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    Ethereum vs Bitcoin: Where Should We Build Web3?

    Bitcoin (BTC) is the OG of cryptocurrencies. You know when you walk into a room and you see one person who just looks like the main character in a movie? Yep, that’s Bitcoin for you. Despite its ups and downs, it recently hit $30K! And, multiple projects have launched on the infamous blockchain, including Yuga Labs! But, still, most projects are built, sold, and traded on Ethereum. This kicks the debate of the century: Ethereum vs Bitcoin: which is better?

    I mean, given Bitcoin’s track record, shouldn’t web3 be built on top of it? Wait, but isn’t Ethereum easier to build on? Notepads out, glasses on, we’re diving deep into investigation mode. 

    Investigation GIFs | Tenor

    Here’s what we’re going to look into:

    • Bitcoin’s history (price and reasons for its pumps and dumps)
    • Ethereum’s history (how it emerged after Bitcoin)
    • Key differences between the two blockchains

    These three main points will allow us to understand the nature and use of both blockchains. Thus allowing us to make an educated guess on which is the better basis for Web3: Bitcoin or Ethereum?

    How Did Bitcoin Start?

    Bitcoin seems to have existed for as long as we remember. How did it manage to engrave itself in our minds this much? It kinda scored a point in the Ethereum vs Bitcoin battle just for this. Also, I’m kind of creeped out.

    How did Bitcoin reap this much recognition in this space? Why do I keep hearing about it? Who is she? We’re like gossip girl analyzing every step of Serena Van Der Woodsen.  

    Looking below at Bitcoin’s price chart by coingecko, there are a lot of variations. We already explained in detail Bitcoin’s history. But, here are the key points. 

    Bitcoin Price Chart

    • October 2008: Anonymous individual under the pseudonym of Satoshi Nakamoto releases the white papers for Bitcoin. 
    • May 22nd, 2010: The first public Bitcoin transaction that exchanges value also known as “Bitcoin Pizza Day”.
    • October 2011: Launch of new cryptocurrencies to build on Bitcoin.
    • December 2017: Pump to $19,345.99
    • Q1 of 2020: Crash to $6,965.72 
    • April 2021: Another continuous increase to $63,558

    Bitcoin

      • Reasons behind this bull run: 
        • Bitcoin halving
        • Pandemic of COVID-19 that pushed everyone to stay at home
    • Bitcoin falls to $20,000 also known as crypto winter in 2022

    Bitcoin History price drops

      • Reasons causing crypto to turn into ice:
        • Terra Luna crash
        • The geopolitical turmoil due to the war between Russia and Ukraine
        • The FTX and SBF crash
    • Beginning of 2023: Bitcoin Started at $22,840
    • April 2023: Heavy pump back to $30,340

    Bitcoin

      • Reasons behind this pump:
        • Silicon Valley Bank collapse 
        • Official personnel supporting Bitcoin
        • NFTs launching on the Bitcoin blockchain

    Ethereum vs Bitcoin: Bitcoin Induces Ethereum’s Birth 

    But, we all know this for a fact. Serena wouldn’t be Serena without the Blair Waldorf. And, who is the Blair of Web3? None other than Ethereum.

    serena van der woodsen blair and serena gif | WiffleGif

    Vitalik Buterin, a computer programmer, looked at Bitcoin back in the day and was like the math ain’t mathing. Bitcoin is facing a lot of problems and they weren’t dealing with them in the right way. 

    He noted “I thought [those in the BTC community] weren’t approaching the problem in the right way. I thought they were going after individual application; they were trying to kind of explicitly support each [use case] in a sort of swiss army knife protocol.” 

    Vitalik Buterin

    And so, in 2013, he released a white paper describing what would become Ethereum. Later in 2014, Buterin and Ethereum’s cofounders launched a crowdsourcing campaign for the blockchain. They sold participants Ether to get their visions off the ground and raised more than $18 million!

    In 2015, Ethereum first launched creating fierce competition for Bitcoin. Countless projects launched on Ethereum, including NFT collections due to their smart contracts feature. Plus, many investors were mainly trading in ETH. 

    And so, the Ethereum vs Bitcoin debate came to light.

    So, What’s The Difference Between Bitcoin and Ethereum?

    Whenever you’re in web3, you will inevitably hear about Ethereum vs Bitcoin. They both managed to bag a lot of success. Some prefer Bitcoin over Ethereum and vice versa.

    So, who actually has got the upper hand here? Let’s see the difference between the two blockchains. 

    Difference between Ethereum and Bitcoin

    Analyzing Ethereum vs Web3

    Ethereum vs Bitcoin

    Bitcoin launched first and played a major role in the birth of Ethereum. Ethereum didn’t have to singlehandedly convince people of blockchain technology. Bitcoin had already started doing that. Plus, we know who the founder of Ethereum is. Less room for suspicion. Easier ground to build on. 

    So, Ethereum came, took Bitcoin’s problems, and built on top of it. But, we can’t say Ethereum is better. For sure, it’s less strict and even more user-friendly. And, you can make more and faster transactions on ETH. Add to that the various methods of exchange on Ethereum.

    But, you’d have to pay a fee that’s absent on Bitcoin. You can technically build more but you’d also have to pay more. And, Bitcoin’s supply is limited which would comfort investors. Whereas Ethereum’s supply is infinite. 

    We know this by now: less supply, more demand, increased value. What does this mean for ETH value if there’s enough supply for literally everyone?

    Both have their fair share of pros and cons. So, Ethereum vs Bitcoin, which is it? 

    Should Web3 Be Built On Bitcoin or Ethereum?

    Who is going to be the prom queen of Web3? Bitcoin and Ethereum are both decentralized secure blockchains. But, they weren’t built for the same reason. Not quite, at least. 

    Why is Bitcoin Better?

    Bitcoin

    Bitcoin, initially, started as a currency and store of value. And, it has succeeded in being exactly that. It kept its name and reputation throughout all the tough years. It is undeniably more established.

    And, Bitcoin is more secure and economically viable. More people own Bitcoin than any other cryptocurrency. I mean, Bitcoin is currently at $28.3K. Ethereum is around $1.8K. There is an undeniable difference in value between the two. 

    Ethereum vs Bitcoin value

    Plus, in 2023, it proved that it has the building ground to host NFT projects. The launch of NFTs on Bitcoin bagged a lot of money and hype in the community. For example, on chain monkey’s floor price doubled immediately after expanding to Bitcoin.

    Why is Ethereum Better?

    Ethereum

    Well, Ethereum wasn’t solely built as a store of value. This already gives it an advantage over Bitcoin which receives criticism for not providing alternative use. Do you know who seems to present its users with endless possibilities? Ethereum.

    The feature of hosting smart contracts is a huge door for innovative projects on its own. Already creators are populating the blockchain with NFTs and dApps. Most NFT projects launch on Ethereum. But, as previously mentioned, recent collections dipped their toes in the Bitcoin chain. 

    Ethereum vs Bitcoin: Who Is The Winner?

    Ethereum and Bitcoin

    Alright, let’s put an end to the Ethereum vs Bitcoin debate. Which blockchain should we build web3 on? If we’re talking about ‘building’ web3, Ethereum seems like the most logical option. It already has the infrastructure set in place. 

    In fact, the building process has already started there thanks to smart contracts. There are multiple projects and dApps on Ethereum. But, that is not to say Bitcoin has zero potential or that we can’t build there.

    On the other hand, Bitcoin is so well established that not building there would be missing a golden opportunity. Especially after it proved that it can successfully house ordinal NFTs. Also, Bitcoin can support a high volume of sensitive and complex monetary transactions. Why would we sleep on that? 

    So, the smartest thing to do is to adopt both blockchains based on our needs. Instead of it being Ethereum vs Bitcoin, it should be Ethereum and Bitcoin. That’s the only way we can build the web3 we want. Or, the web4 we dream of. 

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