What is Better Bitcoin or Ethereum?

What is Better Bitcoin or Ethereum?
Years back when the first cryptocurrency, Bitcoin, was mined for the
first time in 2009, it could be bought for around 0.1 dollars. Over time
the prices rose over 20.000 dollars per coin, so you can imagine how
happy were those people who have invested in cryptocurrency back in
2009.
Today, cryptocurrency is still a great investment. Even
considering the recent crash, digital coins seem to be recovering. A lot
of investors consider cryptocurrency, but they can’t decide which token
to choose - Bitcoin or Ethereum? Check out this article to figure out
what your options are.
Bitcoin (BTC)
Without a doubt, it is
the most famous cryptocurrency in the world. It is de facto a leading
digital currency and it has more recognition than any other digital
token. All Bitcoins in the world could be sold for 150 billion dollars
(at the time when the article was written), and the price of 1 BTC is
27,167.98 (28.12.2020).
The total market for capitalization for all
cryptocurrencies is 230 billion dollars, so you can say that Bitcoin is
definitely competitive and preferred by many users. The great news is
that Bitcoin as well (as all other cryptocurrencies) is decentralized,
so it is not controlled by any central bank.
You should also note
that fiat money can be affected by inflation, while cryptocurrency
can’t. There is a fixed cap of Bitcoins, when all items are mined, there
won’t be many Bitcoin mining processes. The number of BTC that could be
mined is 21 million units. And that’s one of the reasons why BTC or any
other digital coin isn’t affected by inflation. You can print fiat
money, but you can’t create more digital tokens.
As for the
investment perspectives, Bitcoin is relatively stable, it’s famous, and
that’s why people choose it. It is more reliable and more promising. You
can almost see that BTC soon will replace fiat money and become the
number one payment option.
Ethereum (ETH)
It should be noted
that Ethereum and Bitcoin are two very different platforms. Even though
both have cryptocurrencies to offer, they are decentralized, stable, and
have a fixed number of coins, they are different. The bitcoin
blockchain is a store of value in the crypto world whereas the Ethereum
blockchain is a decentralized network for developing various apps.
Many
developers have created useful startups and apps that now facilitate
our lives. There is more activity surrounding the Ethereum blockchain
platform than around Bitcoin and it is only natural.
When investing
in Ethereum, you should consider that it has a totally different
approach to mining. Instead of giving an advantage to those users with
the most computing power, it gives the advantage to the largest
ownership stakes. Some say this will lead to Ethereum becoming PoS
(Proof of Stake) rather than PoW (Proof of Work), and it might kill the
blockchain or jeopardize the blockchain’s position as a top coin.
What to Buy?
So
in what currency to invest? Which one is better? It seems that
investors have come to terms with the fact that Bitcoin is still a
better deal. It doesn’t mean that Ethereum isn’t, but the chances of
Bitcoin becoming the new way of paying for goods is higher.
If you
try to predict the future, it is only natural that the very first
digital type of money to see the world would be the first to be accepted
as a means of paying for goods or services. It is already happening and
you can receive Bitcoins as payment for your services, or you can buy
certain things by using BTC.
Of course, today we can’t visit a random
local shop and expect to buy bread by using BTC, but in the future, it
could happen. Ethereum seems to be taking a different path towards
offering services to apps developers.