There is only one real difference between oil and butters if you're thinking about their usage for hair:
The solid state of butters and the liquid state of oils is also caused by them having different proportions of saturated vs. unsaturated fats. I get into a little more detail in Why Are Vegetable Butters Solid At Room Temperature & Oils Liquid?
Besides this there is no real difference as far as your hair (and skin) is concerned. If you want to learn about their impact on the body when you eat one vs. the other then this is not the right blog! lol
I use both oils and butters in my DIY Hair Recipes.
Are They Both Good For Natural Hair?
Yes. Whether you use one or othe other will depend on what you are trying to achieve.
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By Heather Katsonga-Woodward