Ethereum is a cryptocurrency platform created for developing blockchain-based decentralized applications, or Dapps for short. It's also known as the second-largest cryptocurrency project after Bitcoin. Also, Ethereum has its native coin called Ether (ETH). Currently, Ethereum is famous for its smart contracts, decentralized applications, tokens, and EVM (Ethereum Virtual Machine).
What is Ethereum Wallet?
If you decide to convert your savings into cryptocurrency (to be exchanged for electronic money) or to start earning cryptocurrency, you need to choose a reliable wallet for it. Ethereum wallet is an application that allows you to manage your Ethereum Private key and send or receive ETH. Such wallets exist in desktop, mobile, hardware, or website versions. The most secure ones are hardware wallets; however, they may cost as much as $100 and may not be as convenient for everyday use (you have to take this hardware wallet with you to make a transaction).
Basically, a wallet is the main user interface through which a person interacts with the cryptocurrency system. Ethereum wallets allow both storage and management of one's assets: with this software, one can buy, send, receive, and exchange ETH. The Ethereum wallet contains private keys and public addresses and gives you full access to your funds. If you want to learn more about cryptocurrency wallets, check this detailed guide. Atomic is a desktop and mobile wallet, available for all major OS: Windows, macOS, Linux, Android, and iOS.
Ethereum Wallet Features
Now that you know what the main purpose of an Ethereum wallet is, why not look at a specific example of a user-friendly multifunctional wallet!
There are plenty of wallets that allow you to keep and manage the Ethereum native currency. You may find wallets designed only for ETH and ERC20 tokens, as well as custodial and non-custodial wallets. The wider the choice, the harder it gets to find the wallet that would meet your needs. Atomic Wallet is here to spare you the need to wander around hundreds of websites in search of the best solution!
Atomic is a decentralized multi-currency wallet. It supports more than 300 cryptocurrencies, has built-in Cryptocurrency Exchange, Staking, Buy Crypto feature, and 24/7 live support. It has become truly famous for its simplicity, convenience, excellent user-friendly interface, and security. The latter is ensured by the fact that your crypto is entirely under your control, as your seed phrase is stored only on your device; this offers full control over your assets. We provide you with the options to manage, exchange and buy ETH with a bank card.
The primary purpose of Atomic Wallet is not just to store cryptocurrency but to create a healthy multifunctional ecosystem that, in many ways, resembles a decentralized exchange. Atomic Wallet has an internal token - AWC (short for Atomic Wallet Token), which has many use cases in the ecosystem, such as dividends for holders and the cashback program. Furthermore, it also serves as a marketing tool for bounty and airdrop campaigns.
A significant advantage of decentralized wallets, in general, is the opportunity to manage cryptocurrency from any device. Still, you need to pay attention to how you store the backup phrase since that is the primary access to your funds. With Atomic, your Ethereum wallet is protected as long as you keep your seed, or private key, in a safe and secure place.
Ethereum Transaction Fees
It is important to understand that Atomic Wallet doesn't incur any fees for sending/receiving ETH; the only fee you're paying is the internal network fee set by the blockchain itself. This is to ensure that your transaction is added to the blockchain in a fast and secure way.
In classical blockchains, any cryptocurrency transaction requires a fee in order to be added as a block in the blockchain. Depending on the architecture of a given blockchain, the fee can be distributed in different ways.
For each computation performed in the Ethereum network as a result of the transaction, there is a commission to provide compensation for the maintenance of the network (the blockchain's mining and data storage). This Commission is paid in units of value called GAS.
There is no fixed conversion price. The sender of the transaction can specify any amount of GAS. On the other hand, the miner should check any transactions (usually the ones with the highest amount of the GAS reward are checked first). The average price of Ethereum GAS is typically around 20 Gwei (or 0.00000002 ETH) but can increase during high network traffic, as the next block has more competitors to be included in the next block.
To operate on Ethereum, the transaction sender must specify a gas limit before sending it to the network. The gas limit is the maximum amount of gas that the sender wishes to pay for this transaction.
Atomic Wallet is a new solution for secure storage and management of BTC, ETH, XLM, XRP, LTC, and more than 300 other coins and tokens. Atomic Wallet also allows users to buy cryptocurrency in USD or EUR and exchange their assets at the best rates through ChangeNOW, Changelly, or ShapeShift.
How to Use an Ethereum Wallet?
In order to enjoy the functionality of Atomic Wallet, one first needs to go through a simple process of creating a wallet. Download the installation file for your operating system from the official website and install the app. Run Atomic, click "CREATE WALLET," enter a secure password, and click SET PASSWORD. You will now see a 12-word seed phrase that can be used to restore access to the wallet. Be sure to keep in a safe and secret place! Then click "START USING ATOMIC."
You will then be taken to the wallet interface. In the first tab "WALLET," you will see the balance of all available coins and generated wallet addresses of different currencies. If you wish, you can sort the assets by volume, or hide negative balances. A remarkable feature of Atomic is the possibility to add any custom ERC20 (Ethereum-based) tokens to the wallet.
The "EXCHANGE" tab provides an opportunity to exchange tokens through partner exchanges - ChangeNOW, Changelly, and ShapeShift.
The "SETTINGS" tab allows you to change your password, get private keys that are securely stored in the encrypted form, as well as import an external wallet into Atomic Swaps Wallet (for this, you must enter a private key).
Why is Ethereum unique?
If you're reading this page, then you're likely to be curious about cryptocurrencies in general. In that case, learning about Ethereum is a good start!
Ethereum is an open software platform that was launched on July 30, 2015, by Vitalik Buterin, a Russian-Canadian programmer. Simply put, it is a distributed public blockchain network similar to Bitcoin.
However, there are two big technical differences between the Bitcoin and Ethereum systems. While the Bitcoin blockchain is utilized for tracking the ownership of digital currency, the Ethereum blockchain is made to run smart contracts. When mining, Ethereum provides its miners with Ethers (ETH), crypto-fuel that sustains the network. Ether (ETH) is used to pay for services, transaction fees, and other operations within the Ethereum ecosystem.
Ethereum is the platform that may transform the Internet as a whole by providing server-free solutions. The famous cryptocurrency brought in many innovations that are pushing forward the crypto industry as a whole. The technology of smart contracts opened up new prospects for programming and user experience. Companies that can implement transactions as smart contracts have been contracted as consultancies by organizations that want to decentralize their network transactions.
What is a Smart Contract?
Smart Contract is an essential part of the Ethereum ecosystem that was first mentioned in 1994 by a cryptographer Nick Szabo. It is a piece of code that automates the process of exchanging/buying money, shares, and other valuable items without intermediaries. The process of smart contract execution implies a fair and transparent deal between the sender and the recipient.
When running on the blockchain, a smart contract becomes a kind of self-operating computer program that is automatically executed when specific conditions are met. Smart contracts run on the Ethereum blockchain, which is why they run exactly as programmed.
You can use smart contracts for the transactions that you make every day; it could be the emails you send to your colleagues, the money that you donate, or the rent you pay for your home. Ethereum also works with Solidity – a new language for smart contracts. The digital token can be used as a currency, a virtual share, proof of membership, etc. The contract will automatically connect with any wallet because tokens use a standard coin API.
What is ERC20?
ERC20 is a set of standards for Ethereum tokens - the cryptocurrencies that utilize the Ethereum network for operations. ERC20 stands for Ethereum Request for Comment, where 20 is the number assigned to the request. This standard determines the majority of tokens and implies a common list of encoded rules. Atomic Wallet supports all types of ERC20 tokens. Furthermore, anyone can add any ERC20 token to the wallet.
What is GAS?
Each transaction uses a specific amount of processing power utilized by nodes that sustain the network as a whole. In order to keep the nodes active, there are transaction fees taken for every transaction broadcast to the Ethereum blockchain. These fees are called GAS and represent a unit measuring the required processing. The higher the gas requirement, the more Ether tokens the user will need to spend.
What are DApps?
DApps (Decentralized Applications) are based on the Ethereum network and work in a decentralized way without depending on centralized servers. All the data of such applications are distributed among the nodes.
The Ethereum platform allows developers any operations they want, unlike the other platforms, where they get a set of limited operations. If you want to develop your own dApp, you will have to connect to the Ethereum network. The easiest way to do so is through the native Mist browser. Mist provides a digital wallet for users to trade and store Ether, as well as a user-friendly interface and an opportunity to manage and deploy smart contracts.