The Future of Cryptocurrency: Moving out of Bitcoin’s Shadow

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2 years ago

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Disclaimer: Everything written in this article is based solely on my opinion which means that everyone is free to dismiss whatever is written here if they don’t agree to it.

Living Under Bitcoin's Shadow…

I love Bitcoin Cash and I believed that most of you on this platform do so as well. But I Bitcoin Cash has a fundamental flaw that limits its growth – its living under Bitcoin’s shadow.

This is actually a flaw that’s not unique to Bitcoin Cash alone. Every cryptocurrency created after Bitcoin also share this fundamental flaw which I believe is actually harmful to the crypto-market as a whole.

That said it’s not really surprising considering that many cryptocurrency today are either clones or fork of Bitcoin. But do they really have to live under Bitcoin’s shadow? No they don’t. After all, most of these offshoots of Bitcoin are a lot better than the original in term of cost, functionality, practicality, security, usability.

Even the popular meme coin, Dogecoin, that’s originally created as a joke is a better cryptocurrency compared to Bitcoin. In all honesty, with so many better alternatives, Bitcoin’s continued existence is a mystery to me.

What’s more absurd is the fact that this “outdated relic” is actually lording over all cryptocurrency in existence. If Bitcoin is a fiat currency, it would have been paced out a long time ago – replaced by a better currency. After all, it makes no sense to use something impractical when there are much better alternatives out there.

Yes, I know that Taproot, the first Bitcoin upgrade in four years that claims to improve Bitcoin’s privacy and efficiency exist. But considering Bitcoin’s base infrastructure, how much improvement could be made? In my personal opinion, no matter the improvement Bitcoin will have in the near future, it would still be inferior in comparison to Bitcoin Cash and other altcoins.

Correlation Is Not Beneficial For the Market

How many times had you found yourself losing money because some government in a country in Asia decided to take a hard stance against Bitcoin mining? Or when an egotistical technocrat billionaire decided to test how much he could push cryptocurrency traders around before they explode in anger?

If you’re a regular cryptocurrency trader, I dare say a lot. After all unlike these millionaires and billionaires traders that could hold on to their coins for a long time, majority of regular traders would often time have to sell their coins for a loss because they needed the money to feed themselves and their families.

The most infuriating thing about all of this was the fact that even though Bitcoin was the target, other cryptocurrencies are often caught in the crossfire as well!

This is very unfair. Unfortunately, there’s very little we could do about it. After all, altcoins live under Bitcoin’s shadow. That’s because Bitcoin, and all altcoins are correlated – they’re interdependent on each other. If Bitcoin rises, altcoins would follow, and if Bitcoin falls, so do all altcoins. And yes even Bitcoin Cash is an altcoin.

This correlation with Bitcoin is unhealthy for the cryptocurrency ecosystem. It also proves that the crypto-market is still very much immature. And it’s because of this immaturity that the crypto-market cannot truly compete with the traditional stock market – at least not yet.

To say that the market has truly mature, we must at least reach the point where Bitcoin’s rise and fall will have no or very little effect on other cryptocurrencies.

BItcoin Cash Should Move out of Bitcoin’s Shadow

Young birds leave their nest once they could fly. Human children leave their home and become independent once they’re old enough. Similarly, altcoins should have left Bitcoin’s shadow years ago.

Dependency makes a person weak, and similarly, being in Bitcoin’s shadow makes cryptocurrency as a whole, weak. Although Bitcoin is currently dominant and is very popular, its inherent flaws are a weakness that could be exploited.

These weaknesses are very apparent and could lead to the downfall of Bitcoin. Once that happens, the market will surely follow. Of course the chance of that actually happening is very slim. After all, Bitcoin has grown too big – possibly too big to fail. But is it really?

Still, even if Bitcoin didn’t actually collapse. It would still be advantageous for the crypto-market if it stop being too dependent on Bitcoin. If alcoins like Bitcoin Cash stay dependent on Bitcoin, they would never mature as a cryptocurrency. Moreover, their dependency would prevent them from ever reaching their full potential.

Bitcoin Cash is a very promising and wonderful cryptocurrency; much more than Bitcoin would ever be. But just like all altcoins, its future will be limited if it remain on Bitcoin’s shadow. Just like how a person should learn on his or her own two legs to be a proper human being, Bitcoin Cash too, should learn how to be independent of Bitcoin if it wanted to replace it as the dominant cryptocurrency.

In Conclusion: Moving Out of Bitcoin’s Shadow is the Best for the Crypto-market

Altcoins like Bitcoin Cash deserved better than to remain under the shadow of Bitcoin. Although cryptocurrency started with Bitcoin it doesn’t mean that the crypto-market should follow its whims and the whims of the whales that controlled it.

One of the reasons that Bitcoin was created was decentralization. And in my opinion, the fact that the market needed to rally at the side of one big central cryptocurrency like Bitcoin is as centralize as one can be.

Of course like many people, I’m very grateful to Bitcoin and its creator, Satoshi Nakamoto. Without Bitcoin, the blockchain technology and the market we have today would not exist. As such I don’t want to see it fail. But it shouldn’t be like a possessive parent that won’t allow its offshoots (altcoins) to mature and walk on their own two legs. For the sake of the market and cryptocurrency as a whole, Bitcoin needed to let go...

So what do you think of this article? Do you agree with what was written here? Or maybe you disagree? Whatever your opinion might be please write it in the comment section. Also, if you have any criticism, please do write it there as well so that I could improve.

Thank you for reading and have a nice day.     

 

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My other articles: https://read.cash/@beastion

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Avatar for beastion
2 years ago

Comments

Well

I am stuck between agreeing with you and not

But because I am someone who loves independency then I am left with no option than to agree with you

All the altcoins do not have to stay under Bitcoin for the rest of their existence

They should not be caught in the cross fire or whim of Bitcoin every now and then

As you said, most of these altcoins are doing better than Bitcoin in terms of cost, functionality, practicality, security, and usability

But if they do not see a need to move out of the shadows of Bitcoin, I recommend that they stay

If in the near future, they find reasons to leave and function on independently, we will read the white papers and if it's viable and profitable, they will still have our investment as support

$ 0.03
2 years ago

I see. Thank you for your input.

$ 0.00
2 years ago

You are welcome, sir

$ 0.00
2 years ago