Bitcoin’s recent surge has been the highlight of the cryptocurrency market after it witnessed an increase of more than 200 percent over the year to currently trading near the $12,000 mark.
Despite the price hike, some cryptocurrency users still believe that Bitcoin would fail to live up to its expectations and that other altcoins like Ethereum would take the mantle of the most useful digital asset. This difference in opinion was again voiced by Ethereum supporters, comparing Ethereum’s issuance rate with that of Bitcoin and how it could affect the ecosystem as a whole. The projected Ethereum issuance rate showed that by August of 2021, the rate would flatline to allow more updates on the given supply of ETH tokens.
At the same time, the supply of ETH tokens is expected to stabilize at 115 million, a far superior number compared to Bitcoin’s final 21 million. Ethereum’s issuance rate is significantly lower than that of Bitcoin and that is expected to make it more secure and decentralized, a goal that Ethereum 2.0 plans to achieve. Joseph Lubin, the co-founder of Ethereum had also claimed earlier that Ethereum 2.0 would become more significant than any other project in the universe.
One Ethereum supporter Token State opined on Ethereum’s issuance rate by tweeting:
“Nope Vitalik just can’t change issuance w/o community consensus. Bitcoin will faces sustainability crises if economic model is not adjusted. Needs major over haul to be secure & sustainable.”
The argument put forward by the community was related to the advantages held by Proof of Stake [PoS] networks over Proof of Work [PoW] networks. Once the issuance rate stabilizes and Ethereum 2.0 is launched, any ETH holder can join a staking pool to help secure the network and earn returns on it. The proposed plan is that a user with 32 ETH tokens can run a full validator on the Ethereum network, which will adhere to the Byzantine Generals rule and in turn make the network more decentralized.
Another argument made for Ethereum was that the second largest cryptocurrency was much younger than Bitcoin and its prowess will only be felt once the PoS model for networks takes off.