I sort of understand bitcoin but what the fuck is ethereum? How do you build applications on top of a blockchain...

I sort of understand bitcoin but what the fuck is ethereum? How do you build applications on top of a blockchain? What's a small contract? What does it mean they're programmable?

Other urls found in this thread:

etherisc.com/
ethereumbuilders.gitbooks.io/guide/content/en/what_is_ethereum.html
github.com/ethereum/wiki/wiki/White-Paper
youtube.com/watch?v=dP0-8D2fSb8
twitter.com/NSFWRedditGif

>small
smart*

it's all a meme to make them look like they're not worth nothing

Doubt it, reading about it it seems like a generalised distribution platform, and some businesses do use the technology etherisc.com/

Isn't eth soppose to be like a commodityto use computer power?

Yeah I think it's something like that (reading this ethereumbuilders.gitbooks.io/guide/content/en/what_is_ethereum.html )

Bump for curiosity. They say data can be stored on the blockchain. And that it can be used in the future for things like mortgages and other contracts. What does that mean? That's not information I want public. And surely I can't store my 2TB video collection there.

Read if no one clarifies

If Ethereum's shifting away from PoS to PoW then who's going to execute the smart contracts? I thought the point of it was using miner power to do shit that was actually useful rather than just trying nonces without effect?

all that can already be done via bittorrent and DHT like how facebook does, smart contracts and blockchain tech are just another joke part of the pyramid scheme

*from PoW to PoS

Can anybody explain the difference in these two? PoW makes sense for a currency to be based on even if it consumes power. What is PoS derived from and what gives it value?

It seems like ethereum is sort of a generalisation of DHT though? It's programmable and it discovers the nodes

>And surely I can't store my 2TB video collection there.

>unacceptable uses include using the EVM as a file storage, email or text messaging system, anything to do with graphical interfaces, and applications best suited for cloud computing like genetic algorithms, graph analysis or machine learning.

Let me try explaining from what I know.

Many times we promise to transfer money after some conditions are met. Take the example of making a contact to pay in the future (i.e. under the condition that the time passes by for enough much).
Now you make the promise, and all this is governed by the law, and you shall face legal circumstances of you fail to keep your promise. Ethereum, afaik, takes all this into the digital platform. The smart contracts act like a real contract, and even automatizes the payback process.
I'm not sure what exactly happens if you do not have the balance to keep your promise, though.

You can very well store your video collection in chunks on the blockchain, I guess. But that would cost you a fortune beyond this world, as afair the storage was the costliest bit of request you can make to the ethereum blockchain, even for very small amounts of data.

>acceptable uses include ???

How do they stop people from performing unacceptable uses?

That seems to me like saying "you shouldn't do X even though we make it possible" but how can they ensure that it's used the way they want?

Because no onr have enough money to store 2 TB of video there i Suppose.

That makes sense. So the data is completely public then? Is there some kind of encryption?

>Roughly, a good heuristic to use is that you will not be able to do anything on the EVM that you cannot do on a smartphone from 1999. Acceptable uses of the EVM include running business logic ("if this then that") and verifying signatures and other cryptographic objects; at the upper limit of this are applications that verify parts of other blockchains

>In order to prevent deliberate attacks and abuse, the Ethereum protocol charges a fee per computational step.

What if the condition is not met and the transfer doesn't go through? Can you cancel it and take your money back? Are transactions not mined until they pass the condition?

Why do they bother to label it unacceptable if the network is gonna get paid handsomely for it if anybody actually tries it?

See Sia

github.com/ethereum/wiki/wiki/White-Paper

Everyone on the blockchain is public; just encrypt the data yourself nig

can someone tell me if this is the right idea?
Each operation in a program run through the EVM costs "gas" which is ETH. In addition, any data supplied to that program has a cost. Miners run these programs and a nonce to earn ETH, and over time that nonce which has to be computed gets harder and harder to compute, making mining more difficult. The blockchain includes the results of these calculations and whatever data they came with. Is that how it works?

What happens if I publish something illegal on the blockchain? It's there permanently and then distributed by all nodes. Surely that can't be right.

yeah but the blockchain is designed by autist hackers so they don't care about this

Read the Ethereum white paper here One thing the white paper won't tell you is the EVM (Etereum Virtual Machine) is filled with bugs just like every other VM. So even if you use invariants and other 'programming via contract' techniques to prove your smart-contract it's going to get hacked eventually.

A more interesting network w/smart contracts and that is proof-of-stake is Cardano

Bitcoin also has a DSL, but it's completely crippled because they knew it'd be a disaster to allow people to write their own smart contracts with it

What about link?

>small contract
you use it to buy dem bigcorns

- Every Ethereum user has an account, which is essentially a keypair coupled with an Ether balance and a transaction count (nonce). To use your account, you make a transaction and sign it with the private key. This transaction is added to the network and mined into a block just like with Bitcoin.

- When you transact between two user accounts, all you can really do is to send Ether to the target account.

- Accounts are stored in the database, alongside the actual blockchain (transaction data, block data, etc).

- There is another type of account as well, called smart contract accounts (or usually just contract accounts). They have no keypair, but they have the Ether balance and nonce, and on top of that they are also allowed to contain compiled code and a simple, persistent, key-value storage. Both code and storage is kept in the state database, along with everything else.

The code is run in a virtual machine (The EVM), which is built into the Ethereum client.

- In order to trigger the execution of the code in an account, you simply target it with a transaction. It works pretty much like a regular transaction, and you can include Ether in the transaction, but you can also include additional data (called txdata), which is essentially just normal function parameters (integers, strings, etc).

to be continued...

- When a transaction targets a contract account, the code of that account will be loaded into the EVM, with the optional txdata as parameters.

Example:

I create a super basic wallet contract. It allows the creator of the contract to send ether to the contract account, and to withdraw it (i.e. order the contract to transfer its ether to the caller, if the withdrawal transaction is made from the account that created the contract).

This would require two things.

1 - The contract needs to register the creators account address when it is being created. In the Solidity language, this would normally be done in the constructor which would have code to capture the caller address and write it into a dedicated slot in contract storage.

2 - The withdraw function would just check if the call is done from the same account as it stored (by loading the address it has in storage and do an equals check against the current caller). If the address matches, then it transacts back to the caller address sending them the requested amount.

You can create much more advanced contracts then a wallet, that was just an example. Custom tokens is fairly popular, for example. It is even possible to build apps that are not based on a single contract, but systems of contracts where you would call one contract which in turn calls another contract, which maybe calls another, and so on, meaning the apps can become very complex.

do you have cryptos user?

Not really. I sometimes work with smart contracts and blockchain based apps though, as part of my job. Betting on the markets is not really my thing. Too risky.

youtube.com/watch?v=dP0-8D2fSb8

>this fucking guy

people think bitcoin is so anonymous because you don't have to put anything but a wallet address to move money, but actually the blockchain is one of the most creditable sources allowing you can trace every transaction. Now instead of just sending money, you can make contracts making agreements requiring payments and work.

I don't know if etherium requires RL authentication, but if they don't, it offers nothing new as anybody can just make a new wallet to scam people. If it does, however, your history of agreements will be forever tied to your real name.

cuckcoins belong on /biz/

t. Salty pc faggot