# Introduction to Ethereum By [Betty](https://paragraph.com/@betty-15) ยท 2023-04-19 --- Ethereum is a decentralized, open-source blockchain technology that enables the creation and execution of smart contracts and decentralized applications (dApps). Ethereum was created by Vitalik Buterin in 2013 and launched in 2015 as a decentralized platform for building blockchain-based applications. Unlike Bitcoin, which was designed primarily as a peer-to-peer digital currency, Ethereum was designed to facilitate the creation of decentralized applications that can be built on top of its blockchain. Ethereum's blockchain is capable of executing code in the form of smart contracts, which are self-executing agreements that automatically enforce the terms of a contract when certain conditions are met. Ethereum's native cryptocurrency is Ether (ETH), which is used to pay for transaction fees and computational services on the Ethereum network. Ethereum's blockchain is also capable of supporting the creation and management of other digital assets, such as tokens and non-fungible tokens (NFTs). One of the key features of Ethereum is its ability to support decentralized autonomous organizations (DAOs), which are organizations that operate through rules encoded as computer programs on a blockchain. DAOs can be used to automate decision-making processes, distribute voting rights and governance, and manage shared resources. Ethereum has undergone several upgrades over the years to improve its functionality and scalability. The most significant upgrade to date is Ethereum 2.0, which was launched in December 2020. Ethereum 2.0 is a major upgrade that is designed to improve the speed, security, and scalability of the Ethereum network by transitioning from a proof-of-work (PoW) consensus mechanism to a proof-of-stake (PoS) consensus mechanism. Proof-of-work requires miners to perform complex calculations to verify transactions and secure the network, while proof-of-stake allows validators to lock up a certain amount of ETH as collateral to participate in the consensus process. This shift to PoS is expected to make the network more energy-efficient, secure, and scalable. The Ethereum ecosystem has grown significantly since its launch and includes a wide range of dApps, protocols, and tools. Some of the most popular dApps built on Ethereum include Uniswap, Compound, and Aave, which are decentralized finance (DeFi) protocols that enable users to borrow, lend, and trade cryptocurrencies without the need for intermediaries. Ethereum's smart contract capabilities have also enabled the creation of NFTs, which are unique digital assets that can be bought and sold on the Ethereum network. NFTs have become increasingly popular in recent years, with some NFTs selling for millions of dollars. Ethereum is a powerful blockchain technology that enables the creation and execution of smart contracts and decentralized applications. Its ability to support DAOs, DeFi protocols, and NFTs has made it a popular choice among developers and users alike. With the launch of Ethereum 2.0, the future looks bright for Ethereum and its ecosystem. --- *Originally published on [Betty](https://paragraph.com/@betty-15/introduction-to-ethereum)*