What is Ethereum and why ETH matters
What Ethereum is, how ETH differs from bitcoin, what smart contracts and gas are, why sending ERC20 USDT requires ETH and where to buy ether in Kazakhstan.
Ethereum launched in 2015. Its key idea is that a blockchain can run not only transfers but also programs, called smart contracts.
What a smart contract is
A program on the blockchain that executes automatically when set conditions are met. Smart contracts power:
- tokens, including USDT and USDC in the ERC20 standard;
- decentralised exchanges and lending services;
- NFTs and games.
Why ETH is needed
- Paying fees. Every operation on Ethereum is paid in ETH.
- Staking. ETH holders can lock coins to secure the network and earn rewards.
- An asset. ETH is the second-largest cryptocurrency by market cap after bitcoin.
ETH and USDT transfers
If you received USDT on ERC20, you need a small amount of ETH on the same address to send it on. That is why many people choose cheaper networks for small amounts, see the lesson on network fees.
Where to buy ETH in Kazakhstan
ETH buy and sell rates at licensed exchangers are on the ETH to tenge page, and you can calculate an amount in the converter.
Risks
ETH is as volatile as bitcoin. Smart contracts can contain bugs, and phishing sites often ask you to "connect your wallet". Connect only to services whose address you have verified.
FAQ
How is Ethereum different from bitcoin?
Bitcoin was created primarily as digital money. Ethereum is a platform that runs applications, tokens and smart contracts, and ETH is the fuel for them.
What is gas on Ethereum?
Gas is the unit of computational work on the network. Transaction fees are paid in ETH and rise when the network is busy.
Why do I need ETH to send ERC20 USDT?
ERC20 tokens live on the Ethereum network, and fees there can only be paid in ETH. Without ETH in the balance you cannot send ERC20 USDT.
Updated October 6, 2026