According to Celsius Network CEO Alex Mashinsky, Bitcoin (BTC), the largest cryptocurrency by market cap, has already begun to lose market dominance to Ether (ETH).
In an interview with Kitco News on Monday, Mashinsky argued that the imaginary scenario of Ether “turning the situation around”, or Ether overtaking Bitcoin as the world’s most valuable cryptocurrency, is starting to come true.
Mashinsky said the conversion he’s talking about has already taken place in Celsius. “We manage the client’s cryptocurrencies with deposits of approximately $17 billion and the largest currency held in dollars is Ethereum,” he said.
Mashinsky also predicted that Ether will completely outpace Bitcoin in terms of market cap by 2022 or 2023:
“Roles have already changed. In terms of the Celsius community’s total presence, Ethereum has already surpassed Bitcoin in dollar terms, and I think the broader market will follow in the next few years. We will see this shift become reality in the broader market.”
To support his idea, Mashinsky highlighted the difference between Bitcoin and Ether’s key use cases. According to the CEO, Bitcoin’s primary use case is as a store of value, while Ether’s main use case is yield farming and staking applications.
Mashinsky said, “Yield farming is an app with a large user base. So over time you will see Ethereum being adopted more broadly than Bitcoin. Obviously both are exceptional applications and exceptional blockchain structures. We will see both broad adoption, only one will pass the other one,” he said.
According to CoinMarketCap data, at the time of this writing, Bitcoin’s share or dominance in the cryptocurrency market was 44.6 percent, while Ether’s rate was 18.5 percent.
Mashinsky isn’t the only one who thinks Ether will surpass Bitcoin in terms of value. Last week, Galaxy Digital founder and CEO Mike Novogratz also said that Ether could “one day become the biggest cryptocurrency”.