CoinGeek’s Chief Bitcoin Historian Kurt Wuckert Jr. joined Crypto Bitz to share his thoughts on the latest goings on in the BTC community, after some people have raised concerns the world’s largest cryptocurrency could now be on life support.
After setting out his own journey towards digital currency, and the reasons he ended up a supporter of Bitcoin SV and the BSV blockchain, Wuckert began setting out the case for the imminent demise of BTC.
Drawn on the speculative price of BTC, Wuckert noted that value and price are different things. While, temporarily at least, BTC has a price, Wuckert said he believes something should exist outside of its speculative value, to provide actual value. And how do you get the most value? You build on it. Wuckert said that’s why he was drawn to BSV, the only blockchain capable of scaling now, providing the infrastructure necessary for enterprise use cases.
On the state of BTC at present, Wuckert said he believes the network is a lot more fragile than people might think. Almost all liquidity in BTC is driven by Tether, which Wuckert said he believes is currently propping up the market. In his view, there has never been the levels of demand for BTC in USD to support the current levels of pricing, and there is a strong correlation with Tether inflows to BTC price. Asked if he believes Tether has BTC on life support, Wuckert confirmed this was likely the case.
As mining difficulty increases, Wuckert said the network becomes increasingly more vulnerable to a chain death scenario. If there was a precipitous drop now in BTC prices, it would become unviable to mine BTC. Because of how the network works, you need to constantly find new blocks for the network to persist, so this could be an easy, quick problem to develop, were there to be a fall in BTC prices.
Wuckert said there may have to be another hard fork to save BTC in this kind of scenario. Mining would have to be done on an unviable basis by someone prepared to lose money to uncover another block, or people would sell their BTC en masse and the true liquidity in the market would become apparent. Either way, Wuckert says this type of scenario is only one significant sell-off away from becoming a reality.
While BTC is showing signs of weakness and vulnerability in terms of its core technology, BSV blockchain is continuing to grow from strength to strength. More enterprise users than ever before are being drawn to the BSV blockchain as the superior blockchain technology, the only practical implementation of Bitcoin that can actually process data and money transactions at scale, and on a cost and efficiency basis that works for developers and users.
Unlike BTC, which essentially does nothing, and even struggles to function as a mechanism for payment or store of value, BSV is already being used in practical use cases to solve real world problems. Wuckert said this gulf would become ever more apparent as more people realize the benefits of BSV as a technology, and the advantages it brings over legacy networks like BTC.
He concludes by confirming that BSV represents the original stack as envisaged and described by Satoshi Namakoto, aka Dr. Craig Wright. While noting that Dr. Wright can be a challenging character, which in part explains why he draws criticism from some quarters of the digital currency community, Wuckert said ultimately the fact remains that he developed Bitcoin, and is the rightful creator of the Bitcoin whitepaper.
With his extensive knowledge and understanding of the Bitcoin space, dating back a number of years, Wuckert said he remains convinced that Bitcoin SV is the only blockchain capable of handling scale, and the only blockchain true to Satoshi’s original vision of Bitcoin.
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