#BTCvsETH ### 🪙 **Bitcoin (BTC) vs Ethereum (ETH)** — Comparison 2025

#### 🔐 **Purpose**

- **BTC**: Designed as “digital gold”, its main goal is to be a store of value and a decentralized medium of exchange.

- **ETH**: Functions as a “decentralized global computer”, ideal for executing smart contracts and Web3 applications.

#### ⚙️ **Consensus Mechanism**

- **BTC**: Uses *Proof of Work (PoW)*, more secure but energy-intensive.

- **ETH**: Migrated to *Proof of Stake (PoS)*, more efficient and eco-friendly, with validators staking ETH to secure the network.

#### 📈 **Monetary Supply**

- **BTC**: Limited supply of 21 million. Deflationary by design.

- **ETH**: Flexible supply, but with token burning mechanisms that can make it deflationary in certain cycles.

#### 🚀 **Recent Performance**

- In 2025, **BTC exceeded $123,000**, driven by ETFs and institutional adoption.

- **ETH** showed relative strength against BTC, with technical breakout signals in the ETH/BTC pair, which could indicate an “Ethereum Season”.

#### 🧠 **Utility**

- **BTC**: Ideal as a safe haven against inflation and geopolitical tensions.

- **ETH**: Fundamental for DeFi, NFTs, DAOs, and the entire Web3 ecosystem. Its real utility makes it attractive to developers and investors.

#### 🥊 **Competition or Complement?**

Although often compared, **BTC and ETH serve distinct roles**. BTC dominates as a store of value, while ETH leads in innovation and functionality.