Why The Flippening Will Not Make Bitcoin Useless
If you are a Cryptocurrency trader or in some other way associated with it, then you might have already heard the word “The Flippening.” The Flippening was first used in Crypto industry when Ethereum price surged to the point that it was threatening to take over Bitcoin by market cap. This happened on June 18, 2017, and Jan 31, 2018. Data from Coinmarketcap shows how Ethereum was just 8% and 12% behind Bitcoin’s market cap. Most traders were certain that Ethereum is likely to take over Bitcoin’s market cap to become number 1 Cryptocurrency by market capitalization.
Thus, Flippening is a concept where people tend to believe that Bitcoin’s market cap will be taken over by Ethereum or maybe some other Altcoin. Well, no need to panic, even if this happens, Bitcoin will still be more valuable than any other Altcoin. So why the flippening will not make Bitcoin useless?. This is because of several reasons.
Bitcoin has developed its acceptance as a mode of payment throughout its life, and many projects are solely based on Bitcoin. Many companies are accepting Bitcoin as payment, and it is not possible for any Altcoin to take over this edge Bitcoin have. Further, many Crypto payment services only deal in Bitcoin as a payment gateway option and much other use Bitcoin for transactions. Imagine them replacing Bitcoin for some other Altcoin just because it surpassed Bitcoin’s market cap?. Bitcoin acceptance will always be higher than any other currency because of its age and dominance.
Ethereum is a completely different coin
Even though Ethereum is decentralized and is the known rival of Bitcoin. It still is a very different coin as compared to Bitcoin. Ethereum taking over Bitcoin will involve the fact that ICO’s have become very popular. This has particularly surged Ethereum’s price rather than Ethereum’s organic growth. Further Ethereum is hardly used as a mode of payment for goods and services, rather the currency is dominantly used for ICO’s and to develop Dapps.
Bitcoin has the longest life in Crypto industry. Founded in Jan 2009, Bitcoin has made a very strong dominance over other Altcoins. This age of Bitcoin gives it a competitive edge over other Altcoins even though if they overcome Bitcoin’s market cap. Imagine a new coin founded in 2013 or 2014 taking over Bitcoin market cap and making Bitcoin useless? Not so real. Bitcoin didn’t become “Bitcoin” overnight, and it underwent a lot of changes and development. This is one of the main reason it has maintained the number one position by market capitalization for years.
Among all Cryptocurrencies, Bitcoin has a very strong and biggest community on several platforms such as Telegram and Reddit. They will not be abandoning Bitcoin just because Ethereum or any other Altcoin take over Bitcoin’s market cap. Further, many institutions and companies have backed Bitcoin during its life. And they are likely not to withdraw their support if the Bitcoin is demoted below the position it currently holds.
As an end note, nobody is sure if whether the flippening will happen or not. Besides, Ethereum is itself facing stiff competition from its rivals such as NEO, Tron, and Binance Chain. We talk about Ethereum flippening Bitcoin in market capitalization but what if Binance Chain takes over Ethereum in the future? Should we call this event as the Binnening?