What is Ethereum?

Stephen Grider
A free video tutorial from Stephen Grider
Engineering Architect
4.7 instructor rating • 29 courses • 728,804 students

Learn more from the full course

Ethereum and Solidity: The Complete Developer's Guide

Use Ethereum, Solidity, and Smart Contracts to build production-ready apps based on the blockchain

23:53:13 of on-demand video • Updated January 2021

  • Understand the why engineers would want to create an app with Ethereum
  • Build compelling blockchain applications using the Ethereum Blockchain
  • Design, test, and deploy secure Smart Contracts
  • Learn the true purpose and capabilities of Ethereum and Solidity
  • Use the latest version of Ethereum development tools (Web3 v1.0)
  • See practical examples to comprehend what the blockchain and mining are
English [Auto] We now have a better understanding of one of the original design goals of a theory and with that in mind we're now going to continue and start talking about exactly what theory is and how we work with it. This is going to be our first description of many of the theory and system. And I say the first of many because this is going to be kind of a primitive basic description of a theory. And as we go throughout the course we're going to come back and address more and more complicated topics in the Theertham ecosystem. So again this is our first taste and we're going to come back again and again and freshen up or kind of sharpen our understanding of different pieces of this puzzle. So let's take a look at this diagram right here. It's kind of a complicated diagram but I want to focus on some of these notes I have off to the right hand side. We're going to talk about each of these notes starting at the top and working our way down to the bottom. I'm going to do my best not to just read the text on here. There are kind of prompts and I'm going to discuss further about each of them. So the first thing we need to understand is that when we work with the theory we are working with a network of computers these networks are used to transfer money between different parties like you and me. And they're also used to store data the transfer of money and the storage of data are what allows us to create interesting applications which remember is the entire goal of a theory. The second thing to understand is that there are many different theories of networks. When you read about it theory I'm in the news you usually hear about oh the price of either coins is so-and-so dollars or you might hear about deploying apps to the theory and block chain or the theory or network. In reality there is one main theory of network that everyone uses for their deployment of production applications and it's where ether coins are actually worth US dollars or real money I should say. However there are many other theory networks out there. There are test networks so networks that are used solely for testing code and testing transactions. You can even create your own private Theertham network on your own computer that is restricted to just you or you can make your own network and open it to other people as well. The point is that there's not just one if you're network out there. There's many. And even in this course we will be creating our own little network next. Networks are formed by one or more nodes. And this goes coupled with the next note notes on here a node is a machine that is running in a theory and client message machine. I'm talking about a desktop or a laptop or any type of computer really. So we take a node. We install some software on it. We run that software and then it connects to non-theory network and starts becoming a part of the network overall. All these networks connect are seeing all these nodes connect together to form the actual network next. Anyone can run a node. So there's not just some specific set of people out there or important companies who run nodes on the real network. No. Anyone can create one. You can create a node I can create a node or we have to do is turn on our laptop download this client software and run it and boom we have a locally hosted node each node that we create. Or I should say each node on the network has a full and separate copy of the block chain. We haven't talked about the block chain too much just yet but that will be a huge topic of discussion throughout the course. So right now let me give you a very basic description of the block chain. We're going to see if right now that we can think of the block chain as being like a database that stores a record of every movement of money between different parties. And that's also where we store data. Again the key thing to keep in mind here is that the block chain can be considered to be a simple database and nothing else. All right so that's our first taste of what the theory of network is. Again I just want to throw some of these very basic descriptions and definitions out there and it's going to help ground us throughout the next task that we're going to go through. So let's pause right here. We're going to continue the next video and we're going to start getting our hands dirty in that next section. So I'll see you in just a minute.