Given the increasing prominence of the idea blockchain tech will impact enterprise business, both retail investors and investment institutions are optimistic the market could soon develop into a vibrant new asset class.
However, to date, there have been few alternative digital assets that have offered a value proposition that differs from that of bitcoin, the oldest publicly traded blockchain-based cryptocurrency.
Today, bitcoin appeals to investors with both a high tolerance for risk and those who believe the digital currency could one day become a stable store of value and financial rail competitive in global commerce. Though often cited as volatile, bitcoin’s market remains one of the more stable among digital currencies, with a market cap today in excess of $7bn at press time.
Many alternative digital currencies, in turn, have offered a similar value proposition, and comparably more pronounced volatility.
Amid this landscape, ether, a currency transacted through the Ethereum platform, is perhaps emerging as a contender for more adventurous portfolios. Despite a recent slump in price, ether volume has seen strong growth as more global exchanges add the asset to their offerings.
Ether provides unique benefits not offered by alternative digital currencies, including bitcoin, but it also comes with its own set of risks and considerations. Interested investors can benefit from learning the basics of ethereum, as well as the key variables that influence ether’s price movements. What is Ethereum?
A platform for decentralized applications, Ethereum was invented by Vitalik Buterin and announced in early 2014 . At the time, Buterin indicated in public appearances he was keen to create an alternative blockchain-based system that would offer a superior arsenal of tools to global developers.
Launching in beta in July 2015 and in a production version this March , Ethereum’s big innovation is that it runs Turing-complete smart contracts , applications that rely on […]
