As you probably learned in the last few years, cryptocurrencies are here to stay and there is nothing that can stop them. Now we are going to present you with some horrifying information. The combined value of all of the cryptocurrencies grew by 3,300% in just one year. From $17.7 billion to $613 billion. If we look at some points in history, the stock market’s traditional average growth was 7% yearly.
Digital currencies left all of the competition far behind them. For example, Bitcoin started 2017 with just $970 per coin. Today, it is around $10,000 per coin. It is a natural thing that some competition will emerge on the market. In this article, we are going to talk about what cryptocurrency is the biggest threat to Bitcoin’s first place among all others.
What About Ethereum?
One of the biggest competitors to Bitcoin is Ethereum. It has the second biggest value of all digital currencies, after Bitcoin. Last year, it even had bigger growth then bitcoin in 2018. One of the biggest pointers saying that Ethereum might be the new digital currency with the highest value is that a great number of various companies and organizations that participate in Enterprise Ethereum Alliance.
If you are interested in learning about some cryptocurrency communities, visit profit-revolution. However, Ethereum seems like it has a totally different approach than Bitcoin because it pushes its blockchain to companies, ignoring the token approach in the process. Because of their different strategies, we think that these two giants are not direct competition with each other.
What About Litecoin?
In the previous segment of the article, we came to the conclusion that Ethereum is not the biggest competitor to Bitcoin. We think that the biggest threat to the number one is Litecoin. In 2018, this digital currency was the fifth-largest market cap of all cryptocurrencies. The reason for this claim is that Litecoin is very similar to the world’s number one. Their strategies are pretty the same.
They are both made the same way, through mining. However, the mean block for this digital currency is quicker than its competitors. Even though its transactions are smaller at the moment, they are much faster than with other cryptocurrencies. Also, they are much older than the vast majority of other currencies. They were created in the same year as Bitcoin, in 2009.
Naturally, Litecoin is not as successful as its biggest competitor, but it appears that some of its functions are much better than the one you can see at Bitcoin. Surprisingly, even though it is not very successful as the others, Litecoin managed to attract one big retailer under their wing, Overstock. Naturally, this is not the only one, but it is certainly the biggest and best-known.
Recently, Litecoin was updated by its creators and it improved its capacity of the blockchain system. Also, the costs of processing transactions are reduced. We are certain that with those improvements they will be able to attract much more successful companies and users.