What is Ethereum
Ethereum is a programmable blockchain launched in 2015 to support decentralized applications and smart contracts. Unlike Bitcoin’s primary focus on value transfer, Ethereum was built as an execution platform for applications such as decentralized exchanges, lending systems, and tokenized markets.
What is ETH
ETH is the native asset of Ethereum. It is used to pay gas fees, secure the network through staking, and serve as collateral in DeFi systems. Because Ethereum became the base layer for a large part of crypto infrastructure, ETH is widely treated as a core asset in the market.
Why Ethereum is often called crypto #2
Ethereum consistently ranks behind Bitcoin by market capitalization and has one of the largest developer ecosystems in blockchain. Much of DeFi and token infrastructure was pioneered in Ethereum environments, and many institutions treat ETH as foundational exposure to smart-contract ecosystems.
What is WETH
WETH is Wrapped Ether, a tokenized representation of ETH used when protocols require ERC-20 token interfaces. ETH itself is native gas currency, while WETH is the contract-standard format used in many DeFi workflows. In most contexts, ETH and WETH are treated as economically equivalent.
ETH across multiple networks
ETH-linked activity now extends beyond Ethereum mainnet into Layer-2 ecosystems such as Base, Arbitrum, Optimism, and Polygon. These environments aim to reduce costs and improve throughput while preserving compatibility with Ethereum tooling and liquidity.
Ethereum vs Solana
Ethereum and Solana optimize for different tradeoffs. Ethereum has very broad protocol depth and mature smart-contract infrastructure, while Solana is known for fast confirmations and low fees. Many users operate across both ecosystems and choose execution venues based on cost, liquidity, and route quality.
| Feature | Ethereum | Solana |
|---|---|---|
| Speed | Slower under load | Faster confirmations |
| Fees | Higher during demand spikes | Typically very low |
| Ecosystem | Very large and mature | Growing fast with active DeFi |
Risks of ETH-linked workflows on Solana
When using ETH representations on Solana, users should evaluate bridge risk, smart-contract risk, and market-liquidity risk. Wrapped assets can be useful, but they are not the same as native self-custodied ETH settlement on Ethereum.