Difference between Ethereum and Bitcoin

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Difference between Ethereum and Bitcoin
Ether or ETH works on the Ethereum network, and
it is the second most popular cryptocurrency
after bitcoin or BTC. Bitcoin is a kind of digital
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• currency that works on a peer-to-peer system
  without any central authority. It was discovered
  by a person or group of persons namely Satoshi
  Nakamoto in the year 2008. Every transaction is
  stored in an immutable distributed ledger.
• Ether and Bitcoin have many similarities between
  them. Both of them are digital currencies traded
  on the online exchanges. They are stored in
  various cryptocurrency wallets.
• This blog describes Ethereum and Bitcoin and
  highlights the major differences between both
  currencies. We will also discuss various other
  things related to these cryptocurrencies in
  detail in this blog.
• What is Ethereum?
• Ethereum is a kind of blockchain-distributed
  platform. The network currency of this platform
  is Ether or ETH. The transactions are stored in
• an immutable distributed ledger. The features of
  the Ethereum platform are
• Ethereum is an open-ended decentralized platform
  with huge popularity around the globe.
• It helps to build and deploy decentralized apps
  and smart contracts without fraud or
  interference or control of a third party.
• Ethereum has its own programming language that
  works on a blockchain.
• The native cryptographic token on the Ethereum
  platform is Ether or ETH. In the year 2014,
  Ethereum launched a presale that got a huge
  response.
• Users have to create Ethereum accounts to send
  and receive transactions.

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• Ethereum is a flexible platform to build apps
  with the help of solidity scripting language.
• This platform is highly scalable and can be used
  by different users according to their needs and
  budget.
• Ethereum network was started in the year 2015 and
  soon became the most ambitious project in the
  crypto space to decentralize everything on the
  internet. There is no central authority that uses
  Paw to reduce fraudulent activities in the
  blockchain.
• Decentralized apps developed on Ethereum allow
  Ether and other crypto assets in performing
  various tasks such as keeping collateral for
  loans or providing a loan to the borrowers to
  earn interest.
• Also Read How To Mine Ethereum
• What is Bitcoin?
• Bitcoin was invented in the year 2009 by Satoshi
  Nakamoto. It is a kind of cryptocurrency without
  any central authority. Bitcoins are not
• physical assets. Only a public ledger is
  maintained to record all the transactions. The
  special features of Bitcoin are
• Bitcoin is shown as BTC in the cryptocurrency
  language
• Bitcoin is stored, created, and distributed using
  a decentralized system called Blockchain
• You can either buy a whole of Bitcoin or a small
  fraction of it as per the budget.
• The public ledger will record all the
  transactions of the Bitcoin and their copies are
  stored on servers around the globe.
• Bitcoin allows you to manage currency without a ba
  nk, government, or financial institution.

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• Bitcoin blockchain is available to the public. It
  contains the history of every transaction
  conducted in the distribution of several nodes.
• Also Read What is Bitcoin? Everything You Need
  to Know
• Key Difference between Ethereum and Bitcoin
• Both Ethereum and Bitcoin might have some
  similarities but they are
• different from one another. Bitcoin is used as a
  digital asset like gold whereas Ether is used to
  power the Ethereum platform and its apps. Now,
  let us have a look at the major differences
  between the cryptocurrencies in detail
• Types of tokens issued
• One can issue tokens on both platforms. In the
  case of the Bitcoin
• blockchain, the Omni layer platform is used for
  creating and trading currencies. Omnis layer
  adoption works around stablecoins.
• On the other hand, Ethereum tokens are issued
  with different standards. The most popular
  standard is ERC-20. This standard includes the
  list of rules for the tokens on the Ethereum
  network. It also mentions the different
  functions that developers must implement before
  launching the tokens. These functions contain
  details such as account balances and tokes
  total supply.
• Mechanism
• Both Bitcoin and Ethereum platforms have
  different mechanisms. While
• Bitcoin works on Nakamoto consensus to confirm
  transactions and add new blocks to the
  blockchain. It works on a proof-of-work system.
• Ethereum works on a proof-of-stake system to
  confirm transactions and add new blocks. The
  proof-of-stake system is better than the proof-
  of-work system and saves energy.

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• Time to add a new block
• Bitcoin works on a proof-of-work system to add
  new blocks to the blockchain. Bitcoin Miners are
  required to find an SHA-256 hash that is
• equal to the target hash. Similarly, Ethereum
  miners must also find a
• hash that is equal to the target hash. The
  average time taken to search a block on Bitcoin
  is 10 minutes while it takes around 12 seconds in
  Ethereum to find a block.
• Public wallet addresses
• Bitcoin and Ethereum have different public wallet
  addresses. This
• wallet address acts as a unique identifier for
  receiving funds. It is similar to International
  Bank Account Number in certain financial
  institutions. This number helps to identify the
  bank and country from the account a client
  belongs. In the case of Bitcoin, public wallet
  addresses begin with a 1, bc 1, or a 3. On the
  other hand, the addresses start from 0x.
• Algorithms
• Both these platforms include different algorithms
  and their hash rates
• cannot be compared. Generally, the hash rate of
  Ethereum is higher than Bitcoin. It means that
  Ethereum is safer than Bitcoin for investment
  option.
• Market capitalization
• Bitcoin was invented in the year 2009 whereas
  Ethereum came into
• existence in the year 2015. The market
  capitalization of Bitcoin is 100 billion
  currently whereas the market capitalization of
  Ethereum is more than 25 billion.
• Final words
• These are the major differences between Bitcoin
  and Ethereum platforms. Today, Bitcoin is more
  popular than Ethereum because of

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various benefits. It has more market
capitalization than Ethereum and it is a
reliable option for investment. You can buy the
best cryptocurrency mining hardware to start
mining Bitcoin and earn huge profits. Both these
options are safe today to invest your money. You
can ask an expert about both these options and
how to invest safely to earn good profits every
year.