Bitcoin is the first successful implementation of the blockchain technology that provided Internet its first secure and reliable digital currency. Ethereum on the other hand is a brilliant technology that takes the application of blockchain to the next level. Completely open-source just like the Bitcoin software, it is a novel project that promises completely decentralized apps and the ability to create and publish your own cyrptocurrency token.
It is a Bitcoin inspired software that promotes a game changing idea of smart-contracts. It provides the best platform to develop software that runs blockchain technology at its core. More than just a cryptocurrency, this platform provides the tools and techniques to successfully apply blockchain in open-source projects. Through the idea of smart-contracts it can build completely decentralized applications that cannot be stopped, censored or tampered with by any third parties. The decentralized app platform provides the opportunity to create your custom blockchain that enables to develop completely secure and transparent applications with no downtime.
According to Project Ethereum, Ether is the fuel for the network. Never a competitive cryptocurrency to Bitcoin, Ether is a token necessary to operate the platform and to incentivize development. Just like other cryptocurrencies Ether can also be mined. The protocols governing Ether are quite different from Bitcoin where, for a single block 5 ethers are created almost every 15 seconds. Unlike Bitcoin which is capped at a total of almost 21 million bitcoin, Ether is limited to 18 million ether every year. Although, Ether is the cryptocurrency of the Project, the word “Ethereum” is widely used for both Ether and the decentralized apps platform.