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In its simplest form, it is a blockchain-based open source platform created for the development and distribution of applications that are not based on ethereum. Ethereum is a public resource just like bitcoin. Although there is a technical difference with Bitcoin, the most important difference is that the two differ in terms of purpose and capability. While it uses the Bitcoin blockchain technology to track the ownership of digital money, it uses ethereum blockchain technology for the development and distribution of decentralized applications. On the Ethereum blockchain, miners feed the network and earn Ether in return. They can use ether for every transaction and service to be performed by application developers. There is a second type of blocks used to pay miners' wages. This is called gas.

Gas is called the fee or pricing required to successfully complete a transaction and make a contract on the blockchain. The pricing and exact price of the gas are determined by the network's miners. Smart contract is expressed as computer code that will simplify the exchange of shares, content, property, money or any other value. Almost all blockchains are capable of processing code, but most have limited processing capacity. But ethereum is free from all these limitations. Instead of making a limited set of transactions with Ethereum, it offers application developers the opportunity to make an unlimited transaction. Unlike other digital currency systems of Ethereum, it is a platform that offers application developers an opportunity to develop and distribute decentralized applications.