🔷 Why does Ethereum dominate the crypto ecosystem?
Ethereum (ETH) is not only the second largest cryptocurrency by market capitalization, but the heart of decentralized finance (DeFi) and NFTs. Its relevance is due to:
- 📜 Smart Contracts: The first programmable blockchain that enabled dApps, DeFi, and ERC-20 tokens.
- 🛠️ Community and Development: thousands of developers build on Ethereum (70% of the DeFi ecosystem).
- 🔄 Ethereum 2.0: The migration to PoS reduced its energy consumption by 99% and improved scalability.
💥 Its Strongest Competitors
1️⃣ Solana (SOL) → Speed and low fees (65k TPS vs. 30 of ETH).
2️⃣ Cardano (ADA) → Academic focus and security.
3️⃣ BNB Chain → Low cost and backed by Binance.
4️⃣ Polkadot (DOT) → Interoperability between blockchains.
5️⃣ Avalanche (AVAX) → Subnets for enterprise applications.
⚡ Who could dethrone ETH?
Solana is the closest rival in adoption, but Ethereum continues to lead in security and decentralization.
📌 Key Data:
- TVL in DeFi: Ethereum accounts for 60% of the total ($50B+).
- NFTs: 90% of top collections use ETH.