Bitcoin vs. Altcoins: Key differences users should know

While Bitcoin (BTC) and altcoins play vital roles in digital money, they appeal to various users for different reasons. BTC stands out as the first and most famous crypto coin, but many new ones, known as altcoins, are also gaining attention. 

Understanding the differences between Bitcoin and altcoins can help you see what each offers and why they are popular. Explore the key differences and discover which option might be right for you!

What is Bitcoin?

Bitcoin is the first crypto, created in 2009 by a person or group using the name Satoshi Nakamoto. It operates on a blockchain, which acts like a public ledger recording all BTC transactions.

There is only a limited amount of BTC—21 million coins. This makes it a rare asset, much like gold. Many people view Bitcoin as a smart way to save money and even use it to gamble on BTC casino games, and its value has increased greatly over time.

What are Altcoins?

Altcoins are any crypto coins that are not Bitcoin. The term ‘altcoin’ combines ‘alternative’ and ‘coin’, highlighting their role as alternatives to BTC. After Bitcoin became popular, many new coins were made. Some of these include Ethereum (ETH), Litecoin (LTC), and Ripple (XRP).

Altcoins can be divided into three main types:

• Stablecoins: Linked to real money, like the US dollar, to keep their value steady. For example, USD Coin is a stablecoin
• Utility tokens: Used on specific platforms to pay for services or access features.
• Security tokens: Represent ownership of real things, like stocks or real estate.

Many people enjoy playing games with crypto. You can find the best BTC casinos that allow you to play fun games using Bitcoin and altcoins. 

Key differences between Bitcoin and Altcoins

Market cap and popularity

One big difference between Bitcoin and altcoins is their market cap. BTC has a market cap of over $1 trillion, making it the largest crypto. On the other hand, altcoins have a much smaller market cap. They are not as well-known as Bitcoin, even though some, like ETH, are gaining ground.

Purpose

BTC was made to be a digital currency. Its main goal is to allow safe and private transactions between people. It aims to replace traditional money systems, allowing users to send and receive money without banks.

Altcoins, however, have a wider range of goals. They often bring new ideas and technologies. For instance, ETH allows developers to create smart contracts, which are agreements that run instantly when certain conditions are met. This means altcoins can solve different issues that Bitcoin does not.

Take a look at the table below to see the other key distinctions of BTC and altcoins:

Pick the coin that suits you best for a rewarding experience!

Bitcoin and altcoins each come with their benefits. Both play vital roles in the world of digital money.  If you’re interested in using BTC for fun, consider exploring Bitcoin online casinos, where you can enjoy a wide range of games and exciting options. Whether you prefer the stability of Bitcoin or the unique offerings of altcoins, there’s something for everyone in the digital world!

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