As the indecision in Bitcoin continues, Vitalik Buterin, the founder of the largest altcoin Ethereum (ETH), shared his thoughts on the market.
In an interview with economics writer Noah Smith, Buterin expressed his concern for the long-term status of BTC, saying that there are 2 reasons for this.
The Ethereum founder pointed out the more efficient Proof of Stake and BTC transaction fees among his reasons for concern.
According to Vitalik Buterin, with Bitcoin’s mining fee continuing to decrease every 4 years, mining fees will only be replaced by transaction fees in the long run, which will create a very troublesome situation for BTC.
In summary, according to the ETH founder, miners who will no longer be able to earn block rewards will have to settle for transaction fees only. This will make mining not as attractive as it used to be. As a result, the number of miners will also decrease indirectly, so the BTC network will not be as reliable as before.
Vitalik Buterin cited Proof of Stake as being safer than Proof of Work as the second reason for his concern.
Noting that the PoW system is more insecure than the PoS system, Buterin stated that many Bitcoin mining pools are close to certain governments, saying that this may lead to some censorship in the future:
In its time, the PoW system was really a very egalitarian and beautiful thing. However, this cannot be sustained in the future.
On the other hand, it is known that soon Ethereum will switch from the Proof of Work system to Proof of Stake.
For exclusive news, analytics and on-chain data Telegram our group, twitter our account and YouTube Follow our channel now! Moreover Android and iOS Start live price tracking right now by downloading our apps!