.0 merge with the main network? While this planned upgrade to the beacon chain warms up the merger development, exact dates of arrival are still up in the air. Optimistic estimates put the date of launch sometime in 2022.

What Will Change?

Ethereum Altair upgrade will bring several new features and rules to the Ethereum 2.0 chain.

  • Light clients (abridged copies of the blockchain) will be able to participate in core consensus;
  • Fixed bugs and cleaned up incentive accounting (i.e. rewards calculation);
  • More strict slashing parameters (for stakers that do not participate and validate properly). This can be crucial for the security of the network, incentivizing all nodes to work properly.

As can be inferred from the list of changes, they will only affect validators and node operators.
What should an ETH holder do for the Altair upgrade? Ethereum holders and users do not need to do anything. Node operators and validators must upgrade until the deadline to keep working in the live version of Ethereum 2.0.
How will ETH staking work after the Altair upgrade? The hard fork does not change staking fundamentally, so aside from some changes in calculations of rewards and punishments, nothing changes much in Ethereum staking for now. Altair does not make withdrawals of ETH stakes possible yet, so validators will have to wait until the merge.

Tweets on Ethereum Altair Upgrade


While we were preparing this guide, Altair went live! The community is celebrating this milestone and is already looking forward to the next update.


News outlet Crypto Amb made an article raising and debunking concerns about the Altair upgrade. The only impactful fact is that 17% of the nodes remained in the old chain and might suffer the consequences.


User MinusWells explained why Altair upgrade is so vital to the merger of Ethereum networks and transition to Proof-of-Stake.

Conclusion

Community members have already dubbed Ethereum Altair upgrade a “low stakes warm-up” for the merger with Ethereum 2.0. Since the current iteration of beacon chain represents how Ethereum will work in the future, it is vital to have at least one dress rehearsal.
Did you like the breakdown? More news like this and informative guides can be found in our blog. Daily content and updates are routinely posted in our social media: Twitter, Facebook, Reddit and in Telegram.


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Author: changehero
September 8, 2021

In September, Ethereum was extremely close to renewing the May 2021 ATH. Can it be reached by the end of the year? We compiled this Ethereum price prediction 2021 basing it on the community voices, news and expert opinions. Ethereum Price Prediction 2021-2030 [table id=23 /] Ethereum price prediction 2021 state that Ethereum are divided […]

Ethereum Price Prediction 2021, 2025 and 2030

In September, Ethereum was extremely close to renewing the May 2021 ATH. Can it be reached by the end of the year? We compiled this Ethereum price prediction 2021 basing it on the community voices, news and expert opinions.

Ethereum Price Prediction 2021-2030

[table id=23 /]

  • Ethereum price prediction 2021 state that Ethereum are divided on whether the current ATH can be beaten;
  • Ethereum price prediction 2022 is very similar to the current year’s. In 2023, a new market cycle can propel ETH price up to $25k;
  • The targets for 2030 are even more vague, ranging from $5k to $23 thousand.

What is Ethereum and ETH?

Ethereum logo
Source: Ethereum

Ethereum is a decentralized platform that was envisioned as a “global computer” by Vitalik Buterin. It was built to support smart contracts that lets the users execute agreements without any intermediaries and more complex applications.
Today, decentralized applications (dApps) built on Ethereum form the ecosystems of decentralized finance (DeFi) and blockchain gaming, for example.
Ether (ETH) — often called Ethereum — is the native currency of the platform. It is primarily used for paying transaction fees as well as a means to sustain the network. 
In the newest iteration called Ethereum 2.0, ETH can be staked for a return instead of having to be mined. This version will have better scalability on the base layer, too, and the merger with the current chain is in development.

A deeper dive into the exciting world of Ethereum’s technology and Ether’s value can be found in our Beginner’s guide to Ethereum.

ETH Price History

Ethereum Price in 2015–2018

Ethereum Price in 2015–2018
Source: CoinMarketCap

In its first years of existence, Ethereum was pretty much a work in progress taking off the ground. All was going well until in June 2016, the DAO was hacked and bled $150 million dollars. 
The ETH price reacted by dropping from $18 to $10. This has also led to Ethereum Classic splitting off, which retains the ledger that did not roll back the hack.
Once the smart contracts were ready for deployment and use in 2017, Ethereum became a launchpad for ICOs. At the start of that year ETH price was only about $7. 
The technology to quickly program tokens for every purpose led to the boom in the novel fundraising scheme. This boom accelerated the bull run of Bitcoin and the market. 
Ether also skyrocketed to $1,342.73 at its peak in January 2018. In 2018, the cycle ended with a correction, ETH bottomed at $130, and a two year-long “crypto winter” began.

Ethereum Price in 2019–2021

Ethereum Price in 2019–2021
Source: CoinMarketCap

In 2019, Ethereum’s price opened and closed at around $125 for a coin. While the price stabilized, the platform was covering more and more use cases: it found an application in DeFi with stablecoins.
Decentralized exchanges powered by smart contracts gained traction, and the blockchain gaming sector grew. In 2020, the DeFi sector exploded, and Ethereum accounted for more than 90% of all the projects and value in the sphere. 
Despite the hype around the new financial products, Ethereum did not go on a rally until very late in the year. For most of the year, it was in a long-term uptrend, climbing from $130 to $600.
However, in December 2020 and in 2021 so far, Ethereum has been rallying thanks to Ethereum 2.0. The long anticipated upgraded network has finally hit mainnet, and now the devs are devising plans to merge the networks. 
Meanwhile, ETH has hit a new all-time high on May 12, 2021: $4,362.35. The development and expansion of the Ethereum platform was continuing, and in September ETH price got rather close to it ($4,022).
Another factor that contributed to the second run up is the London hardfork in August. One of the changes it introduced was the new fee mechanics which reduce inflation of ETH.

At the time of writing, ETH price is $3,735.39. The cryptocurrency is second only to Bitcoin in capitalization: $441,278,192,917.78 (19.33% of the total market cap).

What Can Influence ETH Price?

Tech updates

The Ethereum 2.0 update years in the making boosted the bull run by a huge margin. It started with Beacon, which introduced staking, but scaling solutions on layer one are still in the pipeline.
Regardless, it is only the first step in the direction of solving the scalability and sustainability issues. The existing network which supports the majority of dApps into space is still facing these problems.
Vitalik Buterin sees the solution in Layer-two solutions like rollups, sharding and plasma. The teams behind OMG Network and Polygon are already successfully implementing them.
The more global solution would include a merger of Proof-of-Work and Proof-of-Stake Ethereum networks with the transfer to the latter. The core developers are devising a way to do it but it won’t be until a year to two until a concrete solution is ready.

Post-London ETH Burn

In addition, ETH 1.0 is still upgraded, and the most recent hardfork London changed Ethereum gas fees. Now, the fee consists of a base fee, which is burned, and tip which goes to the miner.
ETH burn has become an important factor in the dynamics of the currency’s supply. The inflation rate of ETH is now lower than in Bitcoin (1.11% vs. 1.75%).
At the time of writing, 228 816 ETH has been burnt. The busier the network is, the higher the pressure!

Decentralized Finance and NFTs

Ethereum platform dominates DeFi, in which a lot of proponents see a promise of future value increase. More than that, ETH is simply needed to pay the “gas” fee for the transactions on the platform.
In addition, stablecoins are attracting a lot of attention to the network. Some of the largest by market capitalization stablecoins at the moment are USDT, USDC, BUSD, PAX and TUSD, all ERC-20 tokens.
Most recently, Ethereum-based NFT (non-fungible tokens) broke into the mainstream market. These days, there are way more blockchains to mint and trade NFTs but ERC-721 tokens still account for most of the NFT market.

Legal Status

Discussions of the legal status of cryptocurrencies concern not only Bitcoin. In fact, the position of governments on utility tokens like ETH is a huge precedent for the majority of other coins on the market.

The US Securities and Exchange Commission admits that Ethereum is not a security. Some investors insist that cryptocurrencies form a new asset class altogether, with Ethereum ETFs approved in Canada.

ETH on Twitter


Traders keep a close eye on the ETH charts this week. The most recent weekly candle is one of the best in months, and got really close to the current ATH.


In most recent Ethereum news, open interest in Ethereum futures has hit a new high.


Musician Steve Aoki shared his experience with Crypto Punk NFTs, explaining it simply with his own example. Crypto Punks are one of the most sought after NFT projects still, and it runs on Ethereum.

Ethereum Price Prediction 2021

Clever Crypto Ethereum Price Prediction 2021: $8,727

YouTuber Clever Crypto follows the movement of ETHUSD and their prediction of a potential pullback before a new leg up checks out so far. It can occur at the $3,900 resistance but if it is overcome, ETH can easily enter price discovery.
The price target for ETH in this bull market determined by this channel is $8,727.

FXLeaders Ethereum Price Prediction 2021: $4,000-4,400

Technical and fundamental analysis made by FXLeaders experts suggest an upward move but is not as bold as the previous forecast. They think that ETH may see the adoption as a store of value, like Bitcoin.

Ethereum Price Prediction 2021
Source: FXLeaders

On the daily chart, they point at the moving averages turning into support levels in July. Now they are helping to sustain renewed momentum.

Interactive Crypto Ethereum Price Prediction 2021: $5,000 EOY

Ether’s technicals are still strong, and the momentum it has gained lately is impressive. This has led analysts at Interactive Crypto in their Ethereum price prediction by the end of 2021 to conclude that 2021 will close (and 2022 open) with ETH at least at $5,000. 

Ethereum Price Prediction 2022–2024

LongForecast Ethereum Price Prediction 2022-2024: $7,017–25,656

Another bullish historical analysis comes from the Economy Forecast Agency. Ether will peak in mid-2023 and bottom in July 2024.
The new ATH of $25,656 is expected to happen in June 2023. The opening price of the time period will see ETH at $7,017 and close at $8,152 in 2024.

PrimeXBT Ethereum Price Prediction 2022-2024: $4,000-14,000

Ethereum Price Prediction 2022-2024
Source: PrimeXBT

The PrimeXBT team proposes this theory: the resistances ETH is facing right now will become support levels after the leg up to $14,000 corrects.
By 2024, a new wave in the cycle will start and the resistance at $14,000 will be retested again.

CoinArbitrageBot Ethereum Price Prediction 2022-2024: $6,396–$16,746

Finally, another service shows a very bullish projection for Ethereum, not unlike other experts. CoinArbitrageBot’s figures show the growth from $6,396.67 in 2022 to $10,726 in 2023 and $16,746 in 2024.

Ethereum Price Prediction 2025

Crypterium ETH Price Prediction: $10k

In a similarly optimistic forecast, Crypterium expects ETH to reach $10 thousand USD by 2025. All that is needed to do to reach it is to keep the devs’ hard work up.

Coinpedia Ether Forecast: $15k

An even less conservative target is given by another team of analysts, now on CoinPedia. Their confidence comes from the expectation that more teams will build on the network and increase its value.

Finder Ethereum Price Prediction: $17,810

Finder UK held a survey to find out the targets of the second cryptocurrency traders for 2025. The responding panel was bullish on ETH long-term, expecting it to rise to $17,810 by that year.

Ethereum Price Prediction 2030

Given how volatile the cryptocurrency market is and how difficult it is to predict the prices even in the short term, very few people dare to make claims for farther than five years in advance. 
Jai Pratap of Coinounce gives his estimation of over $5 thousand USD per ETH in 2030. However, that target was given before ETH renewed its ATH. 
More recent forecasts put the price of Ether in 2030 closer to $20 thousand, like the one given by CoinPriceForecast. In particular, they think in 2030 ETH can rise from $21,087 to $23,190.

ChangeHero’s ETH Price Prediction

The Bitcoin halving influenced the whole market and Ethereum broke the sideways trend of 2019 and 2020.
Ethereum still can find many more applications that we cannot imagine today. Other use cases like stablecoins and NFTs are also here to stay. 
We agree with the experts who recommend it as a long-term investment rather than for speculating in the short term.

How to Exchange ETH on ChangeHero?

Exchanging ETH with ChangeHero can be done in a few easy steps:

  1. Choose the currencies on the home page, amounts and the type of exchange. Provide your wallet address in the next step and check the amounts;
  2. Double-check the provided information, read and accept the Terms of Use and Privacy Policy;
  3. Send in a single transaction the sum of cryptocurrency you will be exchanging. Fixed Rate transactions have a 15-minute limit;
  4. All done? Now we are doing all the work: checking the incoming transaction and doing the exchange as soon as it arrives. 
    • The Best Rate transactions will use the rate current to the time when your funds arrive.
    • The Fixed Rate will use the rate at the time of step 1;
  5. As soon as the exchange has been processed, your ETH are on the way to your wallet. 

The customer support is available 24/7 in the chat on the website or through the email: [email protected]
How to sell Ethereum or buy it with a credit card? That is also very easy to do on ChangeHero. Check out this guide for instructions!

Conclusion

Even though this bull run seems to have slowed down, experts say that a new ATH of Ether is really close. Whether it can flip Bitcoin is also subject to much debate still.
Check out other educational and informative articles in the ChangeHero blog. For daily content, subscribe to ChangeHero on Twitter, Facebook, Reddit and Telegram.

Frequently Asked Questions

[sc_fs_multi_faq headline-0=”h4″ question-0=”What will be the price of Ethereum by the end of 2021?” answer-0=”By the end of 2021, analysts expect ETH to be trading between $4,000 and 8,727.” image-0=”” headline-1=”h4″ question-1=”What will Ethereum be worth in 2022?” answer-1=”Various sources give estimates in the range between $4,000 and $7,017 and for Ethereum in 2022.” image-1=”” headline-2=”h4″ question-2=”What will be the price of Ethereum in 2025?” answer-2=”According to different analysts, in 2025 Ethereum price can grow to $10,000-17,810.” image-2=”” headline-3=”h4″ question-3=”What will be the price of Ethereum in 2030?” answer-3=”While not certain, analysts predict that in 2030 ETH will be changing hands for up to $23.190.” image-3=”” headline-4=”h4″ question-4=”Can Ethereum reach $100k?” answer-4=”No forecast we reviewed is this bullish on Ethereum. The highest target lies at $25 thousand.” image-4=”” count=”5″ html=”true” css_class=””]


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Disclaimer

This article is not a piece of financial advice. No price prediction is guaranteed to provide exact information on the future price. 
When dealing with cryptocurrencies, remember that they are extremely volatile and thus, a high-risk investment. Always make sure to stay informed and be aware of those risks. Consider investitions in cryptocurrencies only after careful consideration and analysis and at your own risk.

Author: changehero
July 29, 2021

While ETH 2.0 still looms on the horizon, a heatedly discussed London hard fork is soon to hit the current mainnet. In this guide, we explain what it means for Ethereum users and developers. Key Takeaways The Ethereum London hard fork is set to arrive on August 4, 2021. After it is live, new fee […]

What Is Ethereum London Hard Fork?

While ETH 2.0 still looms on the horizon, a heatedly discussed London hard fork is soon to hit the current mainnet. In this guide, we explain what it means for Ethereum users and developers.

Key Takeaways

  • The Ethereum London hard fork is set to arrive on August 4, 2021. After it is live, new fee mechanisms will take place;
  • The fee change is included in the much discussed and controversial EIP-1559, as well as EIP-3198;
  • The new fees will consist of a base fee that will get burned and optional tips to miners.

What’s the current state of Ethereum?

London hard fork is the 11th planned upgrade to the Proof-of-Work Ethereum network. While Ethereum 2.0 is getting built, the majority of transactions still run on the PoW network.

Ethereum network upgrades
Source: Luit Hollander on Medium

Previous planned hard forks made the network what it is today. It can be hard to imagine but some things like NFTs or 2 ETH block rewards were not always present.
In 2016, the network was hard forked four times, with DAO fork being the most significant. It rewrote the history of the blockchain to mitigate the DAO hack and caused Ethereum Classic to branch off.
Next upgrade, Metropolis, consisting of two hard forks, Byzantium and Istanbul, stretched out from 2017 to 2019. Some of EIPs that were supposed to be included in the Istanbul hard fork, ended up in the Berlin upgrade this spring.
Many of the hard forks included a so-called “difficulty bomb” delay. “Difficulty bomb” is a mechanism designed for an eventual transition from Proof-of-Work (PoW) to Proof-of-Stake (PoS) which will make mining unfeasible once PoS Ethereum is functional.

What is Ethereum London Hard Fork?

So, as is clear from the previous section, London is the upcoming planned upgrade to the PoW Ethereum network.
When is Ethereum London hard fork? The Ethereum London hard fork date of arrival is August 4, 2021.
Do ETH holders need to do anything? If you are using an Ethereum client like Parity or geth, make sure to update it. If you are using third-party software to interact with the Ethereum blockchain, check in with them for information on support of the fork.

EIPs in ETH London hard fork

London hard fork is going to include five EIPs. But first things first, what is EIP 1559?

EIP-1559: Fee Market Change for ETH 1.0 Chain

EIP-1559 fee change
Source: BitMEX blog

This is the core change of the hard fork that caused so much debate. On the one hand, it will decrease inflationary pressure further but also cut miner’s rewards.
This EIP will change the fee mechanics so that instead of a fee auction for transaction priority there will be base fees and tips. Base fees will be burned while tips, which are optional, will keep going to miners.
Proponents of the change claim in the long term this will further keep total supply of ETH from inflating and depreciating.
Those who oppose the change (mostly miners) say that the new fee mechanics will not be effective to incentivize miners. After all, these days transaction fees make up a significant portion of miner revenue.
Despite the debate, the consensus has been reached and starting August 4, 2021 the EIP will be effective.

EIP-3198: BASEFEE Opcode

The second proposal extends the new fee mechanics to smart contract calls. This will help dApp developers and users by making fees more predictable.

EIP-3529: Reduction in Refunds

This proposal removes refunds for certain opcodes: it introduces a conditional limit for gas refunds so they don’t clutter the network. In practice, most refunds weren’t used as intended.
Users would ramp junk data in times of low fee costs and refund them when fees are high. This EIP is supposed to help declutter and stabilize the network.

EIP-3541: Reject New Contracts Starting with the 0xEF Byte

At the current stage, EIP-3541 won’t introduce a lot of change to the network. In the future, it can support modifications for new types of smart contracts.

EIP-3554: Difficulty Bomb Delay to December 2021

Finally, by now a staple of Ethereum hard forks, a “difficulty bomb” delay proposal. This time around, it will be delayed to December 2021.

Tweets on London Hard Fork


The update is due in less than a week, and the whole community is filled with anticipation.


London hard fork is significant not only for the Ethereum community. The entire crypto community is watching closely where the changes will take ETH.


Ethereum devs are updating the community on the status. Testnet development is proceeding with some bumps but it’s still better to fix before the release.

Conclusion

Cryptocurrency fosters innovations, and such changes are inevitable on the way to developing a fair and accessible financial system. Most of the holders do not need to do anything, client users will have to simply update to keep up with the network.
Stay in the know about the latest cryptocurrency events by keeping an eye on our blog. Updates on social networks are on Twitter, Facebook, Reddit and Telegram, follow and subscribe!


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Author: changehero
June 17, 2020

Ethereum started the second generation of blockchains, expanding on the capabilities of the technology greatly and introducing tons of new concepts into the industry. Today it’s hard to imagine the market without Ethereum and other currencies that exist because of it, though it has been around for only five years. In this article, ChangeHero team […]

What is Ethereum? A Beginner's Guide by ChangeHero

Ethereum started the second generation of blockchains, expanding on the capabilities of the technology greatly and introducing tons of new concepts into the industry. Today it’s hard to imagine the market without Ethereum and other currencies that exist because of it, though it has been around for only five years. In this article, ChangeHero team is going to answer all your questions about the most popular alternative cryptocurrency.

What is Ethereum?

In simple terms, Ethereum is a blockchain which has the functionality of smart contracts. They are compiled in Ethereum Virtual Machine (EVM) and executed on the blockchain. As for their function, smart contracts are the scripts or programs that run only if all the conditions stated in its code are met. Smart contracts let a robust variety of features such as tokens, dApps and prediction markets exist on the Ethereum platform.

The nodes that perform the computations are rewarded with a block reward of 2 ETH and the gas – essentially, a system of network fees in Ethereum, only in this case any record in the chain is rewarded. Since the Ethereum network is used not only for transacting with ETH but also for executing smart contracts, every computer doing the work is incentivized.

How was Ethereum created?

The idea of Ethereum was first presented in January 2014 in the whitepaper by Vitalik Buterin. Before that, he was looking into the solutions for creating applications on the Bitcoin blockchain, but, ultimately, came to the conclusion that fundamentally it is limited in its features, like backwards scanning or compatibility with more complicated scripts. The new platform would need to be built with a scripting language from the ground up.

Although Vitalik Buterin is often considered to be the face and voice of the project, he is not the only founder. Ethereum wouldn’t have happened without Gavin Wood, Charles Hoskinson, Anthony Di Iorio and Joseph Lubin. In early 2014 they finished figuring out the basics, laid out by Buterin, and decided to crowdsale the launch. The 31 thousand Bitcoin raised would be put to set the Ethereum Foundation, responsible for further development of the chain.

What has Ethereum made possible?

Stablecoins

Stablecoins are the tokens that are pegged to the value of another asset, for example, collateral in another currency or a fiat currency. This is achieved by both decentralized smart contract functionality and partial centralization: regulated issuance and custody of the backing funds.

Technically, stablecoin technology and principles do not require them to be built exclusively on Ethereum. Nevertheless, the fact that the most popular stablecoins like Tether and DAI are a part of Ethereum network greatly underscores the reliability of the platform.

Blockchain Gaming

Gaming on blockchain adheres to the same principles as other applications on blockchain: it is decentralized, censorship resistant and has consistent uptime. The last two are especially important in gaming, since in most cases with traditional centralized providers, like massive multiplayer online game publishers and game stores, your purchases generally do not belong to you and are “rented”, and there are often server downtimes for maintenance.

In addition, blockchain games allow for tokenization of collectibles and trading on in-game marketplaces, which are filled with other players like yourself, creating a unique small economy within the game.

Ethereum is one of the most popular platforms to build on, purely for its security and proven functionality. The games built on Ethereum include Decentraland, Gods Unchained and, of course, CryptoKitties. It is not dominating by a wide margin, since the transaction throughput is still being worked on. With the implementation of scaling solutions like sharding or Plasma, it might become an even more solid platform for game developers.

Decentralized Finance

Arguably the most important and potentially impactful application of Ethereum platform and smart contracts is for decentralized finance, or DeFi. In comparison to traditional banking, it is uncensorable, accessible, open and self-sovereign.

DeFi applications include asset management and issuance apps, alternative savings (like Dharma or Linen.app), decentralized exchanges like Uniswap, oracles, prediction markets, DAO, insurance and lending, among other things.

Some of DeFi applications on Ethereum have projects with networks of their own. The oracle network ChainLink can be used to transfer any data on-chain, making it secure and reliable. Prediction market Augur puts the future price betting on the blockchain, making it fair by incentivizing honest behavior. Plasma-powered decentralized exchange solution OMG Network’s mission is to provide accessible and fast financial services to anyone with Internet access. These tokens power their own ecosystems but at the same time work thanks to Ethereum.

What dApps on Ethereum are popular?

  • MakerDAO – this DAO includes OasisDEX, investment products and DAI stablecoin;
  • Brave Frontier Heroes is a crossover between Brave Frontier and My Crypto Heroes. Think of it as BF, but on blockchain — an acclaimed mobile RPG with the elements of virtual economy;
  • FunFair — the blockchain casino with the most active users, according to State of the dApps;
  • OpenSea — P2P marketplace for collectibles and NFTs;
  • Nexo — crypto loan platform;
  • Livepeer — uncensorable video broadcasting service;
  • Golem — decentralized computation network.

How are Bitcoin and Ethereum different?

Like we already said, Ethereum is a second-generation blockchain to the first one represented by Bitcoin. Its versatility, in comparison to the first cryptocurrency, is vastly superior. However, how does Ethereum do its job of transacting currency?

In Bitcoin, each new block is produced every 10 minutes (target block time), meaning a transaction will be recorded within approximately this time. The transaction throughput is artificially limited at 7 transactions per second, to decrease the chances of double-spending. Bitcoin is slow but once the record is done on the chain, the transaction is soundly confirmed. Ethereum is much faster in comparison, with a block target time of only 15 seconds. This increases the throughput of the network to 15 transactions per second, which also accounts for smart contract execution in addition to money transfers.

Bitcoin’s blocks are capped at 1 MB, and Ethereum’s have a block gas cap. Since gas is calculated by the lines of code a node has to execute, a maximum limit of processing for one block is 10 million Gwei.

Ethereum and Bitcoin transactions per day
Source: bitinfocharts.com

Since a “transaction” in Ethereum is not limited to value transfer, the number of it on average is larger than in Bitcoin. Ethereum “transactions” are hitting almost 1 million a day, while in Bitcoin this figure is closer to 300 thousand.

Active addresses on Bitcoin and Ethereum
Source: bitinfocharts.com

Nevertheless, the number of active addresses, another important metric for chain activity analysis, shows that there are more unique active addresses transacting Bitcoin than Ethereum.

How much is ETH worth?

The native currency in the Ethereum network is called Ether (ETH), though it is most often referred to as Ethereum, like the platform. Ether is issued via mining and its main value comes from enabling transactions and smart contract execution on the network with the gas system.

Gas is very similar to transaction fees in other currencies, but it is needed not only for transactions but for all computations performed by nodes. It is fully customizable, but usually there is no need to set it for more than a few cents. Gas is the reason ETH was so popular in 2017 and 2018, when the ICOs were the fad, and it certainly contributes to the popularity of Ethereum today, since the most used stablecoins are ERC-20 tokens.

 

Bitcoin and Ethereum Market dominance
Source: CoinMarketCap

Despite the fact that the market is undoubtedly dominated by Bitcoin, Ethereum also takes a considerable chunk of the total market capitalization. It took less than a year for ETH to reach 10% in market dominance in March, 2016. Since then and until 2018, Ethereum had almost the same market capitalization as the rest of the altcoins combined. A noteworthy exception was observed around mid-2017 when Ethereum and Bitcoin were on almost equal footing (31.17% in Ethereum vs. 37.84% in Bitcoin). This and early 2018, the time when the prices were soaring on the whole market, were as close as we could get to a true altcoin season. However, this trend changed and the major part of capitalization was in Bitcoin once again. Today, Ethereum holds about 9% of the whole market cap.

Ethereum price performance since its launch
Source: CoinMarketCap

The parallels with the previous chart are obvious: the higher the price, the larger is the market cap, though this is not a 100% correlation. In 2017, the first smart contracts for enterprise use were finalized, and the Ethereum price skyrocketed from $10 to $380 over a couple of months. Decentralized exchanges, blockchain games and stablecoins all contributed to that. On January 13, 2018, Ether price hit an ATH of $1,432.88.

Since then, the price has been corrected and did not see such crazy spikes. At the moment of writing, a single ETH is worth $231.84 according to CoinMarketCap. For more detailed price history, you can check out our Ethereum Price Prediction.

How to put ETH to use?

 

Ether coins
Source: Quote Catalog

Buy Ethereum

Being a second only to Bitcoin cryptocurrency, Ether is listed on almost every crypto and hybrid exchange. To buy ETH on an exchange, a user would have to make an account and have it approved first, then make a purchase, then withdraw. To circumvent this somewhat complicated process, on ChangeHero, you can buy Ether after a quick verification, and the whole process will not take more than 15 minutes. Oh, and did we mention it works both ways, so you can sell it as well? If you already own other cryptocurrencies, you can use them to purchase ETH even faster and with no registration at all with instant swaps provided by ChangeHero.

Ethereum Wallets

Unique to Ethereum are smart contract wallets. In these apps you can do things that are not normally possible on other blockchains: recover funds, set fraud alerts and limit withdrawals. Wallets like this include Gnosis Safe, Argent and Authereum. The obvious drawback is that these wallets work with Ethereum only, so you can only store ETH and ERC-standard tokens there.

Most multi-currency wallets support Ethereum. For hot storage we recommend Exodus and for cold storage, you can pick Trezor or CoolWallet S, because in these you can exchange cryptocurrencies with ChangeHero as easily as on the website but without leaving the app.

Spend Ethereum

In addition to utilizing ETH in the Ethereum ecosystem’s apps, you can purchase goods and services in any shop or with any merchant that accepts ETH or has a payment gateway installed. It doesn’t have to be an online shop or platform, since there are lots of real-life shops and hotels that also accept such payments. Roughly half of all merchants that accept cryptocurrencies support Ether payments. The full list can be found here.

What is Ethereum 2.0?

As far as the future updates are concerned, all eyes are on Ethereum 2.0 now. Simply put, it is a completely new iteration of the original network, introducing new features to the technology: sharding and proof-of-stake. PoS will be introduced in the Phase 0 of the beacon chain of Eth2.

PoS will make the Ethereum network more secure and sustainable. The increased security comes from increased responsibility for running a validator node. To claim one, 32 ETH (~$7,418) would need to be locked into the system, and in case any malicious activity is performed by the node, the rewards get slashed in part or entirely. However, running a validator node and sustaining it is a dependable source of passive income in the form of validation rewards, so this model will attract even more investors.

Sharding is supposed to be the solution to Ethereum’s scalability problem. Shard chains are supposed to multiply the amount of transactions processed simultaneously. Since the number of them is planned to be 64, in theory, the speed of transaction processing should increase accordingly. Sharding is supposed to roll out in Phase 1, and there is no set launch date for it yet.

In total, the new network will not replace current Ethereum entirely but will coexist with it, at least until Phase 2. This new network will be even better fit both as a means of value transfer and money transacting, and a platform for smart contract-enabled applications and assets.

Is there anything wrong with Ethereum?

Of course, Ethereum is far from being a perfect technology. There are adaptability concerns, already mentioned scalability problems, some critique addresses even security issues.

Decentralization and community governance, as well as rigidness of the blockchain structure makes adaptability a huge issue for Ethereum. In the 2016 DAO hack, when a hacker exploited a smart contract vulnerability to drain millions of ETH from the account that was supposed to become a venture fund for development on Ethereum, the damage could have been prevented by a hotfix. Of course, singlehanded issuance of changes to the network was not possible in this case. In addition, an attempt to write this case out of the history of Ethereum to return the stolen funds caused a schism in the community.

Then there is scalability. The gas limit which has already been increased in September 2019, is being put to test again under the pressure from stablecoins and dApps running on Ethereum. The definitive solutions like sharding are not expected to happen even in the first phase of Ethereum 2.0, so the community has to settle on gas limit increase.

The best practices to avoid known attacks are described in a guide by the Ethereum Foundation developers, but there is a lot more potential for exploitation with the new kinds of code being developed for Ethereum every day. And, like we already said, there would be no quick way to fix a smart contract due to it being executed on the blockchain.

What does Twitter say about Ethereum?

Ethereum is not a niche crypto project by any means. It might not be such a common household name as Bitcoin, but it is definitely not limited to Crypto Twitter and its own community.

J.K.Rowling using her wit on Tweets about Bitcoin and Ethereum
Source: Twitter

On the weekend before this Tweet, J.K.Rowling asked her followers to explain Bitcoin to her. Little did she know that by doing so, she summoned the entire crypto Twitter to her mentions for the rest of the weekend. Some outlets interpreted that as genuine interest, to which Rowling retorted wittily.

Elon Musk about Ethereum
Source: Twitter

Elon Musk attempted to express his thoughts on Ethereum in a cryptic and concise way. (Which, of course, left a bit too much room for interpretation and not a bit of nuance). This sparked a brief back-and-forth between him and Vitalik Buterin, which proved that the eccentric billionaire was genuinely interested in how the technology can be applied in real use cases.

A suspicious transaction which involved 10,668 as ETH gas fee
Source: Twitter

In some recent news, a suspicious transaction on Ethereum caught the attention of the community. The reason? A 10,688 ETH gas fee to transfer 0.55 ETH. But what made the mystery even more captivating was that this happened not once but twice. The situation is still unresolved, as far as everyone is aware.

TheCryptoDog about Ethereum
Source: Twitter

Obviously, Ethereum is a traders’ altcoin darling, and @TheCryptoDog promised that this summer is going to be pretty interesting for ETH holders. Again, are we sure what he meant by that? Not really, but that is how Twitter is. One thing is certain, Crypto Dog knows what he’s talking about.

Conclusion

So, in short, Ethereum is the blockchain/cryptocurrency of the second generation, which sparked a lot of innovation in the sector: ICOs and tokens, stablecoins, DEX and dApps. Like Bitcoin, it inspired a lot of alternative chains that promise to improve on some parts of its premise, but Ethereum remains a standard for the blockchain-powered platforms.

The development of Ethereum looks very promising, and it is a sound asset even now. So if you would like to get some Ether, you can do it on ChangeHero, both with other cryptos or fiat currencies. Check our service out to see for yourself — it’s easy, hassle-free, safe and lightning fast!

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Author: changehero
December 4, 2019

Ethereum revolutionized crypto sphere by unleashing the full potential of blockchain. It gave a major breakthrough by enabling developers to build DApps on-chain and laid the foundation to the second generation of the Blockchain. The network has been upgraded over and over again but its scalability is still an issue. Ethereum’s Istanbul Hardfork is going to […]

Ethereum Istanbul Hard Fork by ChangeHero

Ethereum revolutionized crypto sphere by unleashing the full potential of blockchain. It gave a major breakthrough by enabling developers to build DApps on-chain and laid the foundation to the second generation of the Blockchain. The network has been upgraded over and over again but its scalability is still an issue.

Ethereum’s Istanbul Hardfork is going to take place on 7th of December. Though the term “Hard fork” sounds scary to some, there isn’t much to be worried. In this post, ChangeHero attempts to clear up things regarding the upcoming Ethereum Hardfork.

What the Fork!

A hard fork is often misinterpreted as a process of blockchain parting ways but it can also be used for upgrading the current network. In the past, there were few instances of creation of new chains from the existing ones due to a hard fork like Bitcoin Cash, Litecoin, and Ethereum Classic also came into existence after the infamous DAO hack. Istanbul event is a planned fork and will be focused on upgrading a few aspects of the blockchain to improve the performance and efficiency. The 8th network upgrade will take place at the block number 9069000 and expected this week.

Ethereum has previously succeeded in pushing updates to the platform in batches. Byzantium and Constantinople — sub-sections of the massive Metropolis upgrade is an impressive example of such. Ethereum has decided to take the same approach and divided the fork into two parts. Istanbul Hard Fork is Ethereum Improvement Proposals (EIPs) driven. For starters, EIPs are the design documents that provide information about new features including core protocol specifications, client APIs and contract standards.

The first part will include six EIPs related to code modifications that will be upgraded this December.

  • EIP-152: Adds Equihash PoW to the contract and enables Ethereum to conduct relay and atomic-swap transactions with Zcash.
  • EIP-1108: Brings down the expensive zk-SNARKs price, reduces the gas costs and enables cheaper scaling and building privacy-oriented applications.
  • EIP-1344: Adds ChainID opcode for contracts to track the correct chain of state and plasma. It also prevents replay attacks between different chains.
  • EIP-1884: Adjusts the price of EVM opcodes to match with the computation required for a specific operation. It also prevents spamming attacks and balances blocks.
  • EIP-2028: Makes zk-SNARKs and zk-STARKS cheaper by bringing down the prices of gas required for calling data in the transactions.
  • EIP-2200: Restructures calculation of the cost of storage in EVM. Reduces the cost of gas and add news features like re-entry locks and same-contract multi-send.

The initial edition of the event would not have a significant impact on the Ether. Users need not take any additional measures to store or trade Ether. Node runners will have to update their software to a fork-ready version.

Much-awaited sequel

The second part of Istanbul is expected to take place in the first quarter of 2020. Around 8 EIPs have been accepted so far for the second part of the fork including the most anticipated shift to PoS consensus. This results in fixing the problem of scaling and process more transactions per second.

Furthermore, ProgPoW is also expected to be launched during the second instalment of the fork. By introducing this new protocol, Ethereum reduces the effectiveness of the AISCs and enables the traditional GPUS to be utilized in mining. It would ensure that everybody has an equal opportunity to mine Ether.

Road to Ethereum 2.0

Ethereum gave the necessary breakthrough in the world of blockchain. It is the second most valuable and popular cryptocurrency trailing behind the Bitcoin. Though Ethereum is comfortably leading the altcoin pack, other projects are catching up with technological advancements. Ethereum 2.0 can be expected to launch in 2020 powered with a new token and PoS consensus protocol. It would fine-tune the protocol with higher scalability, stability and security. Istanbul Hard Fork is the much-needed upgrade for Ethereum to keep them in the race with others.

On ChangeHero you can buy Ethereum by simply swapping it with Bitcoin and other cryptocurrencies. Also, you can buy Ethereum with your Visa or Mastercard in a matter of minutes.

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