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Bitcoin has transaction fees too, that's all gas really is, doesn't really change the fundamentals of the system.
by patmorgan23 2y ago
Bitcoin has transaction fees too, that's all gas really is, doesn't really change the fundamentals of the system.
- SilasX 2y agoTrue, but you can do a much richer set of transactions with Ethereum/Solana, like moving stablecoins and making collateralized borrows, including against real world (tokenized) assets.
- DennisP 2y agoIt does, but Bitcoin's transaction fees are just paid to the miners. On Ethereum they are mostly destroyed. Combined with the lower issuance of proof-of-stake, this means that the supply of ETH sometimes actually shrinks. That makes ETH is comparable to shares of a company, where fees are revenue, new issuance to stakers is cost, and any net profit is paid out to ETH holders in the form of stock buybacks. You can calculate a PE ratio.
- scyclow 2y agoYes, but BTC can only be used as gas to power the transfer of gas. Meanwhile, ETH can be used as gas to power the storage and indexing of information on world computer. If we're talking about creating underlying value, I feel like the former is tautological and latter has an application outside of itself.