Ethereum (ETH) is an open-source blockchain network built on Proof-of-Stake and designed for distributed computing, including smart contract (scripting) capabilities. Ethereum’s native cryptocurrency is Ether, which is moved between accounts to reward participant nodes for the computations they carry out. Unlike BTC, Litecoin, and many other cryptocurrencies that are often used for payments, Ethereum is primarily focused on serving as a computing platform.

It enables users to create and deploy decentralized applications and tap into the network’s processing power.

Ethereum is also commonly used to launch other cryptocurrencies. The ERC20 token is set as a standard by the Ethereum Foundation. With it, developers of different coins can use the token framework to raise funds through an ICO.

Ethereum’s Price Chart & Historical Ethereum Prices

Ethereum went live on 30th July 2015, and shortly after, the earliest transactions were recorded. Within a month, Ether was being priced at roughly 1 to 3 USD. By August of that year, the price had settled around $1 and stayed in that range until the New year. After that, starting in January 2016, the value climbed gradually, reaching a point where Ether was reportedly being sold in June for up to $18.

Around this period, the DAO project was crowd-funded using Ether. The ICO was later paused after an exploit was identified in late June, enabling a hacker to siphon millions of Ether from the crowdfunding pool raised for DAO.

Ether’s price then dropped and remained near $11 until March of the next year, when it moved back beyond the $18 level. One major factor cited for this was a dispute within the community between those who believed the protocol should be altered and those who preferred to keep it unchanged.

How to Buy Ethereum

Buy Ethereum P2P

A simple and fast way to purchase Ethereum is to buy directly from someone who already holds it. You can request that a person with ETH send it to the address of your wallet, and then reimburse them for the amount, whether in person, via bank transfer, or through PayPal. The drawback is that this approach depends on trust between the two parties, which can make it difficult for newcomers.

Ethereum Service

If you want something more straightforward and less stressful, there are multiple established, reputable services where you can buy cryptocurrencies-such as Ether-using the fiat currency of your choice. With this method, you pay them first based on their reputation, and then they credit the correct address with the corresponding amount of ether.

Exchange Cryptocurrency

You can also get Ethereum by trading another cryptocurrency you already own. For this, you’ll need to use an online cryptocurrency exchange.