Key differences between the biggest crypto rivals: Ethereum vs Bitcoin
Bitcoin and Ethereum are the two most well-known cryptocurrencies available today, with the former established in 2009 by the anonymous Satoshi Nakamoto and the latter proposed in late 2013 by Vitalik Buterin. Despite the fact that both cryptocurrencies share many similarities, their concepts and purposes are different.
Since its release in 2009, Bitcoin has been the undisputed leader of the crypto revolution. Countless imitators have come and gone but Bitcoin remains strong and dominant. However, over the past 4 years, Ethereum has also proved that it is here to stay, being Bitcoin’s strongest rival.
The main difference between Ethereum and Bitcoin originates from their conceptual design. Bitcoin strives to become a secure, censorship-resistant value system outside of the traditional financial realm. Contrarily, Ethereum is designed as a ‘decentralised world computer’, which Turing-complete functionality allows users to build and run applications on the network through the Ethereum Virtual Machine (EVM).
Their concepts. When you think of Bitcoin, think of digital money. When you think of Ethereum, think of smart contracts. Bitcoin intends to be a literal store of value, a ‘digital gold’ of its kind, and is expected to eventually become a globally adopted currency – fully replacing conventional money in the foreseeable future. The purpose of Ethereum, on the other hand, is to become a giant platform upon which smart contracts and decentralised apps can run.
Their purposes. When you think of BTC vs ETH, you should consider their purposes. Bitcoin’s objective is to help people send money peer-to-peer without involving any third parties, removing the need for banks or any other payment processors. With Bitcoin, you control your own money: you can send it anywhere at any time and the fees are consistent. It doesn’t matter whether you send Bitcoin to your neighbour or to someone on the…