Ether runs on an underlying technology called Ethereum, which is a different blockchain to the one that underpins bitcoin.
While ether does have digital "coins" like bitcoin, companies are more focused on how the Ethereum blockchain could be used in real-world applications.
How is it different to bitcoin?
Firstly, Ethereum is a lot younger having only been started in 2014, whereas bitcoin began in 2009. Ether's market cap is at $30.63 billion versus bitcoin's $42.16 billion, according to Coinmarketcap.com.
A smart contract on the Ethereum network is merely a way for people to make agreements and automate enforcement, all on a distributed network of computers. The contract is essentially an operating procedure that aids efficient management.
John Hancock Financial, for example, is experimenting with a tailored version of Ethereum to keep track of compliance with know your customer (KYC) and anti-money laundering (AML) regulations in its wealth management unit.
Meanwhile, European aircraft maker Airbus is testing to see if its supply chain management can be shifted to a blockchain that relies on Ethereum.
