Monero (XMR) is a cryptocurrency defined by its focus on security and privacy. Bitcoin (BTC) has enjoyed widespread adoption and consistently tops the lists of potential crypto investors.
You may be wondering whether you should convert your XMR to BTC. We will explore a few reasons you should consider.
Should You Convert XMR to BTC Today?
BTC vs. XMR: Let’s Compare
Adoption
Privacy
Transaction Speed
Fungibility
Transaction Fees
Scalability
Mining
Supply
Price
Do You Need to Convert Your XMR to BTC Today?
Let’s analyze the key differences between the two currencies. This should help you determine which one is more suited to your needs.
Adoption
Bitcoin is the most widely accepted cryptocurrency. Monero’s adoption is increasing, but it is nowhere close to Bitcoin’s.
Privacy
With Monero, funds are not sent to your public address. A new account is created with a password only accessible to you.
This creates an additional layer of security. Also, Monero’s privacy features are built-in to the platform, making it a much better option compared to Bitcoin.
Transaction Speed
A Monero transaction requires two minutes per confirmation, with a total of ten confirmations before the funds are usable. A Bitcoin transaction takes ten minutes for a single confirmation, but the funds are usable afterward.
Fungibility
Monero is much more fungible than Bitcoin. While this can be a benefit, it can also lead to problems such as it being regularly used on illegal dark-web markets.
Transaction Fees
Since the adoption of bulletproofs technology in 2018, Monero’s transaction fees have drastically fallen.
At the time of writing, Monero’s average transaction price is two cents. Conversely, Bitcoin’s average is 39 cents.
Scalability
Monero has run into scalability issues in the past. This is despite only having to handle several thousand transactions per day.
Bitcoin, however, can easily handle over half a million! Monero has a long way to go before it can stand up to other payment networks.
Mining
ASIC computers do not have a significant advantage over regular computers when it comes to mining Monero. As such, the process for mining Monero is a lot more user-friendly.
Supply
Bitcoin is limited to a maximum of 21 million BTC. This means that an increase in demand with a capped supply can lead to huge price increases.
Monero has no limits to its supply. Due to this, the currency can inflate as the supply increases.
Price
Due to the aforementioned factors, Bitcoin is much more valuable than Monero. This gives it greater stability due to increased investor confidence.
It has also been more profitable in the past. From their earliest known prices up to December 2020, Monero’s ROI is 2,059.19%, whereas Bitcoin’s is 24,147.12%.
Do You Need to Convert Your XMR to BTC Today?
If the advantages of BTC are important to you, you can use the XMR to BTC calculator to exchange Monero for Bitcoin.
Generally, those looking to diversify their holdings should convert to Bitcoin. Also, if you think Monero is no longer a viable currency, you should convert.
Remember to not overdo your trades. If you make a lot of trades, you rack up excessive transaction fees that eat up your profits.
Final Verdict
Monero comes out ahead on privacy, mining algorithm, transaction fees, and fungibility.
You should go for Bitcoin if you value scalability, supply, price, adoption, and transaction speeds.
You should convert your currency today if you think Bitcoin is a better fit for your investment goals. A reliable exchange like Godex can help provide hassle-free transactions.
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