Strategist and investment guru Lyn Alden has suggested that over the long-term bitcoin is more likely to succeed than Ethereum’s ether, as she considers ETH an “unfinished product” when compared to BTC.
According to a newly published economic analysis of Ethereum, first spotted by Cointelegraph, Alden sees the smart contract network as a functional one with “a ton of smart developers working on it,” but that is unlikely to become an economically sustainable project.
The strategist looked at some of Ethereum’s main features and said the use case of various decentralized applications built on top of the network is “circular and speculative.” To Alden, the network’s nodes are more likely to be at risk of a centralized attack if there were “to be some government crackdown on third-party node services,” for example.
While Alden believes regulators could not bring down the Ethereum network, they could effectively threaten its use cases by making applications on it harder to run. She added:
Ethereum could indeed do very well over the next year in terms of price, but as long as it’s transforming its base layer, it remains a speculation in alpha development, rather than a finished/stable product.”
Bitcoin 21 million supply cap, to the strategist, mans it does not have an “arbitrary monetary policy.” Per her words when Ethereum 2.0 has been implemented and the network uses a Proof-of-Stake (PoS) consensus mechanism for five years with “consistent monetary policy for that whole time” it “can be considered largely a finished project like Bitcoin.”
Alden has in the past pointed to BTC for its “risk/reward opportunity,” and claimed that despite the cryptocurrency’s volatility there was upside potential
It’s worth noting other analysts believe in the future of Ethereum. Former Goldman Sachs executive Raoul Pal has revealed he believes the price of ETH, the second-largest cryptocurrency by market capitalization, could go to $20,000 “this cycle,” based on Metcalfe’s Law.
Featured image via Unsplash.
