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Author Topic: Know your facts: Fundamental differences between Bitcoin and Ethereum  (Read 233 times)
arhipova
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December 31, 2023, 04:16:11 AM
 #21

The benefits of BTC over Ethereum are reflected in returns these coins offer.
Returns are not reliable figures to determine which coin is better than the other. In the case of bitcoin where it has happened over several years and at a reliable rate, one can maybe use it as a yardstick, but do not use it for smaller coins which can boost by 300% or more within a few hours.

Utility is the real benefit of any asset and the security of that asset

- Jay -

When you are comparing the returns, look at the bigger picture like return per year over last 10 years and not sort based on last 24 hours returns. Because, there is manipulation by whales in small coins.

I do agree that utility of the coin is also very important but that is also directly related to returns. If a coin is really that useful, the returns will be good over a period of time. For useless coins, they may spike temporarily but over  a longer period of time, the value will come to almost zero.
pooya87
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December 31, 2023, 10:55:54 AM
 #22

The best course of action was to fork the chain and render the stolen ETH tokens to become invalid. Since then, their network have become more resilient to attacks.
Since then other cases similar to DAO happened, some of which were in millions of dollars. They never rolled back those!
The best course of action would have been to hard fork and fix the bug in the protocol to prevent future DAOs from happening instead of just getting their own money back. Tongue

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un_rank
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December 31, 2023, 01:28:24 PM
 #23

I do agree that utility of the coin is also very important but that is also directly related to returns. If a coin is really that useful, the returns will be good over a period of time. For useless coins, they may spike temporarily but over  a longer period of time, the value will come to almost zero.
Not necessarily. We have meme coins with no utility that has been traded for several years. The crypto market besides bitcoin has a $900 billion dollar market cap while over 90% of the altcoins do not have utility.

As long as there is a market and traders who want profit, a coin with no utility can flourish.

- Jay -

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pawanjain
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January 01, 2024, 03:30:38 PM
 #24

The main difference is that bitcoin is completely decentralized while ethereum isn't.
Bitcoin transaction fees is usually cheaper than ethereum but on the other hand ethereum transactions are validated faster than bitcoin.
Both the coins are different from each other and have their own supporters and haters but can coexist in crypto.

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Phu Juck (OP)
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April 14, 2024, 02:06:59 PM
 #25

The main difference is that bitcoin is completely decentralized while ethereum isn't.
Very true and main reason of it boils down to PoW vs. PoS.
Quite contrary to PoS, PoW is very hard or almost impossible to compromise. Not so for PoS, where more attack vectors can be found.
For example, PoS can be abused by rich stakers. Many PoS projects have a so-called pre-mining of coins allocated to the team and the team can abuse such pre-mined coins to gain influence about project decisions.
A large pre-mine is making a project centralized in many ways and devs can gain much influence by staking a large amount of PoS coins. PoW is not having such issues.

A similar problem is called “nothing at stake”, where attackers benefit from no cost to stake ETH or similar PoS coins. Should a fork occur, no matter if the fork is a friendly, accidental or a malicious attempt to rewrite history and reverse transactions, it’s a given strategy for any staker to stake on every chain. By doing so, he will get a reward no matter which fork will succeed and he will have no additional cost to do so.
In PoW, such a problem is not happening because PoW always means work (spending electricity) needs to be done. A cost occurs for every miner.
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