22 December 2020
You’ve taken the time to learn about Ethereum, now you’re wondering how you can use it in real life situations. Here are five tried and true ways you can use Ethereum.
1. Crowdfunding for new coins
Ethereum’s platform allows for companies to create new digital currencies, also known as ‘tokens’ by using their platform. In what is referred to as an Initial Coin Offering (ICO), investors can purchase these coins using Ethereum’s cryptocurrency, Ether. Several Ethereum-based protocols have been successful in crowdfunding their own coins including Golem, which raised $8.6 million and Augur, which raised $5.3 million.
Augur is an Ethereum-powered betting platform that allows for people to make wagers on random markets and bets. For example, ‘Who will be president?’ or ‘Who will win the next World Cup?’ are types of things you can make bets on. If you make the correct bet, you win based on how much you wagered and how long you held out. Moreover, because of the decentralized nature of Augur, automated payments without interference from anyone are ensured. Augur has no limit on the number of bets or amount you can win, neither does it take a percentage of earnings. It is a perfectly fun and transparent activity for those who love to make bets.
For people wanting to play things a little safer (and sillier), you can play Cryptokitties! Sounds silly? It’s kind of fun! The Tamagotchi generation will love breeding kittens and raising them. This first of its kind game employs blockchain technology for a fun game that allows players to purchase, collect, breed and sell virtual cats.
3. Lending systems
Getting traditional loans means relying on credit reference bureaus that handle massive amounts of financial data, which in turn makes their systems prone to errors. Decentralized lenders will, however, use your cryptocurrency as collateral, eliminating the need for credit reports. This will make it easier to get loans, and have more flexible repayment terms. This also applies for other financial undertakings like insurance.
4. Securing you Insurance
Decentralized insurance could eliminate the long periods of time that homeowners wait to be compensated after catastrophes. MetLife, a leading global insurer, is already using Ethereum to improve the claims process for its customers. Through Ethereum, MetLife plans on adding transparency and efficiency to the claims process that is normally hectic and takes forever. MetLife isn’t the only global institution that has gone crypto, there are also several major banks and financial institutions that have also started backing cryptocurrencies, either by way of policy or action.
5. Searching for jobs
EthLance is a platform that is ideal for both freelancers and employers looking for job opportunities. The platform allows job seekers and employers to connect, and after the job is done, you can even pay or be paid with Ether (Ethereum’s digital currency). EthLance’s entire platform runs on Ethereum, and its zero fees model makes for an ideal and transparent job marketplace.