Will Eth Flip Bitcoin?
It's been said for quite some time now, that Ethereum will eventually flip Bitcoin and you might be wondering why this is a common saying amongst the cryptosphere. In short it comes down to use cases and ecosystem.
Bitcoin, the original digital currency is pretty much a single use asset as it doesn't allow for the development of smart contracts, instead work needs to be done in order to wrap the token to enable it to trade on other chains.
Ethereum on the other hand is a multi asset digital currency, not so much that it can be altered but more so that it enables developers to build on the Ethereum blockchain. Thousands of tokens and chains have been built and operate on Ethereum with each one requiring the use of Ethereum to make it possible.
Blockchain Congestion
In it's early years Ethereum suffered from Blockchain congestion where there was so much happening within its own ecosystem that the chain couldn't process everything fast enough.
But unlike Bitcoin which can't be further developed and refined, Ethereum can be upgraded although it isn't always an easy process as it requires community consensus. But we have seen Ethereum undertake some pretty impressive upgrades that has brought down transaction fees, increase transaction speeds and now a very important change.
One the "merge" is complete this week Ethereum will have reduced energy consumption by 99% stemming some of the criticism about crypto currency and it's high energy consumption leading to increases in global CO2 emissions.
Private sector builds on Ethereum
These upgrades have made Ethereum lucrative to the mainstream private sector with many Banks developing CBDCs on Ethereum and with that information it pretty much cements Ethereums longevity and it's success. While Bitcoin remains a speculative asset with a household name, chances are Ethereum will become the most used digital asset and chain.
Ethereum will be the the pockets of the majority of people on this planet who have a bank account or deal with transferring of funds or even making purchases, the chances are that it will be all powered by Ethereum.
Bitcoin Remains Investors Choice
Despite all this news about Ethereum, Bitcoin remains the investor choice and has bounced back since it's last dip and the market is hopeful for continued gains as prices begin to rise.
The cryptosphere looks set to have two forms of digital assets one which is Bitcoin the gold standard and another being Ethereum which is the blue collar worker that enables development.
Binance did have a chance but recent events have proven it to be more of a risk while it isn't out of the game just yet the two most secure digital assets that appear to be attracting attention are Bitcoin and Ethereum.
What are your thoughts, will Ethereum flip Bitcoin?
image sources provided supplemented by Canva Pro subscription. This is not financial advice and readers are advised to undertake their own research or seek professional financial services.