Bitcoin vs Ethereum has been the debate in global crypto world for a long time now. Those two crypto-currencies has some similarities, yet still have some differences with each other. In these two articles we are planning to talk about this difference in detail....
Let's go over the differences of Bitcoin and Ethereum.
is unique as far as crypto coins are concerned. It’s the first and most well-known cryptocurrency, which was not something that existed before Bitcoin. On the other hand, is something of a new take on cryptos since it features smart contract functionality.
Bitcoin is the most popular and first cryptocurrency. It was introduced in 2009 as a peer-to-peer digital currency. Bitcoin transactions are anonymous and untraceable, which makes it popular among criminals, but also among libertarians who want to avoid government interference in their finances. Ethereum is an open-source, public, blockchain-based distributed computing platform featuring smart contract functionality. Ether is the cryptocurrency of Ethereum and it can be transferred between accounts and used to compensate participant mining nodes for computations performed on the Ethereum network.
The Difference Between Bitcoin and Ethereum
was created by cryptographer Satoshi Nakamoto which is the earliest type cryptocurrency where it has its own platform and blockchain. Bitcoin has opened many opportunities but lacks in scalability, so it can only support 7 transactions per second but since mining bitcoins is already difficult, the number of transactions will increase when other coins are mined as well.
was created by Vitalik Buterin to solve Bitcoin's problem with scalability. Ethereum scales much better at 20 transactions per second but requires more power than a single node to validate new blocks on the blockchain.
Cryptocurrency Companies and Entities
Cryptocurrency companies and entities that work on cryptocurrencies include Ethereum, Hyperledger, Ripple, Monero, Litecoin. It is often not the underlying blockchain technology that shapes how a currency works. For example, the Bitcoin blockchain has few to no standard exchanges offered including trading of its associated token. The Ethereum blockchain supports many more than currencies such as Ether, Golem (graphics cards), and Augur (prediction market). All of these currencies can be traded between one another in native exchange environments on their respective blockchains.
Conclusion
The conclusion of this blog is that Bitcoin and Ethereum have their respective strengths and weaknesses. Bitcoin is more established but it may not be able to keep up with accelerating demand; Ethereum is continuing to gain momentum but it has seen issues with electricity consumption and scalability.
Both systems are in their early stages and when viewed collectively, they have great potential in the coming years.
Disclaimer: This is not financial advice or any other advice. the above article is just my personal opinion and purely based on my personal research. there is no intention to harm anyone's reputation, business, or any other thing.
