Have you heard about Ethereum?
Now that all the hubbub about bitcoin has died down and the king of cryptocurrencies is vacillating around a respectable $5000, the focus has turned to another cryptocurrency called Ethereum.
What is Ethereum?
Ethereum is a blockchain technology that creates a cryptocurrency called ether which functions like bitcoin and can be used for transactions. Like bitcoin, the blockchain is decentralized and does not require any banks or governing bodies’ validation for the transactions.
This cryptocurrency depends on smart contracts and there is no place for any third party here. So basically, what happens is that a code is created and uploaded to the blockchain. Whenever the conditions on the contract are met a trade is executed and it is stored in the public ledger granting access to everybody. This serves three functions – it prevents duplication of records, altering records and makes a transaction completely hack resistant. What makes this technology even more attractive is the lack of middlemen which not only cuts corruption but also saves money.
Besides just creating ether this ledger technology can be used in various fields to build new programs.
Created by Vitalik Buterin in 2013, Ethereum can be the game changer in the Internet of Things programs in the not so distant future. Its ability to be more than just a cryptocurrency is what has got the world excited and several fortune 500 companies are investing in it.
Cryptocurrency and the market
Though Ethereum is promising people have not stopped focusing on bitcoin and other cryptocurrencies. The cryptocurrency market in fact never sleeps and hence those trading in them are always on tenterhooks as they are not aware of what fate awaits them each morning. The market is highly volatile but very lucrative and that is why people are drawn to it.
Automated trading Robot like the Ethereum Code has become very popular among cryptocurrency lovers. These robots can stay awake all the time and monitor the market when the owners can sleep in peace each night. They are quick and more efficient than humans and will not be influenced by emotions. They work on preprogrammed algorithms that can execute trades and with the stop-loss order in place, the reigns of the trade remain in your hands at all times.
While the market is huge and there is an innumerable number of trading bots around that are free or charge a fixed rate, there is an equal number of scams around that you must be wary of. You must do your research before you invest in any trading bot.