The NEO VS Ethereum debate has been raging on for some time now, and it is unfortunate that nobody has deemed it fit to do justice to the argument. For one, there seems to be a shortage of information on NEO; hence, most debates often end up with an unintentional thesis of why Ethereum is better than NEO instead of an objective review of both cryptocurrencies.
As a cryptocurrency trader or investor, you might want to diversify your portfolio by holding both Ethereum and Neo. However, if you want to buy only one asset, it is expedient that you know and understand the fundamental similarities and differences between both blockchains. Below are some major difference between Neo and Ethereum as it interests traders and investors.
What is Ethereum?
Ethereum is a decentralized open source software platform built on blockchain technology to help developers build and deploy applications with minimal chances of censorship, fraud, and third-party interference.
Ethereum’s concerns itself with building a platform that facilitates the development of DApps (decentralized apps) for a “more globally accessible, more free, and more trustworthy Internet:”Ethereum currently “owns” the DApp market and the Ethereum foundation is working towards making it more efficient for developers to create their apps on its blockchain platform.
What is Neo?
Neo is a blockchain and cryptocurrency platform providing a means to automate the management of digital assets by using digital identities on a distributed network for the development of a smart economy.
Neo concerns itself with a Smart Economy in which assets will be digitized, proof of ownership will be stored in the blockchain, and transactions will be facilitated with cryptocurrency. Neo’s market focus is still somewhat in the future and the Neo platform is setting up shop to be the go-to blockchain when the future arrives.
Key differences between NEO and Ethereum
From the foregoing, it is obvious that both Neo and Ethereum have some technical similarities. For instance, both of them are blockchain projects designed to facilitate smart contracts and Dapps. Both of them are open source, decentralized, and cryptocurrency-driven. However, below are 3 major fundamental differences between Neo and Ethereum.
It has been alluded to online that the NEO project may be in talks with and have the backing of the Chinese government. NEO in addition to the potential backing of the Chinese government also has the support of corporate such as Alibaba and WINGS among others. Ethereum on the other hand, although doesn’t have the backing of any government, it has proved it can stand up to the test of time and also scalability. The Ethereum project has a huge online following and developer base as well as support from the Enterprise Ethereum Alliances (EEA). Hence, from the backings perspective, both projects have a good chance chances of a long-term survival. BEO because it is more likely to survive the government crackdown on cryptocurrencies, and Ethereum because it has shown it’s resilience and has many more projects using the platform.
Although it must be noted that cryptocurrency investing isn’t all about the potential gains, the fact still remains that any sane minded human being, unless they have millions of dollars at their disposal, would rather invest in a project that’s most likely to increase in price.
In terms of price, NEO has further potential for growth, simply because the price is so low compared to Ethereum. The supply is also lower, meaning it’s more scarce. Ethereum is breaking new ground for Platform based cryptocurrency, so speculating on the price is simply impossible. If you’re all about the profit, NEO statistically speaking has a greater potential.
A blockchain is only as good as the developers its can attract; interestingly, blockchain technology is still in infancy, developers haven’t build much loyalty to any one blockchain, and they can always cross carpet to a different blockchain that makes it easier to reach their goals. Neo has a low entry barrier for developers because you can write and compile its smart contracts and Dapps in Java and C#.
NEO is also working on a solution for developers that want to write DApps in Go and Python. In contrast, the Ethereum developer network is closed because you need to learn Solidity if you want to write and compile Dapps and smart contracts for Ethereum.
In conclusion, both NEO and Ethereum have a very bright future in terms of growth! If you’re all about the profit, NEO is a good call. If you’re looking to support the technology, investing in both would be a good call. We may be wrong about the price, it’s impossible to say for sure, but the future is looking exciting for both projects!