Why Ethereum is poised to be the next Bitcoin

Some investors predict this cryptocurrency could surpass Bitcoin in value

Photo via iStock.

As the adoption of Bitcoin continues to move increasingly into the mainstream, now could be a great time for savvy investors to explore up-and-coming cryptocurrencies. 

While Bitcoin is a name familiar to most investors in the digital space, another cryptocurrency is gaining steam as the potential new top crypto: Ether.

Since its launch in 2015, ether has grown 540,000%. This year alone saw a record price for the asset, a whopping $5,900, which contributed significantly to the crypto market capitalization reaching $3 trillion. 

Part of ethereum’s success boils down to scarcity. Since August, roughly 30 million ether are being removed from circulation every single day. Plus, new ether are created in a way that (will theoretically) consume much less energy than Bitcoin does; an important move for an industry plagued by narratives like “crypto is bad for the environment”.

The disinflationary and potentially less energy-intensive nature of ether better positions it to compete with bitcoin as the top crypto of the future.

What is ethereum?

While ethereum and ether are used interchangeably, there is a difference between the two terms.

Ethereum is a platform where developers can build applications and programs without needing a centralized authority.

In the same way that developers can build music apps, social media apps or work-related apps for a mobile phone, ethereum developers can innovate on top of the ethereum network. From social networks, to loan offers and crypto collectibles (known as non-fungible tokens or NFTs for short), the options for building on top of ethereum are endless. 

Ether on the other hand is the currency used to pay for goods, services, applications on the ethereum network.

Put simply, ethereum is working to redefine the internet. It’s reimagining how we work and play online without centralization. This is the primary reason why many believe ether will one day outperform bitcoin in what is referred to as “the flippening.”

How to buy ether in Canada

If you’re looking to get into the crypto space, ether might be the right investment for you.

Netcoins is a great platform to manage your crypto holdings. The online crypto trading platform allows you to buy and sell ether and other cryptocurrencies in Canada. 

Buying ETH is easy. You just need to follow five steps:

  1. Create a Netcoins account and get verified.
  2. Deposit Canadian dollars into your account via e-transfers (or bank wires, online bill payments or crypto deposits)
  3. Click BUY, and choose ETHEREUM from the drop down menu.
  4. Enter the amount you wish you to buy (as little as $10)
  5. Click confirm 

Netcoins is Canada’s first publicly owned, fully regulated crypto trading platform. This means you have a greater amount of consumer protection when you invest with Netcoins.

That’s because many crypto exchanges are now licenced Money Service Businesses under the Financial Transactions and Reports Analysis Centre of Canada (FINTRAC). However, Netcoins takes its regulatory responsibility even further by inviting in additional financial and regulatory oversight. 

By registering as a restricted dealer in Canada, Netcoins must now adhere to stricter guidelines set out by Canada’s regulatory bodies. As a result, everything from how they operate, to how they store their customers’ funds and the fees they charge are vetted and approved by Canadian regulators. 

Netcoins offers 0% funding fees, free cash withdrawals and no fees on cancelling limit orders. 

Users can enjoy limit orders, which are trades that self-execute once specific crypto prices are met. Price alert notifications keep users updated on any significant price movement so they can trade at an optimal time for them. With the Netcoins mobile app they can also trade crypto on-the-go. 

With the future of ethereum shining bright, now may be a great time to buy ether with Netcoins.ca.