Bitcoin vs Ethereum the race is unmatched because the platform and functionality they are providing it bit different from each other. They totally are birds of different species with different functionalities, purposes & dynamics. Agree they also share the same core idea of being a cryptocurrency but apart from that they both offer different purposes to this digital world and investors investing in these cryptocurrencies who are looking for the match Bitcoin vs Ethereum.
But don’t worry we won’t let you leave in the dilemma of thinking Bitcoin vs Ethereum: Which is a Better Buy? We will solve every purpose of reading this article for your query should I buy Bitcoin or Ethereum in 2022.
Everything about Bitcoin
Bitcoin being the first cryptocurrency in the financial asset class invented by Satoshi Nakamoto started this amazing digital currency in 2009 is still maintaining the legacy of being the mainstream best performing, most loved and trusted Cryptocurrency of investors. A number of cryptocurrencies were invented following the blueprint of Bitcoin but not all make it to the heart of investors and pockets of the stakeholders.
When invented in 2009 nobody has any clue that sooner it will become the most transacting cryptocurrency in the world. Back then the trading of bitcoin was As cheap as it was in 2009, it is as expensive today touching the milestone of $69,000 in November 2021.
Market Value of Bitcoin Today
Don’t be shocked if I would say that the market capitalization of Bitcoin today is $800 billion.
Apart from the easy trading history and brand name bitcoin was appealing for a few more things:
- Adoption and belief
Bitcoin was the first to believe the idea of offering future contracts on allowing investors to take a risk on the price at a particular date in the future later becoming the first security and exchange commission approved crypto-based exchange-traded fund.
But bitcoin trading and benefits are not limited to trades and investors only. Common people can too trade and invest to get good financial benefits.
In 2021 many big companies like Block Inc., Tesla Inc. bought Bitcoin.
- Energy and Regulatory Issues
Many countries still don’t dare to embrace its presence is because of losing their own currency and bitcoin taking the charge over there.
And how can we forget about bitcoin is known for its limited-edition stock i.e. only 21 million bitcoin can ever exist & pressing concern regarding its 0.5% of energy consumption which is more than a number of countries.
Everything about Ethereum
Before asking yourself Bitcoin vs Ethereum it’s crucial to know the different motives behind Bitcoin and Ethereum. Ethereum is also known as network native currency ether.
Should I buy Bitcoin or Ethereum in 2022 you should first check a few points about Ethereum to clear your doubts.
- Much more flexible
If you will see the purpose and functionality of both the cryptocurrency then you must feel like comparing water and air.
Where bitcoin is accepted more as a commodity asset or buying, selling or a medium of exchange Ethereum is infrastructure for people building the same software and apps.
In other words, bitcoin is accepted as a stored value or long-term investment asset but not more than that but on other hand, Ethereum is the largest decentralized platform network issuing other cryptocurrencies, NFTs (Non-fungible tokens), and trading platform with its versatility ability to make smart contracts.
- Extremely high Gas Fees
While Ethereum is faster than bitcoin in a transaction the higher cost comes with the faster speed known as gas fees is pulling Ethereum one step behind Bitcoin making it a matter of thought while investing in Ethereum and one of the reasons why Ethereum is more expensive than bitcoin.
- Slow but Sure Transition to Ether 2.0
Despite having a steep cost Ethereum still holds its place in the heart being the most used cryptocurrency network in the world by investors and buyers.
Unlike bitcoin energy issues Ethereum won with its Ethereum 2.0 version anticipating for viable real-time retail payment solution reducing energy consumption by 99%.unfortuuntly its long way out nearby 2022 end or in 2023 or beyond.
Bitcoin vs Ethereum Botton Line
Whenever we think of the Ethereum blockchain one question always comes to our mind is how this is different from the bitcoin blockchain.
Let me break the whole process for you.
The technology that works behind bitcoin is blockchain. After so much research in bitcoin blockchain which result in the upgraded version of bitcoin that is Ethereum blockchain. Which is also known as the second-generation blockchain.
Previously blockchain was used only for the purpose of cryptocurrency transactions but after Ethereum blockchain, we come to know about other benefits and uses of blockchain.
Bitcoin was invented through bitcoin mining whereas Ethereum was produced through ICO i.e. initial coin offering.
Also, Bitcoin can process 3-4 transactions in one second whereas Ethereum can do up to 15 transactions in one second.
Bitcoin needs an average time of 10 min in the creation of the bitcoin block while Ethereum takes 10-15 seconds to create Ethereum blocks.
Of course, the first-mover advantage is with bitcoin but with the high demanding and rapidly interest changing consumers Bitcoin is lacking somewhere due to its limited utilities, production, and offers.
Ether being latecomers have won million hearts in a limited time has made a statement showing enough potential in coming years with lots of upgrades and add-ons.
One investing or thinking to invest in cryptocurrency can definitely finish their bitcoin vs Ethereum battle thinking to invest in Ethereum as strong long-term goals with more profitability and versatility and financial benefits.