2025-12-25 08:27:04

## The Value Support and Development Prospects of Mainstream Cryptocurrencies

**Bitcoin: A Scarce Asset in the Digital Age**

People often compare Bitcoin to "digital gold," and this analogy is not unfounded. Its core value lies in its store of value property—its total supply is fixed at 21 million coins. But how is this number determined? The Bitcoin network packages blocks every 10 minutes, with an initial reward of 50 BTC per block. This reward halves approximately every four years. The total supply is calculated as: 50 × 6 × 24 × 365 × (1 + 1/2 + 1/4……+ 1/2^N) = 21 million coins. Thanks to this built-in scarcity mechanism encoded in the code, Bitcoin has gradually gained recognition from traditional institutions—public companies and large asset management firms continue to buy in. Its status as an inflation hedge is also becoming more solidified.

Future growth potential depends on several factors: the degree of participation from traditional financial institutions, macroeconomic cycles (especially when fiat currency inflation is high, Bitcoin’s attractiveness clearly increases), and changes in correlation with traditional safe-haven assets like gold.

Regarding payment functionality, the mainnet does face bottlenecks—slow transaction speeds and high fees. This is why second-layer solutions like the Lightning Network have emerged. The Lightning Network is suitable for small, high-frequency daily payments, while Bitcoin’s main chain, due to its value and longer block confirmation times, is more suitable for large transfers. However, this does not affect Bitcoin’s fundamental value—it’s primary mission is as a store of value.

**Ether: The Economic Engine of the Ecosystem**

The story of Ether is entirely different. Its value does not come from scarcity (Ethereum has no fixed issuance cap), but is tied to the ever-expanding ecosystem. Simply put, Ether is the "lifeblood" and economic foundation of the vast Ethereum ecosystem—DeFi, NFTs, Layer 2 solutions, and various applications—all consume Ether.

Although there is no hard cap on issuance, Ethereum has an important mechanism called EIP-1559—each transaction’s base fee is burned, creating deflationary pressure on Ether. From this perspective, the value support for Ether comes from its practical utility and network effects, rather than just scarcity.

BTC0.37%

ETH-0.22%

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MEVSandwich

· 1h ago

BTC is just digital gold, there's nothing to argue about... but the claim that ETH's ecosystem bloodline sounds like setting the stage for unlimited issuance is just nonsense. To be honest, no matter how strong the ETH burn mechanism is, it can't compare to the project's crazy issuance. The Lightning Network layer two solution looks pretty good. Bitcoin should honestly focus on being a store of value and stop messing around with payments. Ethereum's ecosystem is indeed powerful, but tying the ecosystem's value like this is a double-edged sword... if the ecosystem declines, ETH will be finished. Institutional entry has been decided long ago; the question is when will the next sharp decline happen.

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Degen4Breakfast

· 4h ago

The math of 21 million coins, just one look and I want to fall asleep haha --- ETH has unlimited issuance but relies on burning to achieve deflation, this logic feels a bit mysterious --- The phrase "Bitcoin is digital gold" has been heard so many times, but there's really nothing to say about its anti-inflation properties --- Institutions continue to buy, which is true; it has already become a mainstream asset --- Layer 2 solutions are a good direction, but how many ordinary people are using the Lightning Network? --- Ethereum's ecosystem is indeed consuming Ether, but whether the ecosystem itself can sustain is the real issue

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gaslight_gasfeez

· 4h ago

21 million coins are truly fixed; the promise in the code is the real deal. Institutional entry is indeed stable this time. --- ETH has unlimited issuance, but with EIP-1559 burning, that’s true deflation. Unlike some altcoins that hype wildly. --- The Lightning Network solves BTC’s payment bottleneck, but honestly, the main chain is just a vault. For small transactions, just use other options. --- The ecosystem determines value. So, the more prosperous the ecosystem, the more valuable the coin. Isn’t that obvious? --- Wait, when fiat inflation is high, does BTC become more attractive? But if inflation isn’t that fierce now, maybe it’s not as appealing. Gotta think about it.

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AirdropHunter

· 4h ago

The phrase "BTC digital gold" has become tiresome. The real question is whether institutions will treat it as gold or just like stock trading to cut leeks. I'm really convinced by the unlimited issuance of ETH. Claims of deflationary pressure and EIP-1559 burns are hardly convincing. Compared to these, I'm more concerned about when it will actually be used for buying groceries. The Lightning Network has been around for years, but still hardly anyone uses it. Honestly, I don't see much difference. It still seems to depend on when macroeconomic issues arise; otherwise, both are just gambling.

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MerkleTreeHugger

· 4h ago

The number 21 million is truly incredible; the code-embedded scarcity is the strongest endorsement. Wait, I'm still a bit worried about ETH's unlimited issuance. Can the ecosystem applications withstand infinite supply? After so long, why hasn't the Bitcoin Lightning Network fully exploded? It's still mainly for large transfers. Deflationary mechanisms are good, but can the value of ecosystem applications really support it? It feels a bit虚 (uncertain). Traditional institutions rushing in has indeed changed the game rules for BTC, but is this a good thing or a bad thing? We need to ask. EIP-1559's fee burning is indeed powerful, directly overcoming the disadvantages of unlimited issuance. With fiat inflation so fierce lately, isn't now the best time to buy BTC? There are so many applications in the Ethereum ecosystem, but how many can actually be profitable?

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