Ether already ‘flippening’ Bitcoin, says Celsius CEO
This past week, the price of ether—the currency of the Ethereum blockchain—has soared by almost 120 per cent. The price hike has been driven by investors betting on the rise of the Ethereum network, which is based on the blockchain technology behind bitcoin. The Ethereum network is intended to be a more powerful, flexible and cheaper alternative to bitcoin, and it is already beginning to challenge bitcoin’s dominance.
One cryptocurrency is finding the rising price of Bitcoin to be incredibly disruptive. Bitcoin may be the hottest thing in cryptocurrency right now, but one rival currency is aiming to overtake it.
In a recently launched interview, Celsius CEO Ian McLoughlin has stated that while the cryptocurrency market is in its infancy, it is already rapidly growing and is set to overtake the rest of the cryptocurrency market. The CEO of Celsius, a UK-based fintech startup, has made his thoughts on the current state of the market clear. McLoughlin noted that the market has generated almost $2 billion dollars in daily trading volume in the past week, an amount that is nearly twice that of the daily trading volume of Bitcoin. He also stated that the value of Ether has grown by more than 16 percent over the past 24 hours, which is a considerable amount considering it was only a few weeks ago that the value of Ethereum was below $100.. Read more about crypto founder and let us know what you think.
Bitcoin (BTC), the largest cryptocurrency by market capitalization, has already begun to cede its market dominance to Ether (ETH), according to Alex Mashinsky, CEO of Celsius Network.
In an interview with Kitco News on Monday, Maszynski claimed that the Ether rollover, or the hypothetical scenario in which Ether overtakes Bitcoin as the world’s most expensive crypto-currency, is already underway.
Maszynski said the coup in Celsius has already taken place. We manage about $17 billion in customer deposits or coins, and the number one dollar coin is Ethereum, he said.
Maszynski also predicted that by 2022 or 2023, Ether will have completely overtaken bitcoin in terms of market size:
The reversal has already taken place. Ethereum has already surpassed Bitcoin in dollars in terms of total assets in the Celsius community, and I think the broader market will follow within a year or two. We will also see this change in the broader market.
Maszynski went on to say that the difference between the main usage scenarios of Bitcoin and Ether will be the main driver of the upcoming disruption. According to the CEO, the primary use of bitcoin is to store value, while the primary use of Ether is farming, or the practice of pledging or locking cryptocurrencies in exchange for a reward.
Yield is an application that simply has a larger user base. So I think over time Ethereum will become more prevalent than Bitcoin. But of course both are exceptional applications and exceptional blockchains, and we will see widespread adoption of both, only one will be superior to the other, Maszynski said.
Launched in 2018, Celsius Network is a decentralized borrowing and lending platform that allows users to earn rewards by transferring their coins to a Celsius wallet and borrowing dollars or Stabelcoins in exchange for cryptocurrencies. The platform manages its own CEL token, which is an ERC-20 token running on the Ethereum network.
Related: The number of active Bitcoin addresses has fallen below the number of Ethereum addresses after a 60% drop in six weeks.
Bitcoin is the world’s oldest digital currency and the most expensive cryptocurrency, dominating altcoins like Ether in terms of market value. Ether, the second largest cryptocurrency by market capitalization, was launched in 2015 and has yet to surpass Bitcoin in market value.
At the time of writing, Bitcoin’s share of the cryptocurrency market – also known as Bitcoin dominance – is 44.6 percent, while Ether’s share is 18.5 percent, according to CoinMarketCap.
Graph of bitcoin’s dominance over time. Source: CoinMarketCap
Maszynski isn’t the only one who thinks Ether will surpass Bitcoin in value. Last week, Galaxy Digital founder and CEO Mike Novogratz also predicted that Ether could one day become the largest cryptocurrency.There was a time when everyone wanted to be a part of the Bitcoin revolution. That was in December 2017, when the value of one Bitcoin surpassed $17,000. Now, nearly eight months later, the price of Bitcoin has dropped below the $4,000 mark.. Read more about celsius cardano and let us know what you think.