Cryptocurrency

Bitcoin & Ethereum soon the new dream team?

Bitcoin and Ethereum are the largest block chains in the crypto-Ecosystem. However, until today there is no possibility between the two Cryptocurrencies to swap without a third party to each other. This goes against the basic idea of Bitcoin and decentralized Altcoins, and restricting the use of the decentralized exchange (DEX) significantly. Vitalik Buterin, the Co-Founder of Ethereum, has reported on this a few days ago also and the lack of development in this direction is criticized.How is the development for Bitcoin and Ethereum? Can we expect soon a Protocol that allows the exchange between BTC and ETH without depending on a service provider?

Direct connection between Bitcoin and Ethereum does not exist

Bitcoin occupied one of the most important areas in the Crypto-Space – decentralized money/Gold. Ethereum on the other hand has managed to from Bitcoin in some areas to stand out and to occupy a niche – the Smart Contracts. It is a reliable and simple connection between the two crypto-giants missing to date. This circumstance has taken Vitalik Buterin to the heart, and on Twitter about the lack of Protocol between BTC and ETH complained.

Bitcoin and other decentralized crypto not created currencies to rely on governments and companies. However, many investors continue to use centralized exchanges to trade your crypto-currencies, swap and store.Due to the increasing number of BTC and other Cryptocurrencies on the various Wallets of the major stock exchanges, it always comes back to attempts by hackers to get to the precious deposits of the users. Also, financial problems, or Exit Scams of some stock exchanges have already shown us often enough what danger it can bring, his crypto-currencies to entrust a centralized company. In the Crypto-Space, the top is usually: Not your Keys, Not your Coins, always.You want to buy Bitcoin and you are looking for maximum security “Made in Germany”?Then, the regulated Digital Exchange, the Stuttgart stock exchange is the right choice for you. In addition to low, transparent fees, free deposits and withdrawals, and EUR & BTC, you can find an intuitive operation. Join today for free and see for yourself! Sign up now!

Decentralized exchanges use is currently limited to

What are the possibilities to remain so, to avoid this danger and still free with Bitcoin and Ethereum act? The answer is decentralized exchanges. However, the usability and operability of these decentralized trading platforms, keeps up to now is still limited and is for the most novice lot of to be complicated.This, in turn, leads to a high trade volume can be achieved and, thus, retailers make a bow to such exchanges. The appeal of decentralisation calls for its sacrifice: low liquidity, no customer support and a very limited number of trade options. In addition, the trade is very slow, inconvenient and often cumbersome.Currently, the most decentralized Exchanges support the Blockchain, the Ethereum. But for Bitcoin, NEO, and EOS, there are already solutions. A direct connection between the various infrastructures, there is not but to date. Since BTC is the most popular and best-known cryptographic currency, and here the bulk of the total trade falls off, there are now on Ethereum, the so-called WBTC (Wrapped in Bitcoin) to work with the most important of all crypto-currencies on the ETH Blockchain. The WBTC network offers the possibility to lock his BTC on the Bitcoin Blockchain, and to get WBTC on the Ethereum Blockchain paid. The demand is but, to date, relatively manageable.

Ethereum not only interested in connection to BTC

Buterin has not only the idea of a Protocol between Ethereum and Bitcoin, but other crypto-currencies.

He has already led a conversation about it with Zooko Wilcox, the CEO of the Electric Coin Company (ECC), in order to allow an exchange without a third party between ETH and Zcash (ZEC). How exactly do the plans look like and when we are with the first results can be expected, is currently unclear.It is clear, however, that the interoperability between the different DLTs (Distributed Ledger Technology) is becoming more and more important. Direct Connections to exchange crypto-currencies directly with each other, could strengthen the entire Ecosystem. We remain at the development in this direction of it and will keep you up to date.Will there be a direct connection between Bitcoin and Ethereum Blockchain? Come on in to our Telegram Chat and talk with the experts and the Community!
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About the author

Eve Manning

Eve Manning

A native Texan, Eve first started out as a Finance Analyst and later realized that her true passion was not in trading but in writing. She leverages her experience in the Finance industry to analyse and write in-depth news articles covering the Cryptocurrencies, Economy & Finance industries.