Inter Block Time Difference Between Bitcoin and Ethereum
By Space Coast Daily // May 16, 2021
Bitcoin has been in the Crypto market since 2009, and reached its popularity in 2013. It is the most prominent Cryptocurrency in the market right now. Bitcoin Mining, though is a very complex task, comes with an expensive reward.
The Blockchain Technology used for the peer-to-peer transfer of Bitcoins makes it difficult for hackers to hack into the system and alter the already existing blocks of information. The blocks containing information are highly encrypted, and are visible to the public. The public ledger maintained by the Blockchain Technology makes it a transparent, reliable, and tamper free record of data.
With the peak of the value of Bitcoin in 2013, with almost $2 billion, many investors have ventured their way into the market. Many have been regularly investing in Bitcoins, through various platforms available. If you wish to embark on a journey, and start investing, you can check out https://bit-iq.io, and get started.
What is Ethereum?
Ethereum is a decentralized software platform, and not just a digital currency. It was launched in 2015. It comes undoubtedly second to Bitcoin’s popularity. The Blockchain Technology employed by Ethereum is very well-established. The Blockchain Technology has been utilised to its full potential by Ethereum. It gives rise to further applications, and contracts.
This technology not only bars any third party interference, but also obstructs fraud. It is a very high end technology, with a programming language of its own. Ethereum is perfectly capable of accommodating more applications, and will put its cryptographic token, ether (ETH) to use.
Ether was launched into the market in 2014, and it received a huge welcome. Without ether, the Ethereum platform makes no sense. It does not work. Hence, people who wish to use this platform for developing various applications are bound to deal in ether. Ether is not just a conventional Cryptocurrency. It comes handy in running the various applications on the Ethereum network. In this way, the use of ether supersedes that of Bitcoin, even though in terms of value, Bitcoin has always been unbeatable.
Differences between them
Both Bitcoin and Ethereum are run by networks based on the Blockchain Technology, and make use of the distributed ledger, following the same protocols of transparency, and reliability. However, both the networks are different in several ways.
One of the major differences is the Block Time. The average block time of Bitcoin has been estimated to be 10 minutes, whereas that of Ethereum has been pinned down to around 17 seconds. Why Bitcoin does not have a short block time is because it does not want to generate more miners with the same block. A less time block would ensure that more miners producing the same block and deprived of any economic incentive since there is only room for one.
The Ethereum network nulls this problem. The same blocks produced by other miners are named the Uncle Blocks. The miners of Uncle Blocks are then given a certain percentage of the incentive. Hence, having figured this out, the Ethereum network is good with keeping the block time as less as 17 seconds.
The end goals of creating the Ethereum network and Bitcoin network were quite different. Bitcoin was always destined to be a medium of exchange and a store of value. However, Ethereum has larger goals to achieve. Ether though is a medium of exchange, by implication; a store of value, the network lets other developers access the various applications available on the network. The Ethereum network hosts various programmatic contracts, though only when ether is used. Apart from being just a digital currency, Ethereum is a decentralized application platform in itself.
The block time for Ethereum is set between 10 to 19 seconds, which is precisely as low as possible. Not all uncle blocks will be rewarded, only perhaps two or so. This time block in no way encourages the existence of multiple uncle blocks. Hence, the miners have to be very careful regarding this.
The Ethereum network caters to so much through their platform, that their aim to make their network as stable as possible has led them to find a solution to the low block time issue.