December 3, 2020

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Four competitive advantages of Bitcoin over Altcoins in 2020

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Bitcoin has a number of advantages over other cryptocurrencies and fiat currencies in its key features. This was stated during an interview with Euriasia Review by an academic on cryptocurrencies Konrad S. Graf.

advatages of Bitcoin

Lack

Bitcoin‘s first advantage over its competitors is its lack. “The biggest competitive advantage of bitcoin is its ability to reduce the issue of new coins and its reliability in the method of controlling the production of new units,” he said. Graf thus pointed out that Bitcoin will never be more than 21 million and that its production is halved every four years. This is in contrast to the fiat currencies they issue to the central bank market as needed, but also to other competing cryptocurrencies such as the Ethereum number two and the XRP number three.

Apolitical

The second reason is Bitcoin’s apolitical nature, which allows transactions around the world from anyone to anyone, as it is a financial protocol resilient to the “fiat trap” and government intervention. “(Bitcoin) can become not only a non-political monetary unit, but also a direct competitor of the SWIFT system and any existing or emerging rival,” he said. “In a world in which conventional systems are politicized, Bitcoin has the advantage of being neutral and not being run by any of the competing blocks, which means that everyone can participate.”


Technical ability

The third reason is his “technical prowess” in the form of an ever-increasing hashrate. The higher the hashrate, the more robust and secure Bitcoin is. Konrad S. Graf pointed out that while Bitcoin is already attacking or surpassing the average value of 100 quintillion HASH algorithms per second. “Bitcoin has a hashrate 39 times higher than its closest competitor,” he pointed to its dominance in cryptocurrencies, which are mined using the Proof-of-Work concept.


It is not an entity

The last of advantages of Bitcoin is that it is not an entity. Unlike corporate blockchains, which have several vulnerabilities that political players can target if they want to influence them, Bitcoin is absolutely decentralized. This advantage over his competition was evident in the example of 2019, when Facebook decided to introduce the project to its cryptocurrency Libra. Almost immediately began to have problems, because the legislators knew exactly who is behind this project and whom to push. In the case of Bitcoin, this is impossible. “There is no CEO to be summoned to Washington for questioning,” Graf pointed out, reminiscent the “grilling” Facebook chief Mark Zuckerberg at the US Congress in connection with the pound.

 

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