“Ethereum could be the dominant cryptocurrency of the future”

In a statement shared with customers on Tuesday, Goldman Sachs suggested that Ethereum is the blockchain with the highest real use potential and that Ether (ETH) could become the dominant digital store of value.

Therefore, Goldman thinks that the market cap of Ether may surpass the market cap of Bitcoin (BTC) in the coming years.

“As Ethereum is the most popular platform for the development of smart contract applications, the network’s cryptocurrency Ether appears to be the cryptocurrency with the highest real use potential at the moment.”

Smart contracts include software that enables the automatic management of digital contracts. The technology in question enabled the development of decentralized finance (DeFi) protocols and crypto-based decentralized applications (DApp).

Analysts stated that the advantage of Bitcoin being the first cryptocurrency makes it the strongest cryptocurrency. However, according to analysts, Bitcoin does not have the uses of Ether and is insufficient in terms of transaction speed. Bitcoin cannot offer Ethereum-level functionality as it focuses on being solid money and network security.

A newer network, Ethereum has grown much faster than Bitcoin. Bitcoin has gained 261% in value last year, while Ether has gained 856 percent in the same period.

Analysts who prefer Ether to Bitcoin think that gold is a superior store of value compared to digital assets. Analysts define gold as “defensive inflation protection”, and crypto as “hedging against risky inflation”.

“Competition between cryptocurrencies is one of the factors preventing them from becoming safe-haven assets at this stage.”

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