Bitcoin (BTC) has been at the top for quite a long time now; actually from when it was invented. Its main advantage is that it was the first to be developed and investors are kind of loyal to it. Its success has marvels many with some even anticipating that it may hit the roof any time due to its skyrocketing prices.
However, over the recent years, Bitcoin has found its match in Ethereum (ETH). Ethereum development team has done exemplary well and they deserve to be congratulated for their great work. Ethereum now stands at number two with only Bitcoin to beat when it comes to the market cap. The current market cap of ETH is $84,273,427,871 USD compared to that of BTC which is $195,194,202,826 USD.
However, apart from the market capitalization, Ethereum (ETH) seems to have beaten Bitcoin in all other aspects. Below are the top five reasons why Ethereum is better than Bitcoin:
- Ethereum has faster transaction speeds
The transaction period of Ethereum is about 15 seconds while that of Bitcoin is about 10 minutes. This makes the two incomparable when it comes to transaction speeds. With faster transaction speeds, it means that the Ethereum networks are less prone to delays compared to Bitcoin network.
Again, the faster the transaction time the more the transactions that Ethereum can handle compared to Bitcoin.
- Ethereum (ETH) transaction cost is determined by ‘gas’ while that of Bitcoin is determined by the size of transaction in bytes.
This means that Ethereum transactions are far much cheaper than Bitcoin. For Ethereum, several transactions are usually combined into a single block. The number of transactions combined in a block is determined by the gas limit of the block. In this case, a single Ethereum block may be larger than that of Bitcoin and also ends up being cheaper than Bitcoin.
- Ethereum is built as a platform that can facilitate development of applications while Bitcoin was built specifically as a digital payments platform
Ethereum uses Ethereum Virtual Machine (EVM), which acts as the foundation for smart contracts. The smart contracts enable Ethereum users to be able to develop their own programs that can run on the Ethereum blockchain. As we speak, there are more than 200 Ethereum DApps (decentralized applications).
Ethereum technology has actually become the backbone of most of the altcoins which are immerging currently.
Due to the wide variety of uses of Ethereum (ETH), it is becoming a major ‘darling’ to digital asset investors.