Should you buy Ethereum? 7 pros & cons of Ethereum investment [2021]
In today’s ever-expanding cryptocurrency space, Ethereum is one of the most promising cryptos on the market. Since its inception, the price of ETH has increased by more than 45,836%. The rapid growth of Ethereum has made many ETH buyers quick millionaires. However, the reality shows that there are still many people who are afraid and question why we should buy Ethereum instead of other cryptocurrencies. In the following article, BusinessMoney.com will share the top reasons to invest in the Ethereum Fund in 2021.
A brief introduction to Ethereum (ETH)
Ethereum (ETH) is an open platform that allows developers to build and deploy decentralized applications such as smart contracts or other complex financial and legal applications. Ethereum is likened to Bitcoin 2.0, where developers can use the underlying blockchain to create marketplaces, shared ledgers, technical institutions, and other endless possibilities that need immutable data and contracts with no need for a middleman.
Ethereum coin was launched in 2015 by Vitalik Buterin, who saw the potential of blockchain technology. Currently, Ethereum is the second highest market capitalization cryptocurrency and is expected to overtake Bitcoin as a valuable investment and the most popular cryptocurrency in the world in the near future.
Like the elder cryptocurrency Bitcoin, no one can own or control the ETH coin as it is a decentralized open-source project.
However, unlike Bitcoin, Ethereum was not born with the main purpose of becoming a payment currency. In essence, Ethereum has the vision to become a platform for developing technologies that make it easier to develop decentralized applications. It is Ethereum that will create applications based on smart contracts to settle transactions quickly, economically, safely, and securely.
Transaction fees of the Ethereum platform are usually paid in units of Gas or the cryptocurrency is Ether. And Ether is also traded on virtual currency exchanges like many other coins, denoted as ETH.
Is Ethereum a good investment in 2021?
Yes – in my personal opinion, in 2021, it is still advisable to invest in Ethereum. According to statistics from Coinmarketcap, Ethereum is the second most valuable cryptocurrency by market capitalization with more than 41.3 billion USD and is being traded for about 377 USD (statistics on September 17, 2020).
In terms of the total cryptocurrency market, it is still a very promising location to invest in in the future; nevertheless, price changes might cause you to lose money, investing is dangerous, and familiarization takes time. However, there is an opportunity for you to make a lot of money; if you enter the market in November or December 2017, you can quickly become wealthy.
And when deciding to invest in a certain coin, you must also have a choice and evaluation. Ethereum is one of the largest coins after Bitcoin, the price volatility is less than other small coins, moreover, Ethereum is the development platform for many other coins and tokens, not to mention businesses and merchants. Brands in the world are using Ethereum’s Blockchain like Microsoft.
The Ethereum development team is also working nonstop to perfect the platform, which is a strong sign that the world’s second cryptocurrency has a bright future ahead of it.
Reasons why you should invest in Ethereum
If you are considering joining the ETH investment market, you can refer to the reasons that analysts mention when investing in ETH as follows:
Ethereum may have more applications than bitcoin
One of the first reasons you should buy Ethereum is that it has many interesting applications. Ethereum uses the technology differently, offering more promise for both developers and currency enthusiasts. Ethereum is written in Turing’s complete code language. For a computer to be Turing complete, it must be able to run any algorithm. Because the language is complete, any script can run on Ethereum. Ethereum’s blockchain records everything much faster than Bitcoin – processing transactions in 12 seconds, as opposed to Bitcoin’s 20 minutes. This makes the Ethereum blockchain the best network to support any business or program. Its ability to solve problems with precision and accuracy is second to none. Ethereum’s speed and ability to act as a dapp platform has attracted the attention of dozens of companies, all vying to be the first to use and potentially profit from the blockchain. of Ethereum. It is these things that have led hundreds of companies back to buying Ethereum and using them.
Low ETH price
Ethereum is one of the best-positioned coins in the market, second only to Bitcoin. However, the price of ETH is only 1/30 of the price of BTC (September 2020). This is an accessible price basis for investors.
Solid ETH platform
So far, Ethereum is creating a development platform for many other coins and tokens. Not only existing in the cryptocurrency world but Ethereum’s blockchain platform is also used by businesses and brands around the world such as Microsoft, Amazon, JPMorgan Chase, Intel, Cisco…
Ethereum 2.0 is highly anticipated
The Ethereum development team is devoting all resources to perfecting the foundation of Ethereum, rebuilding the entire Ethereum platform to the premium version of Ethereum 2.0. Cryptocurrency lovers are looking forward to the breakthrough improvements of the new version after this overhaul.
The reasons above are good signs for you to believe in the future of Ethereum when investing in this coin.
My bottom line
Buying Ethereum always makes many people hesitate and think because of the volatility of the market. In my opinion, Ethereum is still a potential investment in the future, especially at this time, ETH price is quite ok to participate in the market. However, Crypto is a risky investment field, but also full of opportunities to make money, you should invest with excess capital and be responsible for your investment.
Therefore, the above article of BusinessMoney.com is for reference only, not intended to direct readers to buy Ethereum. Nevertheless, the decision is entirely up to you, if you are a goal-driven investor, have a plan, or buy Ethereum and trade ETH.
