What Makes Bitcoin Unique From Other Altcoins?

What Makes Bitcoin Unique From Other Altcoins?

Introduction

According to the blockchain, millions of users do millions of bitcoin transactions in a week. Daily transactions on the blockchain are more than three lakh, which is a considerable amount. We have all heard the name bitcoin, but there are some other cryptocurrencies, and people also know about them. Some people think that bitcoin is best, and some people think that other cryptocurrencies are best. So in this article, we will discuss the difference between bitcoin and altcoin and what makes bitcoin unique from other altcoins. So without wasting time, let’s explore the uniqueness of bitcoin compared to other cryptocurrencies.

What Is Bitcoin?

Bitcoin is a digital currency that anyone around the globe can use for any purpose. You can make numerous bitcoin uses such as investing, trading, mining, sending, receiving, withdrawing, online shopping, payment gateways, earning money, etc. However, Bitcoin does not allow third-parties, such as banks, other financial institutions, and the government. Check this link for more info about cryptocurrencies and the global future.

What Is an Altcoin?

Altcoins are the alternative to bitcoin and work similar to bitcoin, but there are differences in their rules. The first digital coin which came into use was bitcoin, and after that, these other altcoins came into use. Ethereum is the second most popular crypto coin after bitcoin that is additionally incrementing like bitcoin. There are some other examples of altcoins such as Ethereum, Ripple, Litecoin, Dogecoin, Cardano, Solana, Shiba Inu which are popular altcoins after bitcoin. Many people are investing in these coins to double their money, hoping that someday one of these other cryptocurrencies will beat the bitcoin and help then become a billionaire or trillionaire.

How Bitcoin Is Unique From Other Altcoins

There are the following reasons for bitcoin’s uniqueness from other altcoins given below:-

1. Limited in Supply:- Bitcoin is limited in supply up to 21 million, but some percentage of bitcoin burned in anonymous wallets, and there are approximately 18 to 19 million bitcoins available on the network, which is significantly less as compared to the other altcoins. The supply of altcoin is very high, and due to the high supply, the price of these coins is significantly less than bitcoin. You know the economics rule, if the demand is high and supply is low, then the price is high, and the supply is high, and demand is low, then the price is low. It is the same in the case of bitcoin, the supply of bitcoin is low, the demand is high, and the value of bitcoin increases day by day.
2. Market Cap:- The market capitalization of this digital coin is more than one trillion dollars, which is very high. Multiple uses of bitcoin mean anyone can use it for different purposes such as sending, receiving, trading, investing, accepting, online shopping, earning, etc. But you cannot do all these with other cryptocurrencies. Hence, the market capitalizations of these digital coins are much higher than altcoins.
3. First Cryptocurrency:- Bitcoin was first invented in 2008 by an anonymous person, but the internet shows the name of bitcoin founder as Satoshi Nakamoto. The cryptocurrency started from bitcoin since bitcoin is the first digital coin that was invented ever. Another cryptocurrency is the copy of bitcoin by altering some rules. Every coin is different in the features, but the king cryptocurrency is bitcoin.
4. Security Features:- All the cryptocurrencies work on the decentralized system. Every cryptocurrency has its blockchain; Some are traded on centralized systems. Bitcoin is the only cryptocurrency that provides many security features. The bitcoin blockchain is more popular than other blockchains. The Bitcoin blockchain works on different nodes or computers that help the blockchain solve complex programming language algorithms. No hacker can hack the bitcoin blockchain, and if a hacker wants to hack it, he has to hack all the computers working behind the blockchain network around the world. That is impossible.
5. Privacy:- Bitcoin transactions are entirely anonymous that means no one on the blockchain can see the personal details of the sender and receiver. Since blockchain is the public ledger, so all the bitcoin transactions appear on it. Anyone can see the transactions, such as the sender’s id and the receiver’s id. The amount of bitcoin transferred, but nobody cannot see the personal details of sender and receiver. There are some privacy issues in altcoins because a lot of altcoins belong to centralized systems.