In an interview for the Lex Fridman Podcast, CEO at Tesla Elon Musk talked about Dogecoin (DOGE), Bitcoin, Net 3, pleasing contracts and more. Musk has been more involved with the crypto space in 2021, but most of his takes occupy sparked debate and controversy.
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When requested about his preferences of DOGE over Bitcoin, Musk claimed that “although” the typical used to be created as a comedian tale it is superior to BTC on transaction quantity, and functionality. In his peep, the meme coin is moreover cost-efficient versus the “high ticket” customers want to pay for utilizing the Bitcoin network.
Furthermore, the Tesla govt believes Bitcoin has been unable to adapt to recent times the establish “better web connections” wreck long synchronization times and “microscopic” block dimension passe. He referred to those Bitcoin attributes as “comedian” and added the following addressing considered one of this cryptocurrency’s main concepts, its mounted provide:
I mediate there’s some value to having a lineal develop in the amount of forex that is generated (…). If a forex is too deflationary, if a forex is expected to develop its value over time there’s reluctant to spend it (…)
Musk’s replies had been elephantine of gaps for some customers that took the time to trace the counter argument in the Bitcoin versus DOGE debate. Vijay Boyapati, creator of “The Bullish Case for Bitcoin”, took to Twitter for this job and to voice the mistake made by the Tesla govt.
Speaking about the block dimension for Dogecoin, Boyapati talked about that although it is in actual fact bigger than Bitcoin, the latter has “orders of magnitude more transactional throughput” by potential of the 2nd layer solution Lightning Community. Historically, the BTC community has antagonistic any alternate to the network’s block dimension.
Here’s because of the the numbers of issues that can also altered the network and even threatened its existence. In that sense, Boyapati talked about:
Scaling on the blockchain layer is fundamentally inaccurate as it crucially undermines decentralization and protocol immutability.
What Elon Musk Missed On The Bitcoin v. DOGE Debate
Boyapati referred to Musk’s other causes to toughen Dogecoin over Bitcoin. Addressing DOGE’s low transaction cost, Boyapati claims it’s because of the the low network utilization and not because of a superior invent. Something identical occurs to Bitcoin network expenses.
In times of bullish ticket action, the Bitcoin network’s expenses customarily tend to occupy a look on the value. The reverse occurs in extend sessions of downtrend. In actuality, the first half of 2021 saw transactions expenses of over 50 sats/vB in opposition to todays 11 sat/vB, according to Mempool.space.
Boyapati hit the nail on the BTC monetary protection and block dimension, as he claimed builders would become “central bankers” in the event that they’re in a location to alter these traits. Bitcoin has surpassed the $1 trillion in market cap and worldwide adoption because of people can check its immutability, Boyapati added:
The predicament right here is that Elon believes cash need to before all the pieces be a medium of alternate. Moderately, cash continuously evolves by strategy of stages the establish it first becomes a retailer of value THEN subsequently a medium of alternate.
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As of press time, BTC trades at $47,940 with a 2.4% loss in the past day.