Global Investment firm, Goldman Sachs, says Ethereum presently assumes the greatest ‘potential’ as a sought-after platform which can overtake Bitcoin.
Leading Global Investment and Banking firm Goldman Sachs Group Inc (NYSE: GS) has expressed its adulation for the Ethereum Blockchain, indicating ETH has what it takes to beat Bitcoin as the commanding digital store of value.
Following an exposition in the Business Insider, Goldman projects a much more impressive growth for Ethereum that could surpass Bitcoin’s total market capitalization in the upcoming years.
The multinational company, with its headquarters in New York reportedly believes Ethereum Blockchain, with its token Ether (ETH), presently assumes the greatest ‘potential’ as a sought-after platform with smart contract functionality. A smart contract is a program that operates on the Ethereum Blockchain, and constitutes a collection of data presiding over a specific address on the Blockchain.
While the report disapproved of the superiority of cryptocurrency in comparison to Gold in terms of security, it proved to be buoyant about the promising growth of the Ethereum Blockchain in recent years. Following the statement, the company’s note to its customer called Gold as a defensive inflation hedge and crypto as a risk-on inflation hedge. While Gold is seen to be engaging with crypto assets , it is also aggressively pitted against risky assets such as equities and cyclical commodities. Moreover, the contest within the various cryptocurrencies constituted an additional threat stopping the developing group of financial instruments to carefully invest one’s money.
Due to Bitcoin’s lack of innovation and technology, Ethereum has taken over with its exceptional functionality and high transaction speed. Bitcoin, at the present, only holds an advantage as the first mover and because there is a huge amount invested into it. As a young Blockchain, Ether has had immaculate growth in comparison to Bitcoin. In the last year, Ethereum grew 856% whereas Bitcoin had an increase of just 261%.
There have been many reports about the inefficiency of Bitcoin over other emerging blockchain networks in the past. Several institutions and individuals have not restrained from speaking their minds about the outdated work culture of the Bitcoin community. A few weeks ago, Cardano CEO, Charles Hoskinson claimed that Bitcoin would lose to Ethereum nine times out of ten. In a podcast with AI scientist Lex Friedman, Hoskinson elaborated on the slow rate of exchange of the proof-of-work system, which will eventually bring along its very own downfall.