What's wrong with Bitcoin? - Crypto in Plain English - Episode 104 - by cryptohunt.it

What's wrong with Bitcoin?

Welcome to the cryptohunt jam where we spend one minute a day to explain crypto. In plain english.

Today, we'll look at another flip side of the crypto world - and talk about what's wrong with Bitcoin. We think the pros and cons matter – so you can make up your own mind.

Bitcoin! The most famous cryptocurrency and also the oldest kid on the block. Almost 1 trillion US dollars are invested in it right now, an amount larger than the values of Facebook, Tesla, or Visa.

So all that money can't be wrong then, right? Well, let's take a critical look.

First - functionality. While Bitcoin paved the road for blockchains in general, its use is strictly limited to sending payments around. It can't do more and can't be expanded in functionality. Ethereum, on the other hand, runs circles around Bitcoin, powering an entire virtual financial system.

Second - its impact on the planet. While using energy-consuming computations to prevent fraud, many eco-conscious critics rightfully point out, that it has a huge negative effect on the environment. It uses almost $200 worth of power for a single transaction, all of which is generated somewhere blasting smoke into the atmosphere. Meanwhile, technology has solved the computation problem, and some blockchains are actually carbon negative.

Third - adoption in general. 13 years into its existence, and yet you can't pay with it anywhere with some very obscure exceptions. It is simply too slow and too expensive to compete with Credit Cards.

Of course, proponents always point to Bitcoin as a store of value, or digital gold, and it has a lot of good things going for it. But having the full picture is always best to make your own decisions!

Disclaimer: This podcast references our opinion and is for information purposes only. It is not intended to be investment advice. Do your own research and seek a duly licensed professional for investment advice.