I often get asked "Why Bitcoin vs Ethereum." This article sets out to define my thoughts on the difference between the two, and why I think Bitcoin represents a distinctly different risk/reward profile than Ethereum.
I'm no expert on crypto by any stretch, but I've never liked Ethereum nor would I ever invest in it. Deep down I believe it's a scam, or at best a wolf in sheep's clothing and a poor long term investment. I wouldn't be surprised if it skyrockets in price in the short-medium term, but I also think there's a good chance it collapses in the longer term. And if/when it does, it could take the entire crypto market down with it and shake many weaker hands out of Bitcoin in the process. But I also strongly believe that Bitcoin will prevail, regardless of what happens with Ethereum or other shitcoins. Why? Bitcoin was born in truth, represents hope, and will prevail through unity.
Such good work. Your current job at Kraken would indicate that you believe in a sort of cryptoverse of some kind (after a mass extinction event). Would you be willing to talk about some of the others in the say top 5? Itβd be nice to hear thorough, sober thoughts on some of the others in contrast to so much love/hate/hype.
I have had FOMO on the alts only because of reading all of the information shilling them. I had 10 ETH until the Sunday before the Tesla $1.5billion announcement. I read your newsletter and decided to convert them to Bitcoin so that is the only crypto I own. Once again you have reinforced my decision as SOV is what I am in it for so I can leave something valuable to my heirs. Looking forward to you being a Texan Dan. Glad you are feeling better.
Hey man, huge fan of your work. Are you planning on doing an article on YCC and what you think the fed will do? Preston on his podcast has been talking about it a lot and he makes up some really fascinating cases about how because the fed will need to do YCC, everyone in fixed income is going to pour into Bitcoin. Which of course means we go to the moon.
Will ETHE fail due to scalability and high gas fees (or) will the ETHE upgrades in progress likely fix it before ETHE loses market share to a better platform? If so, what is most likely to replace ETHE as a smart contract platform for DEFI?
We live in interesting times...when your technical analysis / opinion should get you "fired" - possibly the most important thing that one should learn at an early age is that disagreement is normal / acceptable in a free society. It's actually how things get done, how we improve, how scientific inquiry and intelligent discourse is furthered.
Love the "narrative over time" chart. I would not necessarily hold that against Ethereum as long as Ethereum had achieved each of its intermediate goals. In other words, Amazon, started as a place to order books and over time has successfully jumped over every new objective/hurdle and is now a vast store of data / transactions, a virtual store of almost everything with regional warehousing, a marketing / ecommerce platform for other stores, a series of successful products (e.g. kindle) and now with a CEO who built their cloud tech stack into a global powerhouse. Your point stands, of course, but I think this needed to be said.
Amazing read. I wish you could tackle the FUD about Bitcoin mining consuming 10% of Earth's energy before it hits 1 million dollars... not to speak of higher numbers.
I'm no expert on crypto by any stretch, but I've never liked Ethereum nor would I ever invest in it. Deep down I believe it's a scam, or at best a wolf in sheep's clothing and a poor long term investment. I wouldn't be surprised if it skyrockets in price in the short-medium term, but I also think there's a good chance it collapses in the longer term. And if/when it does, it could take the entire crypto market down with it and shake many weaker hands out of Bitcoin in the process. But I also strongly believe that Bitcoin will prevail, regardless of what happens with Ethereum or other shitcoins. Why? Bitcoin was born in truth, represents hope, and will prevail through unity.
Such good work. Your current job at Kraken would indicate that you believe in a sort of cryptoverse of some kind (after a mass extinction event). Would you be willing to talk about some of the others in the say top 5? Itβd be nice to hear thorough, sober thoughts on some of the others in contrast to so much love/hate/hype.
Love your work...
I have had FOMO on the alts only because of reading all of the information shilling them. I had 10 ETH until the Sunday before the Tesla $1.5billion announcement. I read your newsletter and decided to convert them to Bitcoin so that is the only crypto I own. Once again you have reinforced my decision as SOV is what I am in it for so I can leave something valuable to my heirs. Looking forward to you being a Texan Dan. Glad you are feeling better.
I agree w you 100%. Let bitcoin be SoV. Other crytos can be something else. i.e. litecoin is a sensible payments aggregator, for example.
Great article Dan!
Phenomenally explained. Simplifying the complexities for the growing pool of investors coming in-mass into the BTC ecosystem.
Very nice read per usual, thanks Dan, Iβve been waiting for this.
Hey man, huge fan of your work. Are you planning on doing an article on YCC and what you think the fed will do? Preston on his podcast has been talking about it a lot and he makes up some really fascinating cases about how because the fed will need to do YCC, everyone in fixed income is going to pour into Bitcoin. Which of course means we go to the moon.
Will ETHE fail due to scalability and high gas fees (or) will the ETHE upgrades in progress likely fix it before ETHE loses market share to a better platform? If so, what is most likely to replace ETHE as a smart contract platform for DEFI?
great article, thank you !
We live in interesting times...when your technical analysis / opinion should get you "fired" - possibly the most important thing that one should learn at an early age is that disagreement is normal / acceptable in a free society. It's actually how things get done, how we improve, how scientific inquiry and intelligent discourse is furthered.
Love the "narrative over time" chart. I would not necessarily hold that against Ethereum as long as Ethereum had achieved each of its intermediate goals. In other words, Amazon, started as a place to order books and over time has successfully jumped over every new objective/hurdle and is now a vast store of data / transactions, a virtual store of almost everything with regional warehousing, a marketing / ecommerce platform for other stores, a series of successful products (e.g. kindle) and now with a CEO who built their cloud tech stack into a global powerhouse. Your point stands, of course, but I think this needed to be said.
Amazing read. I wish you could tackle the FUD about Bitcoin mining consuming 10% of Earth's energy before it hits 1 million dollars... not to speak of higher numbers.
Awesome article Dan. A sovereign fundament for a darwinian crypto supplement. Would that work?
Do you think the TAM for store of value will remain more or less the same or the TAM grows bigger?
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Great article. Curious what you think any of the Ethereum alternatives - Cardano (ADA), Solana (SOL), Algo Rand (ALGO), Binance (BNB)