In the world of Crypto Assets, the true determinant of a currency's value ceiling is not short-term market Fluctuation, but the technical foundation hidden within the code. This also explains why Bitcoin and Ethereum can maintain long-term rise and hold a leading position in the market, while many alternative Tokens have experienced dramatic rises and falls. Let's delve into the technical core of the Crypto world, revealing which projects have a solid foundation and which may struggle to sustain.

The core layer of blockchain is the cornerstone and fundamental rule of the encryption world. Although many crypto assets claim to use blockchain technology, there are very few projects that can truly build a solid foundation. At this level, immutability and decentralization are two key concepts, and Bitcoin and Ethereum excel in these two aspects.

The consensus mechanism can be seen as the fundamental law of the crypto world. The proof of work (PoW) mechanism adopted by Bitcoin relies on the computing power of millions of miners worldwide for collective verification, and there have been no major security incidents in 14 years. Although this trust mechanism built on large-scale computing power consumes significant resources, it possesses a strong ability to resist risks. After Ethereum upgraded to the proof of stake (PoS) mechanism, it locked in more than 100 billion dollars worth of Ether as collateral, significantly increasing the cost of malicious actions while also reducing energy consumption.

In contrast, small cryptocurrencies that primarily rely on the reputation of their founders and community hype often have weak consensus mechanisms, which can lead to collapse once funds flow out. This difference stems from the solidity of the underlying technology.

Smart contracts can be likened to the core architecture built on this foundation. They provide a broader application scenario and functional scalability for Crypto Assets, further consolidating the project's value basis.

Overall, understanding the technical foundation of a Crypto Assets project is crucial for assessing its long-term development potential. Investors should focus on the project's underlying technological strength, rather than just short-term market performance.