Solidity is the computer code that makes the Ethereum network run. It allows for the creation of smart contracts and Dapps on the platform, expanding on what networks like Bitcoin can offer.
In the beginning, there was Bitcoin. It was a fast, easy way to exchange money in a decentralized way – no banks involved. And people could trust it because every transaction is recorded in a public ledger that can’t be changed.
But Bitcoin was limited. Blockchain technology had the potential to do so much more than peer to peer currency exchanges if it had the right code. So the Ethereum network was created, underpinned by a new language called Solidity.
Computer scientist Gavin Wood originally came up with the concept of the Solidity language. Wood served as the CTO at Ethereum for two years. His idea was taken forward by Christian Reitwiessner, who led a team of people to actually develop it.
Solidity is the code behind Ethereum – one of the largest blockchain platforms in the world. Ethereum is widely known as the evolution of Bitcoin, though the two are sometimes confused.
They do share similarities – like being a blockchain platform with a built-in token. Bitcoin’s currency (Bitcoin) and Ethereum’s currency (Ether) are two of the most valuable and widely traded cryptocurrencies available.
That’s where the similarities end. The Bitcoin network was created as a peer to peer currency exchange. Bitcoin as a token was always meant to be a store of value – an asset.
On the other hand, Ethereum was created as a way for people to transfer basically anything of value, not just cryptocurrency. The token, Ether, was created as a way to pay for those transactions on the platform. It was made to be fuel for the network, not an asset like Bitcoin.
Since it was too complicated to trade anything other than cryptocurrencies on the Bitcoin platform, the team at Ethereum created a new system. It required a computing language with far more flexibility than Bitcoin’s (largely written in C++), so they wrote the language Solidity.
Solidity is the foundation of the Ethereum network. No Solidity = no Ethereum. Here’s what you can do, thanks to the language.
Did you know?
Did you know? The most popular Dapps on Ethereum right now are crypto exchanges, followed by games and gambling.
✍️ Smart contracts: Within Dapps, there are pieces of code known as smart contracts. These help people exchange money, shares, property and nearly anything of value when certain conditions are met. That eliminates the need for an expensive third party like a notary.
💸 ICOs: Developers can also create their own tokens and launch an ICOICO right on the Ethereum platform. These tokens are known as ERC20tokens; examples include Binance Coinand Ox.
Next up, Ethereum 2.0. This will include developments like a new proof of stake consensus protocol, and sharding to make the blockchain run faster.
It’s all being done as an open source project by a large group of developers and researchers. This community goes far beyond the Ethereum Foundation – the group behind Ethereum. So when will it happen? The creator of Ethereum, Vitalik Buterin, said at an October 2018 conference that it’s “really not so far away.”