According to a report published by the Financial Times during the day, Sam Bankman-Fried, founder and CEO of the FTX digital asset exchange, stated that Bitcoin has no future as a payment network due to high environmental costs. The American entrepreneur said that bitcoin is a means of saving, more like gold.
Bitcoin Criticism from FTX CEO
Sam Bankman-Fried, founder and CEO of the FTX digital asset exchange, said Bitcoin has no future as a payment network due to its high environmental costs, according to a Financial Times report published during the day. Sam Bankman-Fried drew attention to the energy consumption of mining operations and pointed to blockchain networks working with Proof of Stake consensus mechanisms.
The founder and CEO of FTX stated that a payment network with millions of transactions per second should be efficient and have low energy consumption.
FTX CEO Draws Attention to High Energy Costs
Stating that Bitcoin has no future as a payment network due to high energy costs, Sam Bankman-Fried stated that the leading cryptocurrency Bitcoin is a means of saving, more like gold. However, after this statement by the FTX CEO, a lot of criticism followed on social media. In critical remarks, it was pointed out that the high energy consumption during mining ensures the security of the network. Economics journalist Erkan Oz raised this issue in a post he posted on his Twitter account during the day. Erkan Oz stated that money should have a limit and a value, and that cases when money was produced for free in history led to hyperinflation.