ETH
$ETH, or Ether, is the native cryptocurrency of the Ethereum blockchain. It is used as both a form of currency and as "gas" to pay for transactions and computational tasks on the Ethereum network.

What is $ETH?
$ETH (pronounced "Eeth" or "Ether") is the native digital currency of the Ethereum blockchain, serving as the primary form of value within the network. $ETH plays a vital role in the functioning of the Ethereum ecosystem. It acts as both a currency and a utility token, allowing users to pay for executing smart contracts and interacting with decentralized applications (dApps) on the network.
One of the main uses of $ETH is to pay for transaction fees, also known as gas fees. Whenever a user initiates a transaction or executes a smart contract on Ethereum, computational power is required, and as an anti-spam mechanism fees are paid to the network which are then mostly burnt and removed form circulation. Gas fees are paid in $ETH, and the amount of gas depends on the complexity and resources needed for the size of computation formula and how much data is used as result. This model ensures that network resources are allocated efficiently and prevents abuse by imposing a cost on each action.
$ETH is also used as a medium of exchange and a store of value, much like traditional money. It can be traded on cryptocurrency exchanges, used for peer-to-peer payments, or held as an investment. Additionally, $ETH is crucial in the rapidly growing decentralized finance (DeFi) space, where it can be used as collateral for loans, staked for yield, or invested in various protocols to earn returns.
With Ethereum’s transition to Proof of Stake (PoS) as part of the Ethereum 2.0 upgrade, $ETH now plays a role in securing the network. Holders can stake their ETH to become validators, helping to maintain the integrity of the blockchain while earning rewards in the form of additional ETH. This incentivizes long-term holding and further supports the network's stability.
In essence, $ETH is more than just a cryptocurrency; it is the fuel that powers the entire Ethereum network, enabling users to interact with smart contracts, create decentralized applications, and participate in the evolving world of Web3.
Keywords:
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