Here’s a question often asked: How do I choose which cryptocurrency to invest in – aren’t they all the same?
There is no doubt that Bitcoin has captured the lion’s share of the cryptocurrency (CC) market, and this is largely due to its reputation. This is similar to what is happening in global national politics where a candidate receives a majority vote on the basis of FAME rather than any proven qualifications or qualifications to govern a nation. Bitcoin is the pioneer of this market space and has been gaining almost all the headlines in the market. This fame does not mean that it is suitable for the job, and it is generally known that Bitcoin has limitations and problems that need to be addressed, however, there is disagreement in the Bitcoin world as to how best to solve the problems. Adding to the problems, there are ongoing opportunities for developers to launch new coins that address specific situations and thus set themselves apart from about 1300 other coins in this market place. Let’s take a look at two Bitcoin competitors and discover how they differ from Bitcoin and from each other:
Etherium (ETH) – The Etherium coin is known as the other. The main difference from Bitcoin is that Ethereum uses “smart contracts” which are account holding objects in the Ethereum blockchain. Smart contracts are defined by their creators and they can interact with other contracts, make decisions, store data and send it to others. The functionality and services they provide provide the Etherium network, all of which is beyond what Bitcoin or any other blockchain network can do. Smart contracts can act as your autonomous agent, comply with your instructions and rules for spending money, and initiate other transactions on the Ethereum network.
Ripple (XRP) – This currency and Ripple network also has unique features that make it much more than a digital currency like Bitcoin. Ripple has created Ripple Transaction Protocol (RTXP), a powerful financial tool that helps Ripple Network exchanges transfer funds quickly and efficiently. The basic idea is to place money in “gateways” where only those who know the password can unlock the funds. This opens up huge potential for financial institutions, as it simplifies cross-border payments, reduces costs and provides transparency and security. All of this has been accomplished through the creative and intelligent use of blockchain technology.
The mainstream media covers this market with breaking news stories almost every day, but their stories have no depth … they are mostly just dramatic headlines.
The Wild West show continues …
5 stock crypto / blockchain peaks average 109% From December 11/17. Wild pendants continue with daily jerseys. Yesterday we had South Korea and China the latest to try to accelerate in cryptocurrencies.
On Thursday, South Korean Justice Minister Park Sang-ki temporarily plummeted global bitcoin prices and sent virtual coin markets into turmoil when he said regulators were enacting legislation to ban cryptocurrency trading. Later that day, South Korea’s Ministry of Strategy and Finance, one of the main members of the South Korean government’s cryptocurrency regulatory body, came out and said their department Do not agree With a premature statement from the Ministry of Justice regarding possible cryptocurrency trade bans.
Although the South Korean government has said that cryptocurrency trading is nothing more than gambling, and they have expressed concern that the industry will leave many citizens in poor homes, their real concern is the reduction of tax revenue. This is the same concern of every government.
China has become one of the world’s largest cryptocurrency mining sources, but now the government is rumored to be controlling the electricity used by these mining computers. More than 80% of the electricity generated in bitcoin mines today comes from China. By shutting down miners, the government will make it more difficult for Bitcoin users to verify transactions. Mining will move elsewhere, but China is particularly attractive because of the very low electricity and land costs. If China complies with this threat, mining capabilities will be temporarily compromised, resulting in longer timers and higher costs for Bitcoin users to verify transactions.
This wild journey will continue, and like the Internet boom, we will see some big winners and some big losers in the end. Also, like the Internet boom or the uranium boom, it will improve those who get it early, while mass investors are always at the end and buy at the top.