Can Ethereum Be The Next Bitcoin? Check With All The Facts
Many of the investors see great potential in cryptocurrencies and believe that many altcoins could emulate the success story of Bitcoin
Do you have an investment in cryptocurrencies? Even those who haven’t invested in cryptocurrencies are also very eager to know what’s happening in the market and why people are crazy about investing in the new technology.
Many of the investors see great potential in cryptocurrencies and believe that many altcoins could emulate the success story of Bitcoin sometime in future. Let’s look into the potential of Ethereum in making it big like Bitcoin.
People are already aware of the success of Bitcoin as it was the first cryptocurrency in the market. Those who have invested in it very early have turned millionaires within years. It has registered a gain of more than 300 per cent in the last year itself.
If you are getting a 300 per cent returns from your investment, you know why it is attracting the attention of all investors. Even those who are sceptic about the longevity of cryptocurrencies are discussing Bitcoin.
With the price of Bitcoin surging so high, it is very difficult for investors to buy a large stake in it. They can look to buy a small percentage of Bitcoin only. That’s the reason why they are looking out for options to find the next big investment opportunity in cryptocurrencies. Investors are keen to know which crypto has the potential to boost their investments to new heights.
Significance of Ethereum
Ethereum is a decentralized, open-source blockchain and native cryptocurrency of the platform. It is second only to Bitcoin in market capitalization. It was conceived by programmer Vitalik Buterin eight years ago. The other founders of Ethereum are Gavin Wood, Charles Hoskinson, Anthony Di Iorio and Joseph Lubin. The development work was started in 2014 and the network went live on 30 July 2015.
Many experts in cryptocurrency are suggesting that those who are looking for the next Bitcoin should turn their attention to Ethereum. It is still not sure that Ethereum could able to reach the level or price range of Bitcoin, but its potential to reach greater heights is undeniable.
The reason why the experts are bullish on the prospects of Ethereum is that its price has skyrocketed very quickly. It has registered a 900 per cent increase over the 12 months and is now quoted at around $4000. With more than 12,000 cryptocurrencies available in the market, the investor has a lot of options to select their investment.
Bitcoin being the first cryptocurrency, it definitely had the first-mover advantage and it cashed in on it in a splendid fashion. On the other hand, Ethereum made a mark out of the thousands of other cryptocurrencies in the market. So, it’s potential is crystal clear and economic experts are looking at the prospect of Ethereum reaching the level of Bitcoin one day.
Another significant advantage in favour of Ethereum is that this blockchain has helped create brand new markets. It has become the standard for building decentralized finance (DeFi) apps and systems. This app has the potential to bring big changes to the financial world because it gives more control to individuals to borrow, save, and trade assets.
This can be done without the intervention of a middleman such as a bank or financial institution. Investors are using the Ethereum blockchain to build DeFi apps (or dApps) for a lot of services including sending money across the world, trading crypto tokens and buying insurance.
In short Ethereum has expanded its scope of operations to various categories. The non-fungible tokens (NFTs) have been built on Ethereum. They can be any digital asset.
Should you invest in Ethereum?
Ethereum has attracted the attention of many developers and it has a massive developer community, perhaps the largest of all the blockchains. It has around 2,300 developers working on its blockchain per month. It was a substantial increase of 200 per cent over the last three years.
The advantage of the developer community is that it can be trusted because of the number of updates it has. One thing is for certain that all cryptocurrency investors won’t be able to ignore the presence and potential of Ethereum. The only thing an investor like you should be worried about the volatility in cryptocurrencies. It is not isolated for Ethereum but applicable for all cryptocurrencies, including Bitcoin.