Ethereum

Ethereum

Page updated: February 17, 2023

Ethereum is a technology that's home to digital money, global payments, and applications. The community has built a booming digital economy, bold new ways for creators to earn online, and so much more. It's open to everyone, wherever you are in the world – all you need is the internet.

What is Ethereum blockchain?

Ethereum is a blockchain-based decentralized computing platform that enables the creation of smart contracts and decentralized applications (dApps). It was created in 2014 by Vitalik Buterin, and it is currently the second-largest cryptocurrency by market capitalization after Bitcoin.

The Ethereum blockchain operates similarly to the Bitcoin blockchain, but with some key differences. One of the most significant differences is that Ethereum is designed to support smart contracts, which are self-executing contracts with the terms of the agreement between buyer and seller directly written into lines of code. This enables developers to build decentralized applications on top of the Ethereum blockchain, which can be used for a wide range of purposes such as voting systems, supply chain management, digital identity verification, and more.

The native cryptocurrency of the Ethereum blockchain is Ether (ETH), which is used as a means of exchange for transactions and for paying transaction fees. The Ethereum blockchain also allows for the creation of new tokens, which can be used for a variety of purposes such as crowdfunding, incentivizing behavior within a network, and more.

Ethereum in gaming

Ethereum has several use cases in the gaming industry, particularly in the area of non-fungible tokens (NFTs). NFTs are digital assets that are unique and cannot be replicated, and they are often used in the gaming industry for in-game items, such as skins, weapons, and other virtual assets.

Using Ethereum's blockchain, developers can create games that leverage the use of NFTs, allowing players to truly own and trade their in-game assets. This also opens up the possibility of players earning cryptocurrency by playing games and selling their NFTs in the marketplace.

One example of a popular Ethereum-based game that uses NFTs is CryptoKitties. In this game, players can collect, breed, and trade digital cats, with each cat being a unique NFT. Other Ethereum-based games include Axie Infinity, Gods Unchained, and The Sandbox, among others.

Beyond NFTs, Ethereum's smart contract functionality also offers possibilities for more complex games with built-in rules and mechanics that are enforced automatically, without the need for a centralized authority. This can enable games with more intricate gameplay and decentralized economies, where players can engage in complex interactions and transactions with each other in a secure and transparent manner.

Overall, Ethereum offers a wide range of possibilities for developers looking to create innovative and engaging games that leverage the benefits of blockchain technology.