The Ethereum Virtual Machine (EVM) is the engine that powers the Ethereum ecosystem. The EVM provides the infrastructure for compiling and running smart contracts on Ethereum. It is the reason the blockchain remains developers' favorite for launching DApps, tokens, DEXes, and other DeFi platforms.
The EVM may seem complex and technical for those new to blockchain tech. To simplify, here's your guide to the Ethereum Virtual Machine and how it works.
What Is the Ethereum Virtual Machine (EVM)
The Ethereum Virtual Machine, or EVM, is an integral part of the Ethereum blockchain. It serves as the core infrastructure of the blockchain, which allows running codes for smart contracts. It is written in the Solidity programming language and works as a runtime environment for different decentralized applications (DApps) on Ethereum.
What makes the EVM popular among developers is its flexibility, as it supports smart contracts in numerous programming languages. Furthermore, it allows you to compile programs in your preferred language and execute them in Ethereum's secure environment.
Other than deploying smart contracts, the EVM can determine the blockchain state after adding each block. It is designed as a state machine that allows it to perform certain immutable operations to determine Ethereum's state.
How Does the EVM Work?
The Ethereum Virtual Machine operates as a sandbox or an isolated virtual computer where you can develop DApps. These DApps use smart contracts written in different coding languages and stored on the Ethereum blockchain.
The EVM is integrated into each node within the Ethereum network. It provides a cloud environment containing all the rules and conditions for the execution of codes. So, it ensures the automatic implementation of smart contracts.
You can write codes in scripting languages like Solidity, Python, Vyper, or any EVM-compatible language. However, the EVM cannot read all the coding languages. So, first, it converts the code into computer-readable "bytecode."
Besides, as the operations are in a sandbox-like environment, you can alter them anytime without affecting your programs or data. It makes the system more reliable and secure for launching any DeFi project.
Meanwhile, different functions occur at the back end of implementing smart contracts. It has two main features:
1. EVM Using Opcodes
The EVM is a Turing Complete system, which means it can run any complex algorithm. This capability comes from the Opcode, as it allows EVM to execute instructions of the smart contracts.
Opcodes are a set of over 140 instructional operations which help EVM in implementing codes. These operations include PUSH, CALL, ISZERO, mSTORE, and others. In addition, it also uses other operations while working with different blockchains.
2. Gas Fee Calculation
There is a fee for each transaction the EVM implements. However, it ensures the system does not encounter downtime and seamlessly executes operations. So, you must pay for gas if you want to deploy a smart contract using the powerful EVM tool.
On Ethereum, gas is used as a unit of work. It determines the computational cost of a transaction on the network. That's why the EVM also calculates gas fees against the backdrop of smart contract execution. In addition, it internally computes commissions for executed instructions. So, when you confirm a transaction, it deducts a small amount of Ether as a gas fee from your wallet.
Usually, the fee depends on the complexity of the smart contract. It means if you use more Opcodes, the gas will be higher. Moreover, it is important to note that Ethereum is one of the most expensive blockchains. That's why the cost of developing and deploying smart contracts on the chain is higher than on other networks.
Why Does the EVM Exist?
What is the purpose of the Ethereum Virtual Machine? EVM fills in a lot of roles in the Ethereum ecosystem. Firstly, it is used to define the state of the Ethereum blockchain when new blocks are added. Secondly, developers can write smart contract codes in their preferred language.
In addition, the EVM offers a secure and isolated cloud infrastructure that allows easy deployment of smart contracts. Moreover, it enhances interoperability within the Ethereum network. All the applications built on the network are compatible with one another. You can also easily bridge tokens and migrate DApps between EVM-compatible blockchains.
Most importantly, this virtual machine allows you to build a range of DApps, from NFT projects to Automated Market Makers (AMMs).
Why Use the EVM for Building Web3 Apps?
Ethereum's ecosystem is the most popular for building DApps. One of the reasons behind its popularity is its virtual machine, which offers several benefits to developers. These benefits include:
Enhanced Interoperability
The Ethereum Virtual Machine architecture provides enhanced interoperability. The infrastructure lets you connect with a wide range of Layer 2 solutions. In addition, it allows easy back-and-forth transfer of tokens between these blockchains.
Security and Reliability
The EVM offers an isolated cloud environment where you can execute smart contracts. It ensures that your data remains safe while your code runs smoothly on the network.
Easy Migration to Other Blockchains
When you build an application with the EVM, you can also migrate it to its compatible blockchains. It will save you from the hassle of rewriting code to launch it on other blockchains.
Supports a Range of Scripting Languages
The EVM also supports a wide range of programming languages. It makes it easier for developers to launch their applications as they do not have to learn an entirely new coding language.
Distributed Consensus
Though the EVM works in an isolated environment, it is connected with each node on the Ethereum network. It means that your code can run on other systems on the network. Also, if one node is down, your program will remain uninterrupted on others.
Simplify Smart Contract Deployment With EVM
Even with the availability of so many "Ethereum killers," Ethereum remains a popular choice among developers. One of the key reasons behind its popularity is the ease of smart contract deployment it offers via EVM.
The EVM works in a sandboxed environment and allows you to compile and execute your program. You can execute your smart contract if you code in Solidity, Python, Java, or any other coding language, and using the EVM, you can build Web3 apps. Despite its high price, developers benefit from its seamless migration process, interoperability, and robust security features.