Most people think of bitcoin as a form of money, if they think    of bitcoin at all. But 19-year-old hacker Vitalik Buterin sees    it as something more  much more. He sees it as a new way of    building just about any internet application.  
    The bitcoin digital currency is driven by open source software    that runs across thousands of machines around the globe.    Borrowing code from this rather clever piece of software,    independent hackers have already built applications such as the    Twitter-style social network Twister,    the encrypted e-mail alternative Bitmessage, and the unseizable    domain name system Namecoin. But Buterin believes that    many other applications can benefit from the genius of the    bitcoin software, and thats why hes joining forces with    several other hackers to create something called Ethereum.  
    Buterin believes so many other applications can benefit from    the genius of the bitcoin software, and thats why he has    joined forces with several other hackers to create something    called Ethereum.  
    He envisions Ethereum as an online service that lets you build    practically anything in the image of bitcoin and run it across    a worldwide network of machines. At its core, bitcoin is a way    of reliably storing and moving digital objects or pieces of    information. Today, it stores and moves money, but Buterin    believes the same basic system could give rise to a new breed    of social networks, data storage systems and securities markets     all operated without the help of a central authority.  
    Born in Russia and raised in Canada, Buterin was interested in    mathematics and computer science from an early age. But when he    first stumbled on to bitcoin in 2011, it didnt grab him. I    ignored it, he says. I thought it had no intrinsic value, so    it had to fail.  
    But, over the next few weeks, he grew curious about this    unusual creation. He received his first bitcoins as payment for    articles written for a site called Bitcoin Weekly, where    he was paid five bitcoins per article, the equivalent of $3.75    at the time. It was my first ever real job, and it paid around    $1.30 per hour, he says. He kept writing about the digital    currency in the pages of Bitcoin Magazine and other    pubs. Then, in 2013, just as he was about to lose interest in    the thing, the price of bitcoin skyrocketed.  
    Deciding that bitcoin was going to be a much bigger deal than    most people realized, he dropped out of university and started    traveling the world, jumping from bitcoin meetup to bitcoin    meetup and contributing to various open source projects.    Ethereum is the result of all those conversations and software    experiments.  
    Ethereum wont use the peer-to-peer network that bitcoin runs    on, nor will it use the same software. Instead, Buterin and his    team are building a completely new system that will run atop    its own network. But the project borrows heavily from the ideas    behind the bitcoin software.  
    All bitcoin transactions, for instance, are stored in a massive    public ledger called the blockchain. This is a type of    encrypted database, and you can use it to power other    applications  as weve seen with Twister and BitMessage.    Ethereum will feed still more applications through something    similar to the blockchain, and it will offer a stripped-down    version of the Python programming language  known as Ethereum    Script  thats specifically designed for building these    blockchain-based applications.  
    As with bitcoin, the network that underpins Ethereum will be    powered by machines donated by the people of the world, and to    encourage donations, the system will allow these machines to    collect fees from developers who build and run an applications    atop the network. In similar fashion, bitcoin shares its money    with those who run the machines driving its network.  
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Out in the Open: Teenage Hacker Transforms Web Into One Giant Bitcoin Network