• By design, Fidelity believes Bitcoin will survive many years and achieve the initial goal of storing value due to its scarcity, monetary good, and high network security that has been tested since its inception.
• Fidelity expects Ethereum to stand out as a utility blockchain layer that supports other smaller tokens used in smart contracts, a feature that is lacking in the Bitcoin network.

The Bitcoin (BTC) network has endured different tribulations that have made Fidelity Investments believe in its longevity. Having closely studied the Bitcoin network, Fidelity Investments highlighted in a recent report – titled ‘Why investors need to consider Bitcoin separately from other digital assets’ – that the mother coin will continue to play the role of digital gold more in place of payments.

Moreover, the Bitcoin throughput and multichain interoperability have significantly been challenged by other blockchains including Ethereum (ETH) and Solana (SOL).

Having survived more than a decade and been adopted by different countries as a legal tender, Fidelity Investments highlighted that the top coin will be around for many more years. Moreover, Bitcoin’s longevity is supported by Lindy’s law which states that the longer some non-perishable thing survives, the more likely it is to survive in the future.

Notably, Bitcoin price exchanged around $26.7k on Thursday with a market cap of about $521 billion and an average 24-hour traded volume of approximately $13.6 billion.

Why Fidelity Investments Think Ethereum and Solana are Successful Alternatives to Bitcoin

The mainstream adoption of Bitcoin has been identified to present some challenges that have already been solved by Ethereum (ETH). According to Fidelity Investment, which recently entered the race to have a spot in Bitcoin ETF approved in the United States, Bitcoin has failed to accommodate emerging technologies like smart contracts that have seen the DeFi industry significantly grow in the past few years.

Moreover, most venture capitals have been diversifying into the altcoin market through funding to ensure a maximum risk-to-reward ratio.

“Projects that have shown the ability to be successful and create something promising have done so by attracting the proper talent and retaining their user base. Ethereum and Solana provide a great example of what is possible for a protocol that can attract a large number of developers, build a usable platform, and gain a loyal network of users. When done right, there is clearly a lot of value that can be created for investors,” the Fidelity report noted.

Notably, the Ethereum whitepaper that was published by cofounder Vitalik Buterin nearly a decade ago highlighted that the Ether network intends to provide an ecosystem that enables the creation of contracts.

Similarly, the Solana (SOL) network that emerged in 2020 has managed to host some of the top-rated DeFi projects with a total value locked of about $309 million and a stablecoins market value of about $1.5 billion. Moreover, the Solana network has a smartphone in the market dubbed Saga that supports seamless web3 developments.

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