Will Ethereum Flip Bitcoin?

A Beginner's Guide To Bitcoin:

In this video, I discuss whether Ethereum will ever flip Bitcoin. A "flipping" or "flippening" would happen if Ethereum's market cap ever exceeded Bitcoin's market cap.

Market cap in itself is a very misleading metric, if you don't take trading volume into account as well. Anyone could print up 2 trillion new crypto tokens, sell one of them for $1, and announce that their new cryptocurrency has just flipped both Bitcoin and Ethereum.

It is highly unlikely that ETH ever flips Bitcoin. It is more likely that ETH itself gets flipped by another utility token such as BNB or SOL.

But even if ETH ever flips BTC, ETH will still be just another bad form of money, with a huge pre-mine and an uncertain future monetary policy controlled by insiders. ETH will still be vulnerable to a shut down of Infura or AWS, and will suffer from all of the problems caused by a move to proof of stake.

"Store of value" is theoretically a much larger category than "utility token." Much of the world's future value will be stored in the former, while the latter is only useful for paying gas fees on a particular network.

This suggests that a utility token like ETH will theoretically never be able to flip a store of value like BTC.

Not investment advice! Consult a financial advisor.

Cryptocurrency market caps and max supply:

Did Satoshi pre-mine Bitcoin?

Proof of work vs. proof of stake:

Solana billionaire VC's ready to dump on you:

The pie fallacy and infinite wealth:

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