Cryptocurrencies aren’t perfect, but they’re better than anything we’ve seen

                                                            Teslas CEO – Elon Musk – meinte, dass digitale Vermögenswerte den Fehler in der Gelddatenbank reduzieren könnten.  Aus seiner Sicht sind Cryptowährungen nicht ideal, aber „grundsätzlich besser“ als jedes andere Finanzprodukt.

The entrepreneur again claimed that the main use case of Bitcoin a safekeeping of assets while Dogecoin better suited for payments.

So far, nothing better than crypto

In a recent interview with Lex Fridman, one of the most influential people in the cryptocurrency space – Elon Musk – reiterated his support for the digital asset industry. According to him, the current fiat-based financial system is far from perfect as governments “dilute the money supply” with their mass pressures inflation can cause.

On the other hand, cryptocurrencies are a technological innovation that “leads us into the 21st century”. Unlike many who characterize money as power, Musk believes that it should be viewed “through the lens of information theory.” He suggested that the technology behind cryptocurrencies appears to be the most effective form of transaction:

“Think of money as a database for resource allocation over time and space. In what form should this data system be most effective? “

The business tycoon, however, contradicted the statement that Bitcoin and the alternative coins were “ideal”. They are simply the best form of financing that has ever existed:

“I’m not saying it’s the ideal system for a currency, but I think it’s just fundamentally better than anything I’ve seen before.”

“I am not Satoshi”

Musk again dismissed the theory that he is the anonymous creator of Bitcoin. According to him, Nick Szabo – a computer scientist and cryptographer known for his research on digital currencies – is most likely this person:

“I don’t know who created Bitcoin for practical purposes, but the evolution of the ideas is pretty clear beforehand, and it seems like Nick Szabo is probably responsible for developing those ideas more than anyone.”

In any case, the CEO of Tesla felt that the name of the creator is not as important as the technology they invented. Not so long ago, Dr. Saifedean Ammous somewhat similar:

“You use the wheel every day, but you don’t know who invented the wheel, and we use a lot of things every day, not because we trust the inventor but because they have a proven track record,” he said.

Bitcoin vs. Dogecoin

The entrepreneur then compared two of the most popular cryptocurrencies – Bitcoin (BTC) and Dogecoin (DOGE). Although the latter was created as a joke, it has some advantages over the former, Musk claimed:

“It has a much higher transaction volume than Bitcoin. The cost of a transaction (the Dogecoin fee) is very low. If you want to do a Bitcoin transaction, the price of that transaction is very high that you cannot use it effectively for most things. “

At the same time, the primary cryptocurrency is a store of wealth. People want to keep it as its value will most likely increase in the future, Musk concluded.

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