Bitcoin and Ethereum are the two largest cryptocurrencies, but they were built for different goals. Bitcoin is digital money designed to be a store of value; Ethereum is a programmable platform for apps and smart contracts. This guide compares them.
What Bitcoin is
Bitcoin, launched in 2009, was the first cryptocurrency — a decentralized digital money that lets people transfer value without banks [1]. Its supply is capped at 21 million coins, and its network is secured by Proof of Work. Many people treat Bitcoin as a long-term store of value, sometimes called "digital gold" [2].
What Ethereum is
Ethereum, launched in 2015, is a programmable blockchain: beyond payments, it runs smart contracts and decentralized apps [1]. Its native coin, ether (ETH), pays for computation ("gas"). Ethereum moved to Proof of Stake in 2022 and, unlike Bitcoin, has no fixed maximum supply [2].
Side by side
The bottom line
Bitcoin aims to be sound, decentralized money; Ethereum aims to be a platform for applications. They are complements as much as competitors, and many portfolios hold both. To keep learning the fundamentals, follow more from Bitbase Academy.
Related market pages
Bitbase pages for the tokens named in this article:
- BTC: View price · Spot market · Perpetual market
- ETH: View price · Spot market · Perpetual market
Related reading
Other Bitbase articles on this topic:
- What Is UTXO in Bitcoin? The Digital Cash Model
- Bitcoin DeFi and Smart Contracts
- What Is a Bitcoin Change Address? Where Your Change Goes
Disclaimer: This article is educational content from Bitbase Academy, provided for information only. It does not constitute investment, trading, tax, or financial advice. Crypto assets are volatile; assess your own risk. Written as of June 2026; refer to the latest official information.
References
[1] Coinbase, "What's the difference between Bitcoin and Ethereum?" coinbase.com
[2] Investopedia, "Bitcoin vs. Ethereum: What's the Difference?" investopedia.com
