Public Key:
In Ethereum, a public key is a long string of letters and numbers that is derived from a private key through a complex mathematical algorithm. It is used to verify the identity of a user and to encrypt transactions on the Ethereum network.
A private key is a secret piece of information that is used to sign transactions on the Ethereum network, providing proof that the transaction is coming from the correct user. In contrast, a public key is meant to be shared with others, allowing them to verify the authenticity of a transaction.
When a user wants to send a transaction on the Ethereum network, they use their private key to sign the transaction, which creates a unique digital signature. This signature can then be verified by anyone using the corresponding public key.
In this way, public and private keys work together to provide a secure method for authenticating transactions on the Ethereum network. It's important to keep your private key safe and secure, as it is the only way to access your funds on the Ethereum network.
Ethereum State:
In the context of Ethereum, the state refers to the current status of the Ethereum blockchain. This includes the current balance of all accounts on the network, the smart contracts that have been deployed, and the current values stored in those contracts.
In other words, the Ethereum state is a record of all the transactions that have taken place on the network, as well as the current status of all the smart contracts that have been deployed. This information is stored in a decentralized manner across all the nodes on the network, allowing for a transparent and immutable record of all activity on the Ethereum blockchain.
The Ethereum state is constantly changing as new transactions are processed and added to the blockchain. As a result, the state of the Ethereum network is always evolving, providing a dynamic and constantly-updating record of all activity on the network.
Ethereum Accounts:
Ethereum is a decentralized, open-source blockchain platform that is used to run smart contracts. Ethereum accounts are used to send and receive ether, the platform's native cryptocurrency, as well as to interact with smart contracts on the Ethereum blockchain. Each Ethereum account has a unique address, which is used to identify the account on the blockchain and to send and receive ether and other assets. Ethereum accounts are also sometimes called Ethereum wallets, as they can be used to store ether and other digital assets.
Account type in Ethereum:
In Ethereum, there are two types of accounts: externally owned accounts (EOAs) and contract accounts.
Externally owned accounts, or EOAs, are controlled by private keys. These accounts are typically associated with human users, and they are used to send and receive transactions on the Ethereum network. EOAs can also be used to create and interact with smart contracts on the Ethereum blockchain.
Contract accounts, on the other hand, are created by deploying smart contracts to the Ethereum network. These accounts are controlled by the code of the smart contract, and they are used to store and execute the logic of the contract. Contract accounts cannot be controlled by private keys, and they can only be interacted with through transactions sent to the contract's address.
EOAs are controlled by private keys and are associated with human users, while contract accounts are controlled by the code of a smart contract and are used to store and execute the logic of the contract.
Ownership:
Ownership in Ethereum refers to the control of a specific Ethereum account and the assets associated with it. In Ethereum, ownership of an account is determined by who holds the private keys associated with that account. This means that whoever has the private keys for a particular Ethereum account has complete control over that account, and can use it to send and receive transactions and interact with smart contracts on the Ethereum blockchain.
It's important to note that ownership in Ethereum is different from ownership of physical assets in the real world. In the real world, ownership of an asset is typically determined by legal agreements and titles, whereas in Ethereum, ownership is determined purely by who holds the private keys for a specific account. This allows for a decentralized, digital form of ownership that is not tied to any specific jurisdiction or legal system.
External Ownership:
In Ethereum, externally owned accounts (EOAs) are controlled by private keys. These accounts are typically associated with human users, and they are used to send and receive transactions on the Ethereum network. EOAs can also be used to create and interact with smart contracts on the Ethereum blockchain.
External ownership refers to the fact that these accounts are controlled by private keys that are external to the Ethereum network. This means that the private keys for an EOA are not stored on the Ethereum blockchain itself, but rather on a user's local device or in a secure offline location. This allows users to have complete control over their accounts, as only they have access to the private keys that are needed to sign transactions and interact with their accounts.
In contrast, contract accounts are controlled by the code of the smart contract, and they do not have associated private keys. This means that contract accounts can only be interacted with through transactions sent to the contract's address, and they cannot be controlled by external entities.
Smart Contract:
A smart contract is a self-executing contract with the terms of the agreement between buyer and seller being directly written into lines of code. The code and the agreements contained therein exist across a distributed, decentralized blockchain network.
Smart contracts allow for the automation of digital relationships, and they can be used to facilitate, verify, and enforce the negotiation or performance of a contract. Because they are written in code and executed on a blockchain, smart contracts are transparent, auditable, and secure. This makes them a powerful tool for building trust and reducing the need for intermediaries in a wide range of transactions and agreements.
In the context of Ethereum, smart contracts are programs that run on the Ethereum Virtual Machine (EVM), a decentralized, Turing-complete runtime environment. These programs can be used to encode a wide range of logic and rules, and they can be interacted with through transactions sent to their associated contract accounts on the Ethereum blockchain.