16 Ethereum

1. Some institutions have predicted that Ethereum will rise to $2500 by the end of the year, but it seems unlikely in the current market. Domain Kingdom's latest Ethereum price is $166, down 16% from yesterday
although the price of Ethereum continues to decline, there are still many investment opportunities. Nowadays, many people invest in Ethereum through virtual currency trading in the realm Kingdom, which is not affected by the rise and fall of prices, but also can invest less money in the shortest time to obtain more income.

2. Ethereum has considerable potential, given the recent and expected future developments. It is also the second largest cryptocurrency, at & RLM; P‏ r‏ i‏ m‏ e‏ X‏ B‏ T‏ Sheng coin net and & RLM; K‏ r‏ a‏ k‏ e‏ n‏ And & RLM; C‏ o‏ i‏ n‏ b‏ a‏ s‏ e‏ And other exchanges ranked second in terms of trading volume. Personally, I think we may see & RLM; E‏ T‏ H‏ At the top of the next cycle, it will exceed or be about 10K, and bitcoin will be about 30K. Of course, indivials don't know what will happen, but considering the current development, it may be from an indivial's point of view.

3.

There is an essential difference between Ethereum and bitcoin. What is the difference? Bitcoin defines a set of currency system, while Ethereum focuses on building a main chain (which can be understood as a road) to allow a large number of blockchain applications to run on this road

from this point of view, Ethereum's application scenarios are more extensive, which is why we say that Ethereum marks a simple monetary system in the era of blockchain

1.0, and a transformation to other instries and application scenarios in the era of blockchain 2.0

however, there is no perfect thing in the world. Although Ethereum has expanded the application scope of blockchain in all walks of life and improved the speed of transaction processing, it also has some disputes and doubts

first, the solution to the lack of scalability of Ethereum: slicing technology and lightning network

the bottom design of Ethereum, the biggest problem is that Ethereum has only one chain and no side chain, which means that all programs have to run on this chain equally, consuming resources and causing system congestion. Just like last year's very popular Ethereum game "encryption cat", when this game was very popular, it once caused Ethereum network paralysis

to improve the processing capacity, Ethereum proposes two ways: shard and lightning network. Let's introce these two technologies respectively

(1) fragmentation technology

vitalik buterin, founder of Ethereum, believes that the reason why mainstream blockchain networks such as bitcoin process transactions very slowly is that every miner has to process every transaction in the whole network, which is actually very inefficient. The idea of fragmentation technology is: a transaction does not need to be processed by all nodes in the whole network, as long as some nodes (miners) in the network are allowed to process it. Therefore, Ethereum network is divided into many pieces. At the same time, each piece can handle different transactions. In this way, the network performance will be greatly improved

however, the slicing technology is also controversial. As we all know, the important idea of blockchain technology is decentralization. Only when the whole network witnesses (processes) the same transaction can it have the highest authority. The Ethereum slicing technology is similar to the group witness, not all nodes witness together. In this way, it will lose the absolute "decentralization" attribute, and can only achieve the purpose of high performance by sacrificing certain characteristics of decentralization

(2) lightning network

lightning network uses the way of transaction under the chain. What does that mean? It means: when the participants of lightning network transfer money to each other, they do not need to confirm the transaction through the main chain of Ethereum, but create a payment channel between the participants and complete it under the chain

however, lightning network is not separated from the main chain. Before establishing a payment channel, you need to use the assets on the main chain as collateral to generate a balance proof, which indicates that you can transfer the corresponding balance. In the case that both parties of the transaction hold the balance certificate, both parties can make unlimited number of transfers under the chain through the payment channel

only when the off chain transaction is completed and the assets need to be transferred back to the chain, the balance change information of the main chain account will be registered on the Ethereum main chain, and no matter how many transactions occur ring this period, there will be no record on the main chain

another real benefit of lightning network is that it can save the cost of miners for you. At present, when we trade on the main chain of Ethereum, we need to consume gas and pay for miners. Once we move the transaction to the lower chain, we can save this part of the cost

Of course, lightning network is not perfect. When using the lightning network, the assets on the main chain should be used as collateral; And this part of assets as collateral can not be used before the user completes the transaction under the chain. This also determines that lightning trading is only suitable for small transactions

the above is the problem of insufficient scalability of Ethereum, as well as the two main solutions: fragmentation technology and lightning network

Second, there are loopholes in Ethereum's smart contract and the infamous Dao event

Ethereum's smart contract is very powerful, but there are loopholes in any code. The biggest controversy of Ethereum's smart contract lies in the so-called loopholes, that is, security issues. According to relevant research, 34200 (about 3%) of the nearly 1 million smart contracts based on Ethereum contain security vulnerabilities, which will allow hackers to steal eth, freeze assets or delete contracts, such as the infamous Dao incident

(1) what does Dao mean

before introcing the Dao event, let's first introce what Dao is. Dao is the abbreviation of decentralized

autonomous organization, which can be understood as decentralized autonomous organization. From the perspective of Ethereum, Dao is a kind of contract or a combination of contracts on the blockchain, which is used to replace the government's review and complex intermediate proceres, so as to achieve an efficient and decentralized trust system. Therefore, Dao is not a specific organization, that is to say, there can be many Dao, all kinds of Dao

(2) the infamous Dao event

however, when we talk about Dao now, we basically refer to the Dao event, that is, the infamous hacker attack event we just mentioned. As we know, the English word "the" refers to "the Dao event". The Dao event

refers to "the Dao event", because we just said that Dao is not a specific organization, there can be many Dao, all kinds of Dao

in 2016, slock.it, a German company focusing on "smart locks", launched the Dao project on Ethereum in order to realize decentralized physical exchange (such as apartments and ships). Since April 30, 2016, the financing window has been open for 28 days

unexpectedly, this Dao project is very popular. It raised more than US $100 million in just half a month. By the end of the whole financing period, it raised a total of US $150 million. Therefore, it has become the largest crowdfunding project in history. However, it didn't last long. In June, hackers took advantage of the loopholes in the smart contract to successfully transfer more than 3.6 million Ethernet coins and put them into a Dao sub organization, which has the same structure as the Dao. At that time, the price of Ethernet currency fell directly from more than $20 to less than $13

this event shows that there are loopholes in smart contracts, and once the loopholes are exploited by hackers, the consequences will be very serious. This is why many people criticize Ethereum and say that its smart contract is not smart

to solve this problem, many foreign companies begin to provide code audit services in order to solve the vulnerability problem of smart contract. From a technical point of view, some teams are currently testing smart contracts. Most of these teams are led by professors from Harvard, Stanford and Yale, and some of them have obtained investment from leading institutions

in addition to the problems of insufficient expansibility and loopholes in smart contracts, the controversy over Ethereum lies in the POS consensus mechanism it pursues, that is, the proof of equity mechanism. Under the proof of equity mechanism, if anyone holds more money and holds it for a longer time, he will get more "rights" (interests) and have the opportunity to get bookkeeping power, Bookkeeping can also be rewarded. In this way, it is easy to create the oligarchic advantage of "the stronger the stronger"

Another problem is the chaos of ICO. ICO is a common way to raise funds for blockchain projects, which we can understand as pre-sale. The outbreak of ICO projects on Ethereum has caused illegal activities such as fund allocation and money fraud under the banner of ICO, which has caused security risks to social and financial stability

4. Many institutional investors have begun to pay attention to Ethereum. Ethereum also rose and institutional investors have a lot to do with admission. I think Ethereum will go up. The stock exchange proposed to go to Zhongyuan, which is a seven-year-old stock exchange and has never had any security incidents. Trustworthy.

5. It contains only numbers 0 ~ 9 and letters a ~ F, a total of 16 symbols

6. Ethereum is an open source public blockchain platform with smart contract function. Ethernet provides decentralized virtual machine to process point-to-point contract through its special cryptocurrency

7. At present, there are many digital currency wallets, some of which have good personal experience

light wallets are good for imtoken, geekwallet, kcash, Cobo, etc.

Hardware wallets are good for ledger, trezor, etc., which involve large amount of digital currency or hold for a long time. Generally, hardware wallets are recommended

big body introces these personal good light wallets

1. Imtoken:

is a mobile light wallet app, which supports Eth and Ethereum erc2.0 standard tokens (such as EOS, DGD, SNT, qtum)

advantages: as Ethereum series light wallet, mtoken supports all the tokens of Ethereum erc2.0 standard, can control the miner's fee of each coin, can set the collection amount, and has convenient transaction record query, refreshing interface and easy operation, so it is suitable for ICO investors who need to receive a variety of erc2.0 standard tokens and trade infrequently

disadvantages: 1. The "discovery" mole of the wallet is not intuitive enough. 2. The tokens that can only be stored on the Ethereum platform, such as BTC and Neo, can't be stored. At the same time, the bifurcations of bitcoin can't be stored

2. Geek wallet

geek wallet is a simple and convenient light wallet, which supports the storage and management of mainstream digital currency assets such as bitcoin (BTC), lightcoin (LTC), Ethereum (ETH), EOS, usdt, etc. Using bip44 mnemonics, local private key, off-line signature and other security mechanisms, as well as mobile phone and computer al backup strategy, completely solve the loss of digital currency assets caused by hacker attacks, virus infection, mobile phone loss, forgetting mnemonics and other ways, and provide users with online Multi Chain digital assets one-stop management service. The platform also has tiaoshao market, which can carry out token trading of physical assets on the chain

advantages: it has high security factor, adopts local private key security mechanism, as well as mobile phone and computer al backup strategy, supports the current mainstream currency, and has a jump market on the platform, which can carry out token trading of physical assets on the chain

disadvantages: usdt transaction must use 0.0001 BTC as transaction handling fee, does not support some small currencies, page optimization is good, but the function is relatively few

3. Kcash

kcash is also a light wallet. At present, it supports BTC, ETH, LTC, etc, act and digital currency based on Ethereum and achain smart contract platform. Kcash has cross chain and cross contract technology, and the supported currencies are still increasing

advantages: as a Multi Chain Wallet, kcash supports multiple types of digital currencies and is very friendly to users who invest in multiple series of digital currencies. In addition, kcash also has the function of sending red packets, and in the future, it will launch currency transaction, bank card connection and other functions

deficiency: too many features lead to poor usability. In addition, there are some compatibility problems with Android versions. Some Android models will flash back when opening apps< Cobo

4. Cobo

Cobo is a professional digital asset management wallet, which can help you store your assets safely. The unique POS gain can help you increase the value of your assets. It supports more than 20 kinds of digital assets including eth, EOS and TRX, as well as more than 500 kinds of tokens

advantages: Cobo security is in the lead in the same level, using multiple security verification, hot and cold separation storage, HSM multi signature, Cobo provides you with stable income through intelligent voting, dpos vote pool, POS mining digital asset gain matrix

disadvantages: poor page optimization, complex functions, a little difficult to get started, and there is also a flash back problem of Android version

5. Ledger

Hardware wallet, which supports eth, BTC, zcash and other mainstream currencies, uses encryption chip technology to build security solutions for users, and is used to protect users' digital assets and block chain application security. This is a hardware bitcoin wallet specially designed for consumers. It provides enterprise level security hardware moles and hardware procts supporting the Internet of things

6, ledger

Hardware wallet, support eth, BTC, zcash and other mainstream currencies; Using encryption chip technology to build security solutions for users to protect users' digital assets and block chain application security. This is a hardware bitcoin wallet specially designed for consumers. It provides enterprise level security hardware moles and hardware procts supporting the Internet of things.