{"id":2380,"date":"2022-10-23T19:21:24","date_gmt":"2022-10-23T19:21:24","guid":{"rendered":"https:\/\/metaschool.so\/articles\/?p=2380"},"modified":"2023-05-22T10:54:21","modified_gmt":"2023-05-22T10:54:21","slug":"flippening-meaning","status":"publish","type":"post","link":"https:\/\/metaschool.so\/articles\/flippening-meaning\/","title":{"rendered":"Flippening"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_56_1 ez-toc-wrap-left counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title \" >Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/metaschool.so\/articles\/flippening-meaning\/#Flippening_meaning_and_usage\" title=\"Flippening meaning and usage\">Flippening meaning and usage<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/metaschool.so\/articles\/flippening-meaning\/#The_Ethereum_Flippening_incident_of_2019_%E2%9A%A1%EF%B8%8F\" title=\"The Ethereum Flippening incident of 2019 \u26a1\ufe0f\">The Ethereum Flippening incident of 2019 \u26a1\ufe0f<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/metaschool.so\/articles\/flippening-meaning\/#What_are_the_factors_affecting_flippening\" title=\"What are the factors affecting flippening?\">What are the factors affecting flippening?<\/a><ul class='ez-toc-list-level-3'><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/metaschool.so\/articles\/flippening-meaning\/#1_Demand\" title=\"1. Demand\">1. Demand<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/metaschool.so\/articles\/flippening-meaning\/#2_Filling_the_gap\" title=\"2. Filling the gap\">2. Filling the gap<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/metaschool.so\/articles\/flippening-meaning\/#3_Investor_sentiment\" title=\"3. Investor sentiment\">3. Investor sentiment<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/metaschool.so\/articles\/flippening-meaning\/#4_Competition_is_never_bad\" title=\"4. Competition is never bad\">4. Competition is never bad<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/metaschool.so\/articles\/flippening-meaning\/#Conclusion\" title=\"Conclusion\">Conclusion<\/a><\/li><\/ul><\/nav><\/div>\n\n<h2 class=\"wp-block-heading\" id=\"flippening-meaning-and-usage\"><span class=\"ez-toc-section\" id=\"Flippening_meaning_and_usage\"><\/span>Flippening meaning and usage<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Flippening means that an underdog overtakes the favorite. It refers to the potential overtake of <a href=\"https:\/\/metaschool.so\/courses\/how-does-ethereum-work-a-deepdive?ref=Article&amp;utm_source=Blog_Organic\">Ethereum<\/a> to become the world\u2019s biggest <a href=\"https:\/\/metaschool.so\/blockchains?ref=Article&amp;utm_source=Blog_Organic\">cryptocurrency<\/a> by market capitalization over the previously favored <a href=\"https:\/\/metaschool.so\/blockchains\/bitcoin?ref=Article&amp;utm_source=Blog_Organic\">Bitcoin<\/a>.<\/p>\n\n\n\n<p>This is a pretty big matter for crypto because Bitcoin was the first blockchain and has so far maintained the largest market cap since the beginning.<\/p>\n\n\n\n<p>The term got famous because Bitcoin had a hit and lost some points in the crypto market. This event gave rise to the idea that investors could shift to Ethereum and flippening might happen.<\/p>\n\n\n\n<p>Many investors were really happy because the Ethereum Blockchain is considered to be quite versatile and has advantages that include but are not limited to <a href=\"https:\/\/articles.metaschool.so\/what-is-a-smart-contract\/\">smart contracts<\/a>.<\/p>\n\n\n\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\"><p><em>Over time you will see broader adoption of <a href=\"http:\/\/metaschool.so\/blockchains\/ethereum?ref=Article&amp;utm_source=Blog_Organic\">Ethereum<\/a> than of Bitcoin<\/em><\/p><p><\/p><cite><a href=\"https:\/\/articles.metaschool.so\/alex-mashinsky-celsius-network-profile\/\"><em>Alex Mashinsky<\/em><\/a><em>, CEO of <\/em><a href=\"https:\/\/celsius.network\/\" target=\"_blank\" rel=\"noopener\"><em>Celsius Network<\/em><\/a><\/cite><\/blockquote>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"the-ethereum-flippening-incident-of-2019\"><span class=\"ez-toc-section\" id=\"The_Ethereum_Flippening_incident_of_2019_%E2%9A%A1%EF%B8%8F\"><\/span>The Ethereum Flippening incident of 2019 \u26a1\ufe0f<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>In November 2019, a certain degree of flippening occurred. It happened because the transaction for <a href=\"https:\/\/articles.metaschool.so\/erc20-token\/\">ERC-20<\/a> was more than the ETH-based transactions itself.<\/p>\n\n\n\n<p>It was reported that ERC-20s had about 303,000 daily transactions vs about 290,000 for \u201cETH\u201d. This means that the Ethereum Blockchain has been rapidly increasing in overall crypto valuation. Due to the increase in its value, it has attracted many investors towards it.<\/p>\n\n\n\n<p>But still, it does not look like ETH is going to overtake BTC in the immediate future because both blockchain are moving in the same direction of the macro environment and dodging inflation at the moment.<\/p>\n\n\n\n<p>Indeed Bitcoin is less applicable in the broader <a href=\"https:\/\/articles.metaschool.so\/what-is-web3-guide\/\">web3<\/a> and crypto ecosystem because it does not support the development of smart contracts, which is one of the few things giving an edge to the Ethereum Blockchain.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"what-are-the-factors-affecting-flippening\"><span class=\"ez-toc-section\" id=\"What_are_the_factors_affecting_flippening\"><\/span>What are the factors affecting flippening?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"1-demand\"><span class=\"ez-toc-section\" id=\"1_Demand\"><\/span>1. Demand<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>One of the principal concepts in economics, demand is an interesting and pivotal factor that impacts flippening. Take Ethereum\u2019s smart contracts, for example. Not only was this feature greatly marketed (and rightfully so), but it also had multiple uses. Thus, products and new launches in blockchains can affect the demand curve to a great extent.&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"2-filling-the-gap\"><span class=\"ez-toc-section\" id=\"2_Filling_the_gap\"><\/span>2. Filling the gap<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>Not only is it important to have a product with multiple uses, it is also integral to be strategic about it. Filling the gap between the market and a certain blockchain that is always at the top can also affect the phenomenon of flippening. Ethereum\u2019s <a href=\"https:\/\/metaschool.so\/courses\/understand-and-setup-metamask-account?ref=Article&amp;utm_source=Blog_Organic\">MetaMask<\/a> proved to be a great addition and something that was adapted quickly in the booming crypto market.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"3-investor-sentiment\"><span class=\"ez-toc-section\" id=\"3_Investor_sentiment\"><\/span>3. Investor sentiment<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>While technological advancement has its own value, it all comes down to what the investors and traders want. If, for some reason, investors feel that Ethereum is a better blockchain and more investible product than Bitcoin, it becomes difficult for the decision to be reversed. It is all in the hands of the investors at the end of the day.&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"4-competition-is-never-bad\"><span class=\"ez-toc-section\" id=\"4_Competition_is_never_bad\"><\/span>4. Competition is never bad<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>The other important factor is competition. If Ethereum happens to be doing exceptionally well but we see that there is rising competition from all four sides, it will affect Ethereum\u2019s capability to substitute Bitcoin.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"conclusion\"><span class=\"ez-toc-section\" id=\"Conclusion\"><\/span>Conclusion<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>In conclusion, the flippening in crypto refers to the potential scenario in which Ethereum overtakes Bitcoin in terms of market capitalization. While many different factors are into play in the phenomenon that is flippening, predicting such an instance is a little tricky.<\/p>\n","protected":false},"excerpt":{"rendered":"","protected":false},"author":1,"featured_media":5416,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"neve_meta_sidebar":"","neve_meta_container":"","neve_meta_enable_content_width":"","neve_meta_content_width":0,"neve_meta_title_alignment":"","neve_meta_author_avatar":"","neve_post_elements_order":"","neve_meta_disable_header":"","neve_meta_disable_footer":"","neve_meta_disable_title":"","footnotes":""},"categories":[73],"tags":[51,4,31,74],"class_list":["post-2380","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-web3-crypto-glossary","tag-blockchain","tag-cryptocurrency","tag-ethereum-blockchain","tag-web3-glossary"],"_links":{"self":[{"href":"https:\/\/metaschool.so\/articles\/wp-json\/wp\/v2\/posts\/2380","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/metaschool.so\/articles\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/metaschool.so\/articles\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/metaschool.so\/articles\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/metaschool.so\/articles\/wp-json\/wp\/v2\/comments?post=2380"}],"version-history":[{"count":12,"href":"https:\/\/metaschool.so\/articles\/wp-json\/wp\/v2\/posts\/2380\/revisions"}],"predecessor-version":[{"id":5745,"href":"https:\/\/metaschool.so\/articles\/wp-json\/wp\/v2\/posts\/2380\/revisions\/5745"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/metaschool.so\/articles\/wp-json\/wp\/v2\/media\/5416"}],"wp:attachment":[{"href":"https:\/\/metaschool.so\/articles\/wp-json\/wp\/v2\/media?parent=2380"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/metaschool.so\/articles\/wp-json\/wp\/v2\/categories?post=2380"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/metaschool.so\/articles\/wp-json\/wp\/v2\/tags?post=2380"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}