I had never heard of the word Flippening till about a few months ago when it started to trend on the Cryptoverse. It didn’t take me long to figure out what it meant & why the term was coined. So much so that they have a website dedicated to this phenomenon called . Beyond Ether’s transactional value it provides the basis for the foundation & expansion of the crypto market.
Bitcoin is notorious for high transaction costs & slow speed which doesn’t make it an ideal digital currency for micropayments — bitcoin transaction costs $2.12 compared to about $0.67 of Ether at the time of writing. However for bitcoin, this is still a massive improvement over the $55 transaction cost in mid December 2017 thanks to the upcoming Lightning Network which is basically a digital freeway with smart contract capability, where the bitcoin blockchain is connected to an alternative payment network thus avoiding the blockchain congestion. ETH’s answer to that is The Raiden Network (work in progress) which is an off-chain scaling solution, enabling near-instant, low-fee and scalable payments for Ethereum based tokens.
Numerous forks have been done on the original bitcoin code to address the issues of scalability, security, transaction speeds & costs (Bitcoin cash, Bitcoin Gold, Bitcoin Diamond, Segwit2x etc.) with a couple of failed hard forks as well — this signifies the lack of unity between the Bitcoin community apart from trying to address the issues. As discussed earlier ETH is moving to PoS with the Casper upgrade by which current Ether owners can mine more causing a further surge in the price of the coin.
Bitcoin transactions are on a public blockchain where the bitcoin wallets are tied to address hashes which once identified can lead to revealing all current & future transactions. The zk-SNARK update adds the much needed privacy feature to Ethereum transactions keeping it competitive with other security focused coins like Dash (DASH), Monero (XMR), Zcash (ZEC) & Verge (VXG) which have been in high demand recently.
Ethereum’s core team is very active & responsive one — with the genius programmer Vitalik Buterin at the helm of affairs — although on the lighter side of things his recent tweet regarding cryptos falling to zero didn’t exactly qualify him as a Financial advisor with the crypto lovers. And as for bitcoin we don’t even know who Sataoshi Nakamoto (pseudonym) is — a programmer, a corporation, some government or maybe a supercomputer!
Honorable mention for Ripple (XRP) — the third most valuable cryptocurrency with the market cap of $37 billion at the time of writing, across the board acceptability by the banking sector with a minimum transaction fees & can process 1500 transactions per second. The only drawback for Ripple has been the centralized nature of the crypto — it is actually owned by a corporation. However they seem to be moving towards decentralization with the recent release of “the Ripple papers” which involves managed decentralisation, in the form of adding independent validators to the network. Who knows Ripple might turn out to be the dark horse after all! Some other impressive coins that have huge potential with regards to mainstream adaptability, scalability, privacy, instant transactions & zero fees are Cardano, Stellar, Nano & EOS. Keep an eye on those. Time to wrap up. If you like to receive trade ideas & technical analysis on Stocks, Forex & Cryptos you can follow me on Twitter & Stocktwits or @fakd on the Tradealike app for real time alerts. Also you can get your questions answered on these topics on my #AMACrypto.
Originally published at medium.com on February 25, 2018.
Flippening — A real danger to the Bitcoin’s supremacy was originally published in Data Driven Investor on Medium, where people are continuing the conversation by highlighting and responding to this story.