Craig Wright Agrees Hodling Bitcoin Is A Waste of Time
Craig Wright has joined a New York Federal Reserve official in saying there is “no reason” to hold Bitcoin “in an of itself.”
Self-professed Bitcoin “creator” Craig Wright has agreed with a New York banker that there is “no really good reason” to ‘hodl’ Bitcoin.
Wright, who has divided the cryptocurrency community with his often provocative statements, was responding to comments by Federal Reserve Bank of New York assistant vice president Asani Sarkar during a presentation on Bitcoin.
“He is correct,” Wright wrote on Twitter after Sarkar rubbished holding Bitcoin “in and of itself.”
“Bitcoin is valuable as money, cash. As a pure settlement system, it is clumsy and inefficient.
He is correct.— Dr Craig S Wright (@ProfFaustus) September 29, 2017
Bitcoin is valuable as money, cash. As a pure settlement system, it is clumsy and inefficient. I worked for the Aust Stock Exchange in the 90s. Our systems exceeded BTC tgen for pure settlements.
The perspective challenges a widely-held belief in the cryptocurrency community that simply hodling coins will produce better profits than short-term trading.
Nonetheless, the views contrast with recent statistics from even mainstream media, demonstrating the benefits of sitting on coins (565 percent returns) over shorting them (295 percent returns).
Wright nonetheless remains committed to his alternative to Bitcoin scaling, nChain, of which he is chief architect.
Alternative Bitcoin scaling
This week, partnership details surfaced with Bitcoin Unlimited, in which the two parties will test 1GB blocks and transaction capacity of 3,000 per second, similar to Visa.
If successful, a release says, Bitcoin Cash will form the testbed for any changes.
“We hope our efforts with BU inspire even more Bitcoin ecosystem players to work together – rather than fight each other - to advance Bitcoin's role as the dominant cryptocurrency,” nChain Group CEO Stefan Matthews added in a release.