Today’s hype surrounding Bitcoin, Ethereum, and technologies the dot-com bubbles in the 90s. There is a lot of money pouring into this article hype, and it does not seem to be slowing down anytime soon, and the reasons are more than one can know.
Unfortunately, the masses only be able to say, “I have heard of,” while a large percentage of people still are not quite sure what it is and are even more confused about Ethereum. Are bitcoin and Ethereum are so tough to understand or is it only the hype that is creating chaos among the people?
The easiest way to define Bitcoin is to call it as a “digital dollar.” It is not a technology. It is not a company. Its your money, held in a digital form.
Anyone can create an account to buy and sell digital money through websites like coin base.The price of then fluctuates based on supply and demand, now people are beginning to convert their bitcoin into what are called “tokens,” which companies issue during an initial coin offering to people, to invest in a company by purchasing tokens with their bitcoin. Based on the supply and demand of these tokens bitcoin’s price goes up or down. These tokens operate on a secondary market, separate from the rise and fall of bitcoin’s market as a currency.
Some people buy bitcoin want to store their money somewhere other than a bank.some buy bitcoin as an investment that its price from now will be higher than its today.
It is another cryptocurrency and many people believe it as potentially overtaking bitcoin as the dominant coin in the market. In an economy currency is relative.Bitcoin has been the leading position since the beginning and price of every other altcoin is measured against bitcoin.For example, when we shift our focus to Lite coin, another cryptocurrency. It is a currency that has its own merit, but while bitcoin is priced at over $3000 per coin currently priced around $45.So it has its own value.
What makes Ethereum different is its technology, it is not just another cryptocurrency. Ethereum’s coin value is referred as”ether”, and just like Bitcoin it is bought and sold, and used by investors to buy into ICO( coin offering)
The difference between and bitcoin is the fact that bitcoin is nothing more than a currency, it is a ledger technology that companies are using to build new programs. Both bitcoin and Ethereum operate on “Advanced technology”, which is far more robust than normal people can understand.
The major difference between bitcoin and Ethereum is of their roles and the fact they both are aiming at parallel positions but they both have different goals.