Ethereum

Ethereum is a decentralized blockchain platform and the second largest cryptocurrency by market capitalization. While Bitcoin was designed primarily as a peer-to-peer digital currency, Ethereum was built to be a programmable platform — a foundation for building decentralized applications (dApps) and executing smart contracts. These are self-executing pieces of code that run on the Ethereum network and automatically enforce the terms of an agreement without the need for any intermediary.

The native currency of the Ethereum network is Ether (ETH), which is used to pay for computation on the network — measured in units called gas. Every transaction or smart contract interaction requires ETH to compensate the validators who process and secure the network. In September 2022, Ethereum completed "The Merge," transitioning from a Proof-of-Work mining model to Proof-of-Stake, significantly reducing its energy consumption and changing how new ETH is issued.

For traders, Ethereum is one of the most actively traded assets in the crypto market and the backbone of the DeFi ecosystem. Thousands of tokens, protocols, and applications are built on Ethereum, creating a rich environment for trading, yield generation, and automated strategy deployment. Understanding Ethereum's gas mechanics, how transaction fees fluctuate with network demand, and how the Proof-of-Stake system affects ETH's supply dynamics are all important for anyone trading or building on the Ethereum network.