Messari analyst Ryan Watkins has posited a bullish projection for the Ethereum Network and Ether, over Bitcoin (BTC). Watkins made the claims that Ethereum may soon be more secure compared to Bitcoin through a YouTube show Fintech Today on Thursday.
According to the analyst, there is no certainty as to whether Ethereum will surpass Bitcoin in the future in terms of price valuation, but he believes the current plan to roll out Ethereum 2.0 which works as a Proof-of-Stake (PoS) network will make the Ethereum blockchain more secure.
“The selling point of Bitcoin over Ethereum as a store of value asset boils down its monetary policy being very predictable and the Bitcoin blockchain being very secure. I think that with the shift to Eth2 and to proof-of-stake, […] Ethereum may actually potentially be more secure than Bitcoin,” he said
There has been no debate prior to this time as to the most relevant coin, between BTC and ETH especially when the interest of institutional investors is factored in. Bitcoin did not just beat Ethereum by pricing and market capitalization, it outpacing Ethereum through its deflationary monetary policy.
Watkins also underscores the potentials of the proposed EIP 1559 upgrade, a move that will result in the burning of Ether at a faster rate than it is created. This deflationary tendency is also a new factor that may help level up the scarcity factor that makes Bitcoin very attractive to mainstream investors.
The Messari analyst said;
“Ethereum’s monetary policy will actually change in Eth2 so that it actually won’t just be just be less inflationary than Bitcoin, it would actually be deflationary. So then, every year, there is actually less and less Ether in existence because it’s being burnt.”
While paying attention to the strides Bitcoin has gained thus far, helping to push the global cryptocurrency market above $1.5 trillion market capitalization, Ethereum’s longer-term contributions are looking more likely than ever.
At the time of writing, Ethereum is trading at $1,794.19, up 1.72% in the past 24 hours and Bitcoin is exchanging hands at $58,026.14 after growing at 5.49% in the past 24 hours. Data was culled from CoinMarketCap.