A Comparison Of The Top Ethereum Killers

• At the time of writing, Ethereum’s native currency, Ether (ETH), had a market worth of $370.5 billion and was ranked No. 2 on the CoinDesk 20 list, just behind bitcoin.

• Ethereum 2.0, will provide faster processing speeds, cheaper costs, and increased scalability.

• Solana’s native currency, SOL, was ranked No. 5 on the CoinDesk 20 at the time of writing, with a market worth of $62.3 billion.

With bitcoin at a six-month low and altcoins not far behind, new crypto investors have certainly seen the significant price declines and gloomy attitude observable throughout the crypto market. Insiders in the crypto business, on the other hand, are hopeful – at least in the long run – and see this period as a race to see which blockchain initiatives will survive and become leaders in a decentralised future. The battles between Ethereum – the original smart contract blockchain – and the initiatives built to expand on Ethereum’s technology are among the most spectacular in the wild, wild crypto west.

At the time of writing, Ethereum’s native currency, Ether (ETH), had a market worth of $370.5 billion and was ranked No. 2 on the CoinDesk 20 list, just behind bitcoin. In 2022, the Ethereum network will undergo scheduled updates, with some claiming that the new version, Ethereum 2.0, will provide faster processing speeds, cheaper costs, and increased scalability. Until then, so-called Ethereum killers are gaining traction and taking a larger share of the non-fungible token (NFT) market, despite the fact that Ethereum still accounts for around 80% of NFT transactions. Notably, these new blockchains appear to be doing it all with faster, more environmentally friendly technology and lower transaction fees (also known as gas fees), prompting some to question how long Ethereum can maintain its first mover advantage.

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The war for Web 3 and the next phase of the internet will be fought in 2022, says Ian Balina, founder of crypto analytics firm Token Metrics. Expect a tense race. So, how do Ethereum’s rivals compare?

Solana

Solana’s native currency, SOL, was ranked No. 5 on the CoinDesk 20 at the time of writing, with a market worth of $62.3 billion. In contrast to Ethereum’s proof-of-work consensus methodology, Solana uses proof-of-history to validate transactions. JPMorgan and Bank of America have voiced their trust in Solana, even suggesting that it may become the Visa of the digital asset ecosystem. Solana is also supported by Andreessen Horowitz, a top venture capital firm – which isn’t always a good thing in the Web 3 world. Decentralization aficionados may raise an eyebrow if there is too much institutional interest. Meanwhile, Ethereum has a devoted following that few believe will quit it.

Despite this, Solana operates at breakneck speed, with fees that are a fraction of a cent each transaction. Since its inception in 2020, it has seen widespread adoption and has processed over 50 billion transactions. Perhaps the best way to think of Solana is as a more widespread version of Ethereum.

Cardano

Cardano is a contender for a more ecologically friendly Ethereum replacement. At the time of writing, the native currency, ADA, has a market cap of $39.52 billion. Because of the recent introduction of Cardano’s first decentralised finance (DeFi) exchange, SundaeSwap, crypto insiders are keeping a watch on Cadano, which has performed slightly. Cardano will have to wait and see if it can dethrone Ethereum, or if it will have similar learning curves as more people transact on the Cardano blockchain.

Tezos

Tezos is another smart contract-capable blockchain that may be used to generate new digital assets and decentralised applications, or dapps. Tezos’ native cryptocurrency is XTZ. At the time of writing, the currency had a market capitalization of $3.6 billion. Tezos has seen a number of prominent projects emerge, including those in the fashion, music, gaming, and art industries. Tezos was one of the first networks to use a consensus technique known as proof-of-stake (PoS). It also has its own set of governance features: Participants who stake at least 8,000 tokens on the network are granted voting rights, allowing them to participate in the network’s governance. Tezos is also noted for the security of its dapps.

Polkadot

The Polkadot platform’s native cryptocurrency is DOT. At the time of writing, it had a market capitalization of $25.72 billion. Polkadot is noted for its interoperability characteristic. Its technology joins multiple blockchains into a single network, allowing them to share data without jeopardising their security. Interoperability is therefore critical for the future of Web 3, in which services, products, and currency will migrate across a decentralised digital environment, as many hope. Robust interoperability also opens the door to cross-chain collaboration, which could lead to additional protocol collaboration.

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In Conclusion

Ethereum, among smart contract blockchains, continues to hold a place in the hearts of Web 3 veterans and has a great chance of gaining mainstream acceptance. Newer smart contract blockchains, on the other hand, should keep investors and advisors updated about novel solutions to Ethereum’s flaws. Everyone will be seeking for the correct infrastructure to leverage to develop the future of Web 3 as demand for new dapps and DeFi protocols grows.