Ethereum was first launched in 2015 by Vitalik Buterin, a 21-year-old college dropout, and through inspiration from Bitcoin. Since then, Ethereum’s founder has become a millionaire many times over through the Ether coin he holds in the Ethereum blockchain.
Based on market cap, Ether ranks as the second-highest cryptocurrency, with the Ethereum price at around $36 billion, following the $48.91 billion valuations of Bitcoin, according to Ethereum news.
Will Ethereum Replace Bitcoin?
Bitcoin has taken the crypto world by storm. However, it is not the only one. Bitcoin has been considered as the top and most popular digital coin in the market right now as it also holds the biggest market cap in all cryptocurrencies. However, Ethereum possesses a great set of potentials to make it big in the world.
For one, Ethereum is not just another digital coin as it also features smart contracts, which can be also be identified as a programmable digital currency. Through Ethereum, third-person parties who are usually involved in making transactions are not needed anymore, like loan companies, realtors, and escrow agents when buying a house. By using Ethereum, transaction processes can be quicker, and without any third person parties, it also increases the price of the house on the seller’s perspective.
Through Ethereum, the process of transactions becomes easier and quicker. For example, when buying a house, the payment will be transferred to the seller and the homeownership to the buyer once both parties have agreed on a deal.
The potential of Ethereum to become a revolutionary network when it comes to smart contracts will enable users to gain back control over their data, both their personal data and their habitual data.
Bitcoin vs. Ethereum
Both Bitcoin and Ethereum can be used by the public, but that is where the similarity of these two cryptos ends. Bitcoin only uses the blockchain technology for one purpose, which is to create a monetary system for exchanges using Bitcoin (BTC). Ethereum, on the other hand, is much more complex. It uses a more advanced scripting language that allows it to run programming codes of any kind of decentralized application, from electronic voting systems to title registries.
With all the possibilities that Ethereum’s blockchain technology offers, it has become the second most popular and highly valuable digital coin in the crypto world, only two years after ur was launched.
Although Bitcoin still holds the crown for the top cryptocurrency, the applicability of Ethereum classic can take over the world in the near future.