Reasons Why You Might Want to Buy Ethereum

Despite the recent downturn in markets (of all flavors, not just crypto), there remains great potential for specific coins to regain momentum and potentially come back stronger than before. However, in reality, only a handful has such potential, and they also happen to be the most well-known and established. One is, of course, Bitcoin, the other being Ethereum. This post will cover several reasons you might want to forsake the former and instead focus your efforts on the latter (or if you are financially literate and can ignore “to the moon” hype, split your investments between the two).

It’s The Only Real Usable Token Outside Of Bitcoin

While most of the hype has surrounded the tokens which have failed (looking at you, Luna, Tether, and the rest), ETH has remained remarkably robust. This can be seen not only in the fact that it is widely used as the base of other tokens (more on that later) but also since ordinary people can actually use it to make regular transactions. While; it has never quite achieved the penetration of Bitcoin for a variety of reasons (not least of which being that BTC was the first and is an official currency of an entire nation!), plenty of people use it to transact. You can even use it in casinos as currency, making it particularly flexible in terms of its utility. Nonetheless, outside of gambling, plenty of establishments are willing to accept it as a form of payment for goods and services. These include enormous entities like Overstock and Amazon (in some cases and via Bitpay).

Almost All Other Tokens Utilize Its Blockchain

As previously mentioned, almost all other tokens use the Ethereum blockchain as the basis of their currency. However, while many of those have fallen by the wayside, ETH is still here and, as you will see in the next section, still has enormous potential. Moreover, this means that ETH has embedded itself as an essential part of the cryptocurrency ecosystem, which gives it a level of credibility above most others. Ethereum’s smart contracts feature makes it particularly desirable to token creators. Smart contracts allow creators to turn their ideas into a money-making reality without investing much development time and capital. In essence, by being part of one of the leading tokens, you will have a lot to gain as blockchain technology matures and becomes more ingrained into supply chains and other forms of industry, and your tokens will become significantly more valuable.

It’s Primed To Rebound Once The Market Regains Normality

As you and, indeed, all other crypto investors have noticed, there’s a bit of a crypto winter underway! While that might seem like an understatement right now, rest assured that those who are brave enough to withstand the onslaught will be handsomely rewarded. However, this comes with two caveats:

1. It’s unfortunate to see people lose their life savings by making foolhardy investments.
2. You shouldn’t be like them, and although you might want to buy the dip, your best bet right now is to DCA a small amount each month to smooth out peaks and troughs and ensure you don’t lose your shirt.

It Has Recently Moved To PoS Rather Than PoW

You might have heard about the sheer amount of energy required to power the machines that perform the calculations to create new Bitcoins. This is due to an outdated protocol called proof of work (PoW). While ETH used to rely on this unsustainable technique, it has since moved towards a far more sustainable protocol called proof of stake (PoS). Why is this relevant? Well, it means that you no longer need access to expensive mining rigs and can now acquire more by simply owning them!

Ethereum Is Here To Stay, And Its Value Is Growing

As you might have gleaned so far from this article, ETH is an established part of the crypto scene and is very much staying put/. It has a great team behind it (regardless of the eccentricity of its creator) and is constantly being updated with new features. Consequently, the more the project is developed in the background to increase its utility, the more your tokens will be worth, and with enough time, you can grow a pretty big nest egg.

It’s Highly Liquid, Making It Easy To Buy, Sell, And Trade

One of the main issues facing numerous meme coins and other tokens was the lack of liquidity. This means that while some people became overnight millionaires on paper, nobody around wanted to buy their tokens, rendering them essentially worthless. This isn’t the case with ETH, as it is highly liquid and regularly traded between institutions and individuals.

Hopefully, after reading this post, you can see that there is a solid bullish case to be made for the token. Aside from the fact that it has plenty of room to grow, you can use it for a variety of purposes, increasing its liquidity and thus creating a positive cycle that further enhances its price.