Ethereum (ETH)

Ethereum is a technology for building apps and organizations, holding assets, transacting and communicating without being controlled by a central authority. There is no need to hand over all your personal details to use Ethereum – you keep control of your own data and what is being shared. Ethereum has its own cryptocurrency, Ether, which is used to pay for certain activities on the Ethereum network.

What is the difference between Ethereum and Bitcoin?

Launched in 2015, Ethereum builds on Bitcoin’s innovation, with some big differences.

Both let you use digital money without payment providers or banks. But Ethereum is programmable, so you can also build and deploy decentralized applications on its network.

Ethereum being programmable means that you can build apps that use the blockchain to store data or control what your app can do. This results in a general purpose blockchain that can be programmed to do anything. As there is no limit to what Ethereum can do, it allows for great innovation to happen on the Ethereum network.

While Bitcoin is only a payment network, Ethereum is more like a marketplace of financial services, games, social networks and other apps that respect your privacy and cannot censor you.

What are smart contracts?

Smart contracts are simply computer programs living on the Ethereum blockchain. They only execute when triggered by a transaction from a user (or another contract). They make Ethereum very flexible in what it can do and distinguish it from other cryptocurrencies. These programs are what we now call decentralized apps, or dapps.

Have you ever used a product that changed its terms of service? Or removed a feature you found useful? Once a smart contract is published to Ethereum, it will be online and operational for as long as Ethereum exists. Not even the author can take it down. Since smart contracts are automated, they do not discriminate against any user and are always ready to use.

Challenges we solve
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1. Extremely Loud Volumes – Traditional companies and assets cannot compare to the programmability of digital assets, which means that the number of transactions generated through smart   contracts can be exponentially greater.

   Due to the large volume, it is necessary to design and create scalable process flows and custom-built engines for the reconciliation process.

   We can employ individuals to match and click, but this is a tedious job that very few people want to perform for an extended time and is impractical in the world of Web3.
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2. Fees Charged for Transactions – When using a blockchain, transactions are subject to several fees, the total amount variable depending on the demand. For instance, gas costs might manifest as different transactions from underlying trade fees yet still be considered trade fees.

   Each blockchain and exchange, broker, custodian, and counter-party may have annoyances in how they manage fees. These costs may be insignificant on the level of an individual deal,
   but they may soon become a considerable expense for companies and traders.

   Unfortunately, accountants are often forced to make concessions and use reverse engineering to calculate fees. They do this by presuming that the discrepancies between the opening and closing balances are equivalent to the fees.
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3. Subjectivity – Due to the lack of changes in accounting standards and the absence of regulatory clarity and enforcement, crypto accounting has a great deal of subjectivity.

   Restrictions for cryptocurrencies in different parts of the globe might be inconsistent with one
   another or provide regulatory arbitrage possibilities. This means that firms do relocate to avoid operating in jurisdictions with more rigid regulations.

   Additionally, nations can prohibit cryptocurrency swiftly.
   Unregulated over-the-counter (OTC), peer-to-peer (P2P), or decentralized financial institutions (De-Fi) transactions could not even leave an audit trail.|

   Due to these different circumstances, there is an increased risk of legal ambiguity, which may result in subjectivity in accounting.

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