Bitcoins Versus Other Cryptocurrencies: Here Is What You Should Know
Cryptocurrencies need to be compared often so that you as a potential consumer so that you understand who is offering what. This further helps you to decide your investment pattern that will be based on the best and doable choice that you get. Let us put bitcoin against so of the other cryptocurrencies that compete and provide newer versions of contracts. First, let us talk briefly about what cryptocurrencies are.
Cryptocurrencies are digital currencies that are not controlled by any of the banks or the government. However, you can still exchange it and speculate it as you do with a fiat currency. The first decentralized cryptocurrency that launched in the market was bitcoin in 2009. After that, several other currencies came into existence being known as altcoins.
Even though bitcoin is still leading the market, there are other cryptocurrencies that are competing with bitcoin for surpassing it in the future. Let us read about some of those cryptocurrencies.
Let the comparison begin
There are many in the list of cryptocurrencies, say over 5000 names, but we have featured only a few that are extremely popular. But of course, we start with bitcoin.
- BTC or Bitcoin
The first and still the highest in the market cap. This was launched by pseudonymous Satoshi Nakamoto, probably a group or a person, for creating a network of peer-to-peer payments across the globe. This aims towards eliminating the need for third parties and creating decentralized cash and assures transactions anonymously.
Advantage- bestselling cryptocurrency of all times
Disadvantage- slow transactions, needs experts for mining.
- XRP or Ripple
Ripple uses a payment network known as RippleNet. This is used by many financial organizations and banks that include American Express and Santander. Ripple has a completely different method of workability; this is often put Ripple in the eyes of suspicion on it truly being a cryptocurrency that is decentralized.
Advantage- the transaction can be made rapidly
Disadvantage- RippleNet does not require ripple the underlying crypto for being used.
- Ethereum or ETH or Ether
The Ethereum network’s cryptocurrency known as ether allows its users to code their own piece of application and launch the same dapps or decentralized apps. The users are also allowed to develop smart contracts that help in automating the terms of use. Few ethers are killed when the transactions are made so that it is safe from hackers trying to spam the network.
Advantage- use on different platforms other than the Ethereum network and get a rapid transaction speed.
Disadvantage- uncapped supplies are subjected to inflation
- BCH or Bitcoin cash
Bitcoin cash is one of the hard forks of the original bitcoin code and was launched in 2017 August. This hard fork so far is the best, for slowing down the bitcoin transaction speed. Additionally, the network was not capable of reaching a consensus on the upgrades that were proposed. The biggest block size of bitcoin cash is 8 Mb, compared to bitcoin’s 1 Mb, the speed of transaction increases per second.
Advantage- faster transactions than bitcoins
Disadvantage- an expert has to code this complex technology
- Litecoin or LTC
Litecoin had aimed at becoming gold bitcoin’s silver, explained Charlie Lee the founder. Similar to the supply of gold is lesser than that of silver, Litecoin will mine 84 million coins, four times more than what bitcoin will have. Some fundamental technologies are also present between them.
Advantage- offers faster transactions
Disadvantage- has a low market cap when compared to bitcoins.
- XLM or Stellar
Stellar is also a payment network like Ripple Net and offers transactions via multiple currencies. The technology beneath this is a cryptocurrency called XLM or lumens, aka stellar. XLM can be used for making payment in the network and offers antispam, protected by a transaction fee, paid using the cryptocurrency.
Advantage- bank integrations, multiple currency transactions
Disadvantage- not many know about this cryptocurrency compared to the other on this list.
Conclusion
There are so many cryptocurrencies to choose from, but before that do thorough research. If you are interested to visit this website bitcoin aussie system for availing the best offers. If you want to invest in other cryptocurrencies there are many exchanges to explore other than this.
Andrea Parker is a reporter for Zobuz. She previously worked at Huffington Post and Vanity Fair. Andrea is based in NYC and covers issues affecting her city. In addition to her severe coffee addiction, she’s a Netflix enthusiast, a red wine drinker, and a voracious reader.
