Source: cryptoslate
Translation: Blockchain Knight
VanEck analysts indicate that Ethereum is steadily becoming a stronger competitor to Bitcoin in the race for dominance as a store of value.
The driving force behind this shift is the increasing popularity of Digital Asset Treasuries (DATs), with global enterprises favoring Ethereum and Bitcoin as their choices for digital asset vaults.
Initially, Bitcoin was the primary choice for digital asset treasuries due to its fixed supply and recognized stability. However, recent developments have sparked greater market interest in Ethereum.
Regulatory changes in the United States have highlighted the necessity of stablecoins and tokenization, which are core functions of the Ethereum ecosystem.
This has expanded the use cases of ETH beyond its original design, with several large brokers and exchanges launching tokenized stocks on the Ethereum blockchain.
Additionally, Ethereum's increasing flexibility is seen as a significant advantage over Bitcoin.
VanEck analysts point out that Ethereum offers more possibilities for complex financial strategies, allowing institutions to accumulate ETH more efficiently than simply accumulating BTC.
With Ethereum's staking feature, treasuries can earn additional ETH by participating in the network, a source of yield that Bitcoin cannot provide in a similar manner.
Ethereum's transition from Proof of Work (PoW) to Proof of Stake (PoS) has had a significant impact on its inflation rate.
According to VanEck data, this shift has drastically reduced the growth of ETH supply: from approximately 120.6 million ETH in October 2022 to 120.1 million in April 2024, resulting in a negative inflation rate of -0.25%.
In contrast, Bitcoin's supply increased by 1.1% during the same period, making Ethereum's inflation policy more attractive to ETH holders.
Bitcoin's inflation rate drops by 50% after each halving, making its inflation rate more predictable. However, the issue is that this leading cryptocurrency has long relied on inflationary issuance to incentivize miners.
Last year, Bitcoin miners earned substantial income from inflation rewards, totaling over $14 billion.
As a result, as Bitcoin's inflation rate continues to decline in subsequent halvings, its security model will face increasing pressure, potentially needing to rely on transaction fees or price appreciation to maintain itself. Without these supports, the security of the blockchain network may be at risk, which could force significant changes in its economic structure.
On the other hand, Ethereum's PoS model gives token holders more control over network governance, ensuring that decisions regarding network upgrades and economic policies are more directly aligned with their interests.
This contrasts with Bitcoin's miner-centric governance model, where the economic incentives of miners often influence decision-making.
Therefore, VanEck analysts believe that as Ethereum continues to evolve with a more flexible governance structure, it may become a superior long-term store of value compared to Bitcoin.
免责声明：本文章仅代表作者个人观点，不代表本平台的立场和观点。本文章仅供信息分享，不构成对任何人的任何投资建议。用户与作者之间的任何争议，与本平台无关。如网页中刊载的文章或图片涉及侵权，请提供相关的权利证明和身份证明发送邮件到support@aicoin.com，本平台相关工作人员将会进行核查。
