What is the difference between Bitcoin and Ethereum? Simply.

1. Purpose:

   • Bitcoin: Bitcoin was created primarily as a digital currency. Its main purpose is to be a decentralized and secure store of value and a medium of exchange, similar to traditional money but in a digital form.
   • Ethereum: Ethereum, on the other hand, is a decentralized platform for creating and running smart contracts and decentralized applications (DApps). It goes beyond being just a digital currency; it allows developers to build a wide range of applications on its blockchain.

2. Smart Contracts:

   • Bitcoin: Bitcoin's primary function is to facilitate peer-to-peer transactions. It doesn't have a built-in capability for executing smart contracts.
   • Ethereum: Ethereum is designed to execute smart contracts, which are self-executing agreements with the terms of the contract directly written into code. This makes Ethereum more versatile in terms of use cases.

3. Blockchain Technology:

   • Bitcoin: Bitcoin uses blockchain technology to record transactions and maintain the integrity of its ledger. It's a relatively simple blockchain, focused on the transfer of value.
   • Ethereum: Ethereum also uses blockchain technology but is more programmable. Its blockchain can store and execute code, allowing for a wider range of applications and functionalities.

4. Cryptocurrency vs. Fuel:

   • Bitcoin: Bitcoin's native cryptocurrency is BTC, and its primary use is as a digital currency for transactions.
   • Ethereum: Ethereum's native cryptocurrency is Ether (ETH), but it is used not only for transactions but also as "gas" to pay for the execution of smart contracts and operations within the Ethereum network.

In summary, Bitcoin is primarily a digital currency with a focus on peer-to-peer transactions and store of value, while Ethereum is a platform that enables the creation and execution of smart contracts and decentralized applications. Ethereum's blockchain is more programmable, making it a foundation for a wide range of decentralized applications beyond just currency exchange.