How does WETH differ from ETH in the digital currency realm?

1 answers

• Nov 28, 2021 · 3 years ago
  When it comes to the digital currency realm, WETH and ETH have distinct roles. WETH, as an ERC-20 token, represents a wrapped version of ETH that can be used in decentralized applications and smart contracts. This wrapping process allows ETH to be compatible with the ERC-20 standard, enabling its integration with various DeFi protocols and decentralized exchanges. On the other hand, ETH is the native cryptocurrency of the Ethereum network and serves as the primary medium of exchange and store of value. While both WETH and ETH are part of the Ethereum ecosystem, their functionalities and use cases differ significantly. It's important to understand these differences to make informed decisions when engaging with digital currencies.
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