Bitcoin has gone WILD today! the price has fluctuated $500 in a short period of time. Ethereum and other cryptocurrencies have followed suit and are all over the map. Some have dropped nearly 20%.
The following chart shows you the breakdown as of this posting.
People have been wondering what digital currency they should invest in when there are dips, or opportunities to buy. For those interested in buying one of these currencies, I personally believe there are two options which are the more solid ones. Quite simply, Bitcoin and Ethereum.
Both have advantages and disadvantages, but both have their own place. Ethereum however, seems like it has more upside potential. It's newer and less pervasive, but it seems to address many of the issues people have with Bitcoin.
CryptoCompare has a great breakdown in their guide which is not definitive and does not consider everything. But I do believe it has some good information, particular for those who are new to the scene.
Ethereum differs from Bitcoin in 7 main ways:
In Ethereum the block time is set to 14 to 15 seconds compared to Bitcoins 10 minutes. This allows for faster transaction times. Ethereum does this by using the Ghost protocol.
Ethereum has a slightly different economic model than Bitcoin – Bitcoin block rewards halve every 4 years whilst Ethereum releases the same amount of Ether each year ad infinitum.
Ethereum has a different method for costing transactions depending on their computational complexity, bandwidth use and storage needs. Bitcoin transactions compete equally with each other. This is called Gas in Ethereum and is limited per block whilst in Bitcoin, it is limited by the block size.
Ethereum has its own Turing complete internal code... a Turing-complete code means that given enough computing power and enough time... anything can be calculated. With Bitcoin, there is not this form of flexibility.
Ethereum was crowd funded whilst Bitcoin was released and early miners own most of the coins that will ever be mined. With Ethereum 50% of the coins will be owned by miners in year five.
Ethereum discourages centralised pool mining through its Ghost protocol rewarding stale blocks. There is no advantage to being in a pool in terms of block propagation.
Ethereum uses a memory hard hashing algorithm called Ethash that mitigates against the use of ASICS and encourages decentralised mining by individuals using their GPU’s.
https://www.cryptocompare.com/coins/guides/why-is-ethereum-different-to-bitcoin/
IF YOU FOUND THIS INFORMATIVE, PLEASE UPVOTE THIS POST!
I've been looking into Ethereum the last few days and it looked like it was going to be a better investment than bitcoin since it is in its early stages and seems to have greater potential. I was about to shapeshift half my bitcoin into ether but I just recently came across some concerning information. Unfortunately, I am not an expert and I can't understand half the stuff these guys talk about, so instead of trying to explain I will just point you in the right direction.
https://www.reddit.com/r/ethereumfraud/
This community is dedicated to exposing ethereum as a fraud. Look at the sticky thread, titled "FAQ: What exactly is the fraud in Ethereum?" That would be a good place to start. The thing that initially got me concerned was someone pointing out this tweet from a developer:
Here is an article about that tweet: https://cointelegraph.com/news/ethereum-not-safe-but-safer-than-other-blockchains-vlad-zamfir
The title is misleading as it says Zamfir claims ethereum is safer than other blockchains, yet the article concludes with a quote by him where he says "Is Ethereum at least more safe or scalable than other Blockchains? Maybe."
I am not smart enough to understand all of the information, especially what is written in that reddit FAQ, so I decided to post the resources for everyone's consideration. Take a look before getting involved. I think I will just sit on my bitcoin for now.
Disclaimer: I am just a bot trying to be helpful.
Thanks for sharing.
good stuff, thanks for sharing @themoneygps!
Appreciate you reading it.
Very interesting read, thank for you the info! So what you're saying is I should load up on Ethereum lol.
Seems like it has the better future.
Before you put your money into ether, take a look at my other comment.
Could you recommend a good exchange to buy from for a resident of Canada?
I'm still trying to find the best one.
Please let us know. I've been following you for years and trust your research and analysis
Definitely. I will. Thank you.
It's good to know that there are other options out there to look into. Thank you for the article.
Whenever I read about Ethereum it becomes obvious that I don't understand the thing. Forks of bitcoin are pretty much used as money but forks of ethereum are used for all sorts of different sevices. No idea why. Hopefully I will gradually come to understand it through osmosis or something...
Interesting blog. I fully understand what you're talking about. The biggest group of uneducated investors in mankind get's a shot to determine the price of a crypto. It's an interesting world we live in. Do you know this interesting site? https://www.coincheckup.com Supposingly they researched every crypto coin in the scene based on: the team, the product, advisors, community, the business and the business model. They even score the coins stengths. Check: https://www.coincheckup.com/coins/Ethereum#analysis For the Ethereum Detailed report