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ETH

Ethereum (ETH)

Risk: Medium

The world's largest smart contract platform and the foundation of DeFi.

Layer-1 / Smart contracts · launched 2015 · market cap #2

What is Ethereum (ETH)?

Ethereum (ETH) is the second-largest cryptocurrency by market value and the world's largest smart contract platform. It was created in 2015 by Vitalik Buterin. Unlike Bitcoin, Ethereum is not just money — it is a programmable blockchain that runs decentralised applications (dApps), DeFi protocols and NFTs.

ETH is Ethereum's native cryptocurrency, used to pay transaction fees (gas) and for staking. In 2022, Ethereum switched to a Proof of Stake mechanism ("The Merge"), which reduced energy consumption by ~99.9% and enabled ETH staking.

Ethereum key facts

Launched
2015
Creator
Vitalik Buterin
Consensus
Proof of Stake
Staking APY
~3–5%
Transaction time
~12 seconds
Market cap
#2

Ethereum use cases

Smart contracts

Automated agreements without an intermediary — DeFi, NFTs, DAOs and thousands of dApps run on Ethereum.

Staking (passive income)

Lock up ETH and earn ~3–5% APY. Available on exchanges, via Lido liquid staking or solo (32 ETH).

Foundation of DeFi

Most decentralised finance services (Aave, Uniswap) run on the Ethereum network.

How to buy Ethereum (ETH) in Estonia

Buying Ethereum in Estonia is easy on a MiCA-licensed exchange: register, complete KYC, make a SEPA deposit in euros and buy ETH. Best platforms:

1
Bitvavo

Estonian ID card, free EUR withdrawals, ETH staking directly on the platform.

2
Bybit

Lowest fees, ETH/EUR pair, Earn staking.

3
Binance

Largest selection of ETH pairs and DeFi staking.

See also our how to buy crypto guide and exchange comparison.

Ethereum risks

  • • Volatility — the ETH price can swing more than Bitcoin.
  • • High gas fees during network congestion (Layer-2 solutions help ease this).
  • • Competition from other Layer-1 platforms (Solana, Avalanche).

Crypto investing carries high risk. This is not financial advice — only invest what you can afford to lose.

Other cryptocurrencies

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Buy Ethereum (ETH)

Bybit — MiCA-licensed, SEPA in euros, low fees.

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Frequently Asked Questions