We all know very well that the market for cryptocurrencies has become red. As earlier we have seen that the well-known virtual cryptocurrency, Bitcoin marked its historic high above $19,000. According to the latest reports, an American computer professional, former Central Intelligence Agency employee, and former contractor for the United States government, of course, Edward Snowden recently stated that Bitcoin won’t last, but crypto is here to stay.
The Use of Digital Currencies Will Not Fade Away with Bitcoin (BTC)
Edward Snowden is an American whistleblower that went on exile. After weighing on the conversation around the world’s largest crypto, Snowden said that Bitcoin (BTC) will fade away but the use of digital currencies will not end with it.
According to Snowden, the belief that backs Bitcoin (BTC) acting as a universal currency will simply move itself to other digital currencies rather than dissipating. He said this during an interview with Ben Wizner. Snowden was asked if he believes Bitcoin (BTC) has long-term inherent value. In response to the question, he compared the digital currency to fiat currency. He said the only difference between monopoly and fiat money is the belief created by state backing.
Snowden said while Bitcoin (BTC) and other cryptos are fundamentally limited in value, there are two things that can guarantee the viability of Bitcoin in the short term. Scarcity is one of those things. Scarcity will be caused by the limited supply of Bitcoin (BTC). The supply of Bitcoin is limited to 21 million BTC.
Snowden said this scarcity jeopardizes rivalry to mine the rest of the coins, and this gives the digital currency a measure of value. He said the second thing is that a greater percentage of the general public see Bitcoin as a legitimate means of exchange.
Snowden said: “That belief is how digital currencies move huge amounts of funds across the globe electronically, without involving banks, on a daily basis. One day Bitcoin (BTC) will be gone, but provided there are people out there that want the flexibility of moving funds at a fast and cheap rate without banks, digital currencies will still maintain their value.”
Bitcoin (BTC) Has Created Lots of Possibilities and Opportunities All Over the World
Snowden said despite his prediction of Bitcoin’s imminent demise, he still likes the digital currency. He said he likes the digital currency because of the possibilities and opportunities it has created all over the world.
However, Snowden went ahead to criticize the current blockchain hashing models. He said that the two main hashing methods are not good enough, adding that new ones should be created. He also referred to Proof-of-Work protocol as an environmentally destructive activity that is skewed in favor of the rich. He added that the Proof-of-Stake protocol is a direct handout to the rich to get their support to keep the system running.
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