Bitcoin’s Smart Contract Functionality Threatens Ethereum’s Lead

Will Bitcoin “kill” Ethereum? Bitcoin has been honing its technological prowess with the advent of BRC-20 token standards following the Taproot upgrade. The BRC-20 token standard is a pivotal development enabling the creation of fungible assets on the Bitcoin blockchain, aiming to replace the popular Ethereum ERC-20 token standard. However, BRC-20 tokens face challenges like the lack of support for smart contracts and non-fungible tokens (NFTs), which are integral to the Ethereum blockchain.

The Taproot upgrade, a recent development on the Bitcoin blockchain, offers significant improvements to Bitcoin’s privacy and smart contract features. Despite the BRC-20 token’s limitations, the Taproot upgrade exhibits promise for Bitcoin’s potential to support smart contracts.

Bitcoin vs. Ethereum: What Is the Difference?

Bitcoin and Ethereum are the leading players in the cryptocurrency market, each with unique features and capabilities.

Ethereum, the second-largest cryptocurrency network, is more than a digital currency. It is a comprehensive blockchain ecosystem with its native currency, Ether.

In addition to serving as a medium of exchange, Ethereum’s purpose extends to enabling the development of decentralized applications (dApps) and the creation of NFTs. Despite these advanced features, Ethereum has not gone without its criticisms, particularly in comparison to Bitcoin’s intended purpose and structure.