Most people refer to Bitcoin (BTC) as the original cryptocurrency. It was the first digital currency and promised to change money as we know it when it was introduced in 2009. a kind of electronic money that individuals might trade without the need for an intermediary, simply, safely, and affordably? It is understandable why Bitcoin has people’s attention.
Twelve years later, Bitcoin has come a long way toward becoming widely accepted. But it’s also true that there is still a ways to go. And it’s not flawless. There are more recent coins that are quicker, more durable, and less volatile.
In terms of price or market capitalization, none of them can compete with Bitcoin. But as technology advances, there’s a chance that one of them might ultimately take the place of Bitcoin. These four cryptocurrencies have a shot, according to some.
1. Ethereum is in the best position to functionally replace Bitcoin (ETH)
By market capitalization, Ethereum is the second-largest cryptocurrency, and it is currently the most likely to succeed Bitcoin. It was the first to implement blockchain-based smart contracts, which are teeny-tiny pieces of code.
A game changer are smart contracts. They are responsible for a number of significant innovations, like as non-fungible tokens (NFTs) and decentralized finance, that have fueled the explosive growth of cryptocurrencies in recent years.
It is possible to formalize an agreement with someone without involving a third party thanks to these little pieces of self-executing code. For instance, a farmer may get coverage for extreme weather, and the policy would kick in if the circumstances were met.
2. Cardano is the cryptocurrency that is most likely to succeed Bitcoin in the long run (ADA)
A third-generation cryptocurrency known as Cardano seeks to address some of the issues that both Ethereum and Bitcoin have. Its goal is to employ blockchain technology to address issues in the real world, and it bases its development decisions on research.
The well-known digital currency has offices spread over 15 nations and four continents. Its work in Africa sets it apart from other blockchains. For instance, it collaborated with Ethiopia’s Ministry of Education to use its blockchain to store the academic data of 5 million pupils. In Ethiopia, fake academic credentials are a serious issue that might prevent students from going overseas to work or study. This trial program might alter people’s lives.
Cardano uses a tiny amount of energy compared to Bitcoin or Ethereum. Each year, each consume enough electricity to power an entire nation. Just 6 gigawatt-hours are used by Cardano’s network annually, which is about equal to the amount of energy used by the state of New Jersey each month.
3. Solana is in the best position to outperform Bitcoin in terms of speed (SOL)
Any crypto is faster than bitcoin, which can only execute seven transactions per second (TPS). But Solana is much quicker. It is far more scalable than Bitcoin and many other cryptocurrencies because it can process more than 50,000 TPS.
Smart contracts are executed on the programmable blockchain known as Solana. Additionally, it has a much lower environmental impact than Cardano. On Solano’s platform, over 300 projects are now active, including wallet apps, stablecoins, and decentralized cryptocurrency exchanges.
4. Which currency is most likely to overtake Bitcoin in terms of volatility
A digital dollar isn’t technically a regular cryptocurrency, and its very existence is still up for debate. However, the viability of Bitcoin as a digital payment method may be seriously threatened by central bank digital currencies, sometimes referred to as CBDCs or govcoins. These centralized coins have the advantages of Bitcoin but don’t suffer from price swings because they are backed by individual governments.
They also wouldn’t prevent inflation in the same way that Bitcoin might, and they contradict the entire idea of a currency that eliminates the middleman. But the volatility of Bitcoin has been a significant barrier to its widespread adoption. And a digital currency would undoubtedly address that.
Can Bitcoin be replaced by anything
I occasionally compare Bitcoin to my very first cellphone. It was a large, ostensibly unbreakable Nokia. All you could do was play Snake, send SMS, and make phone calls. The battery seemed to last for a very long time; perhaps I’m just remembering things with nostalgia-colored spectacles.
I kept that phone for years, even while I observed friends using it to check their emails and conduct mobile web searches. But gradually, technology (as well as the requirements of my job) advanced to the point that I needed an upgrade.
Some claim that Bitcoin is a type of electronic gold. Or they think of it as a safe vault that will support other cryptocurrencies as they develop and run in the background. They may be accurate (I hold Bitcoin because I do think it will survive long term). But it might also eventually be replaced by more intelligent, glitzier cryptocurrency, just like my old Nokia was. I also hold some of them because of this.
