Ethereum

Decentralising with Ethereum

Kumar Anirudha

Ethereum

An open software platform based on blockchain technology that enables developers to build and deploy decentralised applications.

Key Concepts


Let's skim over some basic ethereum terms and concepts.

Blockchain

Open transparent distributed database.

Chain of Blocks

Bitcoin vs Ethereum

  • Turing Complete Smart Contracts
  • Swarm
  • Whisper

Dapps

A Decentralized Application (or 'Dapp') is a piece of software consisting of a user interface (UI) and a decentralized backend; typically making use of a blockchain and smart contracts.

Solidity

Solidity is a contract-oriented, high-level language whose syntax is similar to that of JavaScript and it is designed to target the Ethereum Virtual Machine (EVM).


	pragma solidity ^0.4.0;

contract SimpleStorage {
    uint storedData;

    function set(uint x) {
        storedData = x;
    }

    function get() constant returns (uint) {
        return storedData;
    }
}

Ether (& Gas)

Ether is a form of payment made by the clients of the platform to the machines executing the requested operations.

Gas is the internal pricing for running a transaction or contract in Ethereum.

Ether used to pay gas = Gas price (that you pick) * Gas used (based on the computation)

Tools

Testnet (testrpc)

web3.js (web3-eth, web3-shh, web3-bzz)

Truffle

Dapp

Decentralized Applications

Every dapp must meet the following criteria:
  • The application must be completely open-source, it must operate autonomously, and with no entity controlling the majority of its tokens. The application may adapt its protocol in response to proposed improvements and market feedback but all changes must be decided by consensus of its users.
  • The application’s data and records of operation must be cryptographically stored in a public, decentralized blockchain in order to avoid any central points of failure.
  • The application must use a cryptographic token (Bitcoin or a token native to its system) which is necessary for access to the application and any contribution of value from (miners / farmers) should be rewarded in the application’s tokens.
  • The application must generate tokens according to a standard crytptographic algorithm acting as a proof of the value nodes are contributing to the application (Bitcoin uses the Proof of Work Algorithm).

Formation of Dapp

Outource It

Formation of Dapp

  1. A whitepaper is published describing the Dapp and its features.
  2. Initial tokens are distributed.
  3. The ownership stake of the DApp is spread.

Tokens

Crowd-sale tokens

Developer tokens

Premined tokens

Minable tokens

Demo App

The End

Questions?

Kumar Anirudha :
Facebook: @kranirudha
Twitter: @kranirudha
Github: @anistark
Mail: anirudha@blockchainedindia.com