What is Ethereum (ETH) & how does it work?

Ethereum is the name of the network. “Ether” is the native cryptocurrency token used by the Ethereum network. That said, in day-to-day usage most people call the token “ETH” (or just “Ethereum”). As a way of sending, receiving, or storing value ETH works much like Bitcoin. But it also has a special role on Ethereum network.

Why is ETH so valuable?

For users of Ethereum, ETH is valuable because it lets you pay transaction fees. Others see it as a digital store of value because the creation of new ETH slows down over time. More recently, ETH has become valuable to users of financial apps on Ethereum. That's because you can use ETH as collateral for crypto loans, or as a payment system.

How do I get my ETH?

However you acquire your ETH, you’ll need to understand a few basic concepts. Every address on the Ethereum network is issued a public key and a private key, and you’ll need a wallet to manage your crypto holdings. Public key: Think of this as the crypto version of an email address.

What is Steth & how does it work?

Staked ether, or stETH, is a cryptocurrency token that represents an equivalent amount of ether (ETH) that has been staked. Staked tokens are locked up for an extended period to provide liquidity for staked ether. In the case of stETH, ether (ETH) tokens are staked until the Shanghai upgrade is implemented.