Ethereum Vs Bitcoin : Ever realized which will dominate in the next 5 years? Take a look at what Spinta's tech nerds have to say!
Bitcoin, born in the year 2009, and Ethereum, born in the year 2015, have become one of the largest competitors of each other. Only two of them have dominated the market. But now the question comes who will dominate in the coming 5 years ? Current total market capitalisation of Bitcoins is $10.4 billion while that of Ethereum is $857 million. Ethereum although being late, has also affected the market of Bitcoins. So this is a serious question amongst the investors and has created a lot of chaos in the market. So we have discussed about both the cryptocurrencies here in a simplified manner.
Bitcoin – Satoshi Nakamoto, Guy who Started Crypto Currency
Bitcoin being the largest supplier of cryptocurrency in the industry has shown a great pace of growth in the beginning years but due to inventing of other cryptocurrencies in the market, it has been affected. But due to the invent of Ethereum in the market, there has been a substantial change in the market share of Bitcoins. If we go on to the statistics, it shows as follows:
6-month return – Around 52%
1-year return – Around 120%
Ethereum – Vitalik Buterin, A Game changer
Being invented in the year 2015, it has changed the market scenario which was previously only focused on Bitcoins, has got the attention of many big investors. With this trust, it has become the second largest currency after Bitcoin to be traded in the market. It is one of the largest decentralised software platforms which gives you the authority to invest in small contracts with its crypto asset called “Ether”. The major plus point of the currency is that it has its own programming language which can help the developers for their applications. If we go on to the statistics, it shows as follows:
6 Month Return – Around 105%
1 Year Return – Around 729%
Comparisons or Differences between Ethereum and Bitcoins
The first and foremost difference between the both is about the hazing algorithm, Ethereum uses Ethash algorithm while the Bitcoin uses the SHA-256 algorithm. Both of the currencies uses the Blockchain as there transaction maintenance which has gained a lot of popularity due to its emergence in FinTech, being the best public ledger of all transactions. The block time in the case of Ethereum is low as compared to Bitcoin which makes it more powerful than the Bitcoin.
Ethereum is following the latest protocol, i.e. Ghost protocol, while the Bitcoin uses the Pool Mining Protocol which is quite old and traditional. Before launching the Ethereum, it had launched its pre-sale auction where it got a huge response from the audience and the investors, which shows the result today. Ethereum and Bitcoins are basically used for two purposes, which are as follows:
Trading as Digital currencies, same as the other currencies are traded in the Digital and Financial World.
- It can also be used to run the applications and monetize your work by working as mode of payment for some of the goods.
Ethereum uses the Turning language, the Bitcoin uses the Stack-based technique as language. But if we look at the nature, then the Bitcoin is used as mode of payment while Ethereum is used to run the applications on the majority part.
What would be the future?
If we see the growth and popularity of Ethereum & Bitcoins, it is much more ambiguous to take the decision of which will dominate, but surely Ethereum has a large chance of it being dominated.
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