In 2022, the total amount of transactions on the Ethereum network surpassed that of Bitcoin. In contrast, the most valuable asset by market capitalisation was able to maintain its position as the most popular and consistent transaction in internet searches.
By comparing significant market caps cryptocurrencies like Bitcoin and Ethereum on web3, experts have concluded that ETH has a superior underlying economic model than other assets.
With the proper token economics (actual value) and product-market fit, projects and protocols in the Ethereum ecosystem can add new features and revenue streams while still retaining investor interest.
With More Investment Potential Than Bitcoin, The Ethereum Network Takes The Lead
In terms of total transactions on its blockchain in 2022, the Ethereum network did better than Bitcoin. The ETH network processed 408.5 million transactions compared to 93.1 million on the blockchain of Bitcoin. According to statistics gathered from charts, there were around 1.1 million transactions per day for ETH and 255,000 for BTC.
The volume of transactions on Bitcoin was more regular and stable as compared to Ethereum. According to data, the minting of high-end digital collectables and NFT debuts caused demand to jump, which explained the heightened volatility in transaction volumes on Ethereum’s blockchain.
There is a greater quantity of investment options in Ethereum in the cryptocurrency ecosystem. And it can be related to Ethereum’s larger transaction volume.
Contrary To Bitcoin, Ethereum Provides A Huge Number Of web3 Investment Alternatives
Web3 companies would respond to the 2023 recession in a way that is similar to how traditional financial companies did, according to Fred Wilson, a venture capitalist in New York.
Traditional financial companies typically seek money to combat the effects of the recession and maintain their businesses. Investors may be more interested in large-capitalisation cryptocurrencies like Bitcoin and Ethereum. But, the ETH’s prognosis is more favourable now than others.
Wilson contends that of all web3 assets, ETH has the most vital underlying economic model. Projects with poor or no token economics, inadequate product-market fit, or weak economics in the Web3 sector are predicted to fail in 2023.
Although web3 has a significant overhang, the VC anticipates increasing selling pressure on web3 tokens through at least the first quarter of 2023. Investor interest in the Ethereum ecosystem is being drawn by several web3 initiatives that create digital valuables, works of art, and real-world utilities.
It tips the scales in favour of ETH since the cryptocurrency presents investors with enormous web3 investment prospects. The investment prospects include the spread of the FTX contagion recession in 2023.
Summary Of The News
- Ethereum network outperformed Bitcoin with fourfold
- There were 408.5 million transactions of Ethereum in 2022
- But Bitcoin remained the most searched cryptocurrency till the end of 2022
- The Web3 investment opportunities of Ethereum are amazing