- Ethereum as a stack of few layers built on top of each other. The first, basic layer that makes everything else possible is a large network of computers that process transactions and keep a shared database updated over time (the Ethereum blockchain).
- The second, is the software layer that allows developers to run programs called “smart contracts” on the Ethereum blockchain, using a programming language called “Solidity”.
- The third layer is made of applications that offer different services (from governance to identity management) to Ethereum users.
HOW IPFS (Interplanetary File System) WORKS IN ETHEREUM BLOCKCHAIN
Quick Review
John wants to upload a PDF file to IPFS
He puts his PDF file in his working directory
He tells IPFS he wants to add this file, which generates a hash of the file (you can tell it’s IPFS because the hash always starts with Qm…)
His file is available on the IPFS network
Now suppose John wants to share this file with his colleague Mary through IPFS. He simply tells Mary the hash from Step 3 above. Then steps 1–4 above just work in reverse for Mary. All Mary needs to do is call the hash from IPFS and she gets a copy of the PDF file. Pretty cool.
