Bitcoin
BTC$60 252.30

-1.62%

Ethereum
ETH$4 018.12

-2.21%

Binance Coin
BNB$473.38

-1.64%

Cardano
ADA$2.12

-1.64%

Tether
USDT$1.000291

-0.03%

Solana
SOL$189.40

-3.30%

Ether is a better commodity than Bitcoin, says NYU Professor


20 May 2021

#Ethereum

One crypto critic thinks Ether, not Bitcoin, has a better chance of becoming a commodity in a possible blockchain-based future. Aswath Damodaran, professor of finance at New York University’s Stern School of Business, has tipped Ether (ETH) as having a better chance of becoming a commodity than Bitcoin (BTC). Speaking to CNBC, the NYU professor argued that Ethereum’s upside potential outweighs that of Bitcoin in a possible future paradigm dominated by blockchain-based technology.

According to Damodaran, ETH will trump BTC as a better lubricant for blockchain commerce. As for Bitcoin, the NYU professor said that the premier crypto was a speculative play, adding: “All that bitcoin bulls seem to talk about, their biggest sales pitch for bitcoin is: ‘Look at how much money I’ve made on bitcoin.’ That’s it, that’s the end of the sales pitch. That’s not a sales pitch. That tells me nothing about the substance here.”

Indeed, decentralized finance as an emerging market segment has grown massively on the Ethereum network. According to DappRadar, the adjusted total value locked in ETH-based DeFi protocols is above $65 billion as of the time of writing. Earlier in May, Uniswap — an ETH-based decentralized exchange — flipped Bitcoin on daily revenue indicating the scale of the transaction volume disparity between Ethereum and Bitcoin.

Damodaran’s Bitcoin critique is not new as the NYU professor called BTC an “inefficient currency” earlier in May. Back in August 2017, Damodaran, popularly dubbed Wall Street’s “dean of valuation” described Bitcoin as a “pricing game with no good ending.”

The NYU professor of finance also called for a more nuanced crypto nomenclature that better captures the differences among existing cryptocurrencies. According to Damodaran, “I think we need to start to separate the crypto space into those cryptos that are trying to be currencies, those cryptos that are trying to be collectibles — millennial gold — and those cryptos that are actually commodities.” As previously reported, the crypto market is in the middle of a massive downtrend with Bitcoin dipping more than 30% in the last eight days. The total market capitalization has also taken a huge dent, losing over $800 billion within the same period.


Related

Ethereum sees picture perfect rejection at all-time highs
Ethereum sees picture perfect rejection at all-time highs
Ethereum nears its own all-time high as ETH price retakes $4K
Ethereum nears its own all-time high as ETH price retakes $4K
This Ethereum price chart pattern suggests ETH can reach $6.5K in Q4
This Ethereum price chart pattern suggests ETH can reach $6.5K in Q4
Traders pin Ethereum’s route to new ATH to eventual Bitcoin ETF approval
Traders pin Ethereum’s route to new ATH to eventual Bitcoin ETF approval
Ethereum loses key support level as ETH price falls to two-month lows against Bitcoin
Ethereum loses key support level as ETH price falls to two-month lows against Bitcoin
Amount of ETH held by miners reaches highest level since 2016
Amount of ETH held by miners reaches highest level since 2016
Ethereum fractal from 2017 that resulted in 7,000% gains for ETH appears again in 2021
Ethereum fractal from 2017 that resulted in 7,000% gains for ETH appears again in 2021
Ethereum bears look to score on Friday’s $340M weekly ETH options expiry
Ethereum bears look to score on Friday’s $340M weekly ETH options expiry
ETH 2.0 moves closer to fruition as devs set Altair upgrade for October
ETH 2.0 moves closer to fruition as devs set Altair upgrade for October

Top Cryptocurrencies with Price Predictions

# Crypto Prediction Accuracy CVIX Price 24h 7d Market Cap 7d price change
1 Bitcoin (BTC) BTC Bitcoin predictions 66.8% 74 $60 252.30 -1.62% -1.26% $1 135 935 887 079 BTC 7 days price change
2 Ethereum (ETH) ETH Ethereum predictions 71.2% 59 $4 018.12 -2.21% 5.61% $474 376 781 470 ETH 7 days price change
3 Binance Coin (BNB) BNB Binance Coin predictions 68.8% 62 $473.38 -1.64% 1.64% $78 960 770 465 BNB 7 days price change
4 Cardano (ADA) ADA Cardano predictions 89.2% 13 $2.12 -1.64% -1.97% $69 627 800 399 ADA 7 days price change
5 Tether (USDT) USDT Tether predictions 92% 1 $1.000291 -0.03% 0.04% $69 594 352 711 USDT 7 days price change
6 Solana (SOL) SOL Solana predictions 70.8% 56 $189.40 -3.30% 18.36% $57 001 510 155 SOL 7 days price change
7 XRP (XRP) XRP XRP predictions 76.8% 49 $1.078786 -0.88% -3.63% $50 645 066 240 XRP 7 days price change
8 Polkadot (DOT) DOT Polkadot predictions 59.2% 82 $42.08 -3.54% 1.93% $41 561 903 600 DOT 7 days price change
9 Dogecoin (DOGE) DOGE Dogecoin predictions 69.6% 60 $0.256259 2.18% 8.35% $33 782 163 270 DOGE 7 days price change
10 USD Coin (USDC) USDC USD Coin predictions 92.4% 1 $1.000258 -0.06% 0.04% $32 574 092 120 USDC 7 days price change
11 Terra (LUNA) LUNA Terra predictions 67.6% 61 $40.61 -4.86% 10.46% $16 301 378 596 LUNA 7 days price change
12 UniSwap (UNI) UNI UniSwap predictions 77.6% 42 $25.72 -3.26% -2.22% $15 732 380 214 UNI 7 days price change
13 SHIBA INU (SHIB) SHIB SHIBA INU predictions 58.8% 92 $0.000038 13.53% 50.59% $15 098 126 510 SHIB 7 days price change
14 Avalanche (AVAX) AVAX Avalanche predictions 71.2% 61 $63.71 -2.12% 12.40% $14 033 729 136 AVAX 7 days price change
15 Chainlink (LINK) LINK Chainlink predictions 72.4% 50 $29.63 -3.22% 10.93% $13 659 959 203 LINK 7 days price change

Be the first to receive Cryptocurrency Price Predictions and Forecasts daily

Get cryptocurrency price predictions, forecasts with analysis and news right to your inbox.

© 2015-2021 Crypto-Rating.com

The usage of this website constitutes acceptance of the following legal information. Any contracts of financial instruments offered to conclude bear high risks and may result in the full loss of the deposited funds. Prior to making transactions one should get acquainted with the risks to which they relate. All the information featured on the website, including information about the cryptocurrencies and bitcoin is intended solely for informational purposes, is not a means of advertising them, and doesn't imply direct instructions for investing. Crypto Rating shall not be liable for any loss, including unlimited loss of funds, which may arise directly or indirectly from the usage of this information. The editorial staff of the website does not bear any responsibility whatsoever for the content of the comments or reviews made by the site users about cryptocurrencies. The entire responsibility for the contents rests with the authors. Reprint of the materials is available only with the permission of the editorial staff.