What is ethereum (ethereum) and how to make money on it
08 / March / 22 Visitors: 508 ★★★★★
Ethereum (from the English - ethereum) - the world's second cryptocurrency in popularity and trading volume. Thus, in 2019, the capitalization of etherium (ethereum) reached $ 32 billion. This popularity can be explained by the following qualities of cryptocurrency:
- support for blockchain technology (ethereum blockchain), which means the reliability of cryptocurrency
- opportunity to buy and sell etherium on many exchangers and cryptocurrency exchanges
- rapid rise in the price of ethereum (ethereum price) in 2017-2018, which made it attractive for investment
- Cryptocurrency was created in 2013 by Canadian programmer of Russian origin - Vitalik Buterin, co-authored with Gavin Wood.
What is the course of the aetherium, and where can it be seen?
For July 2019 the cryptocurrency rate ethereum (ethereum price 2019) exceeded $ 300. However, this is not the maximum rate of ether (abbreviated from aetherium) - in January 2018 the cost of aetherium to the US dollar reached 1 118. In 2015, for 1 aetherium (1 ethereum) gave a little more than 7 US dollars. Thus, we see that the price of airtime is quite variable, however, this is typical of other cryptocurrencies.
The exchange rate of the etherium to the dollar (ethereum to usd), ruble, hryvnia, and even bitcoin can be viewed online on specialized official financial sites. Moreover, the data on them are usually displayed today, and you can analyze the dynamics of the course since the creation of the air on the chart (ethereum price chart). On the same portals you can often read news about cryptocurrency (ethereum news) and Ethereum forecast forecasts, for example, for 2020, as well as use the online Ethereum calculator to calculate the price of 1 Ethereum dollar.
Among the most convenient such financial portals with information about the air are u.tradingview.com, www.coingecko.com, www.fxclub.org, prostocoin.com and others.
Where to buy etherium?
To make money on rising etherium prices, you can buy it on various exchangers, cryptocurrency exchanges, as well as by searching for the seller or buyer of the air.
Ethereum exchange is probably the most popular way to buy ether due to its ease of operation and availability. You can usually register for a cryptocurrency exchanger in just 5-10 minutes, after which you can buy Ethereum by paying for the transaction on the exchanger with a bank card, send a transfer via Internet banking from a card or current account, using an electronic wallet or using other payment services.
Coinmama, Cardbit, Changelly, Indacoin and others can be distinguished from the most convenient and reliable cryptocurrency exchanges. At the same time, the cost of etherium in exchangers is usually not the most profitable, as financial portals "wind" it by 1-1.5% to secure income for site maintenance and profit. You also need to be prepared to pay a fee to the financial portal and the bank for conducting a cryptocurrency transaction.
It is more profitable to buy etherium on special ethereum exchanges, where in addition to the lower ethereum rate may be set and a lower commission for the transaction. However, they require higher requirements for participants to conduct transactions with cryptocurrencies, for example, you will need to make a deposit to the account equivalent to $ 1,000. In addition, some of them may not support payment by bank card - you will need to send a SWIFT-transfer from your current account or pay for the broadcast of another cryptocurrency. Among the most profitable and reliable ethereum exchanges are Platov, Prostocach, 60 cek, 24paybank, Xchange, PolChange, Ramon Cash and others.
An even better bargain ethereum price can be provided if you find a seller or buyer of cryptocurrency yourself, and thus still avoid intermediary fees. However, the risk of fraud in this case will be quite high. Therefore, look for contractors only on well-known forums on the air, carefully study the information about the partner before the operation, and never send money for the operation in advance, and use escrow accounts.
You can sell etherium in similar ways by performing the operation in the opposite direction.
What is ethereum mining
Ethereum mining is the creation of a cryptocurrency by processing ethereum settlements online around the world. You help the system to conduct transactions, for which it pays you a fee in the form of accrued aetheriums.
When mining ethereum in the process of processing transactions, a unique block of data is created that confirms the authenticity of payment transactions. In short, it consists of the header of the previous operation, the transaction hash and a random number. The data chain that contains information about all previous transactions with cryptocurrencies is called a blockchain. For each processed transaction with Ethereum, you are entitled to a fee - a certain amount of cryptocurrency.
How to have etherium?
Ethereum mining is best done by Ethash / Dagger-Hashimoto algorithm, which can be done with video cards such as AMD and Nvidia, with a capacity of 3 Gig and more. However, to buy video cards and start earning a lot from ethereum mining at home, unfortunately, will not work.
Earning etherium without investments is impossible, for more or less normal income you need to buy more than 1,000 video cards, and the return on investment will exceed 1 year. Be prepared to face the difficulties associated with the maintenance of so much equipment (rent, cooling equipment, uninterruptible power supply, the need for high-speed Internet connection, etc.), which is difficult to provide on their own.
Therefore, for small investments, it is better to consider investing in ethereum pools (ethereum pool), or as they are popularly called etherium farms. The essence of ethereum pools is that you can buy a small share in large ethereum mining projects through special sites. Now there are many such offers on the market, and the most popular are ETH NanoPool, ETHpool / Ethermine, Mining pool hub, F2pool, Dwarfpool.
What is an ethereum mining calculator?
Investments for self-mining of the air are large, and to calculate the losses in fact - it's quite unpleasant, so before deciding on investments - you should carefully calculate future income and expenses, namely: future charges for air and its cost, the cost of buying mining equipment, rental of real estate for the farm, payment for electricity and Internet services and others. Since there are many variables, it is difficult to make calculations on your own, but you can use all sorts of ethereum mining calculators. Among the best are CryptoCompare, My Crypto Buddy, What to Mine and others.
The complexity of the etherium network
Ethereum difficulty shows how long it will take to process a transaction to receive ether from the system as a reward, and depends on the power of your equipment and the complexity of the data processing. In addition, the more miners work in the network of etherium - the more competition and the higher the complexity of mining, because only the first to process a transaction online - will be rewarded.
Ethereum taps are specialized sites, where you will periodically accrue airtime (or its share). The fact is that the owners of such sites place ads on it (for example, cryptocurrency exchangers) and share part of the profits with you to ensure traffic to the site. To receive cryptocurrency, you may periodically be required to take some action, such as clicking on a button or entering a code from a picture.
When choosing a crane for work, pay attention to the presence of a cumulative threshold - the minimum value of the amount of cryptocurrency that can be removed from the tap, as well as the speed of withdrawal of aetherium from the site.
Aetherium taps can be installed not only on a PC, but also on a mobile phone, for example, on Android. From the air of cranes with instant withdrawal of funds that actually pay, we can mention All Coins, MultiCoinFaucet, SwissAdsPayEthFaucet, YoBit, EtheremClix, Memeus. However, to earn an average salary on the sites of cranes may need to spend more than 400 hours a month, but if the air rate goes up - the income will be more significant.
Which etherium wallet to choose?
Decide whether you want to earn on the course of etherium, its mining or working with a crane - to carry out operations with cryptocurrency you will need an ethereum wallet. To do this, you can choose one of the following types of ethereum wallet:
- Hardware wallets on physical media (flash drive)
- Desktop wallets
- Wallets on mobile
- Wallets on paper
In terms of reliability, the most optimal today are hardware wallets on a flash drive. They are almost impossible to break, and the cost of the device is not very high and is 50-100 dollars. The only downside - you constantly have to "drive" money from the hardware to the online wallet for transactions and vice versa to save savings, which will take time. Therefore, wallets on physical media are best for long-term storage (not for daily transactions) and for more serious amounts of investment (if you bought 1 ether for $ 300, it makes no sense to buy a wallet for $ 75).
Online wallets are probably the easiest and cheapest way to create an ethereum wallet. There are many specialized sites on the Internet, including MyEtherWallet, Coinbase and, of course, the official online wallet - Mist. Registration on many of them is free, and takes 10-15 minutes, however, some of the portals were hacked by hackers, so do not keep large amounts in your e-wallet.
The desktop wallet is similar to the online wallet, but unlike it, when the registration and opening of the account takes place on the site - in the desktop program you need to install a special application on your computer. Such programs can often be free and usually support multiple cryptocurrencies at once (multi-currency wallet). Installation of the program usually takes 10-15 minutes, and you can log in with a password or key, which can be stored on your computer and token. Exodus and JAXX are among the most popular desktop applications.
If such a program can be installed and operated from a communicator, it is called a mobile wallet. Desktop and mobile cryptocurrency wallets have the same advantages and disadvantages as online etherium wallets.
If you do not trust electronic media, you can use a paper cryptocurrency, such as ETHAdress - a small piece of paper the size of a regular banknote, which contains a public and private key.
What is an etherium classic?
Ethereum classic is a subspecies of etherium. The division of etherium into ordinary and classic took place in June 2016, when after a hacker attack fraudsters managed to steal from one of the venture capital investment sites that work with the air, cryptocurrency for $ 50 million. It is good that under the terms of the exchange, it was possible to use the withdrawn funds only 28 days after the transaction, so the participants of the system managed to return the stolen amount.
There were 2 ways to fix the error - roll back the ethereum system before the attack by hackers or create a new branch of etherium to return the money to the victims through a smart contract. Most of the participants in the Ethereum network chose the latter option - this is how the Ethereum we use now appeared, and the former cryptocurrency remained on the old blockchain and became known as the Ethereum Classic.
The price of ethereum classic in 2019 was about 7 dollars for 1 cryptocurrency, and it failed to reach such a value as the usual ether. The maximum cost of ethereum classic was in January 2018 - about 44 dollars (for comparison: the price of regular air - 1,118 US dollars).