Tesla CEO – Elon Musk – believed that digital assets could reduce error in the monetary database. In his opinion, cryptocurrencies are not ideal, but they are “fundamentally better” than any other financial product.
The entrepreneur again claimed that Bitcoin’s primary use case is a store of wealth, while Dogecoin is better suited for payments.
Nothing better than crypto so far
In a recent interview with Lex Fridman, one of the most influential people in the cryptocurrency space – Elon Musk – reiterated his support for the digital asset industry. According to him, the current financial system based on fiat currencies is far from perfect since governments can “dilute the money supply” with their impression of mass and cause inflation.
On the other hand, cryptocurrencies are a technological innovation that “takes us into the 21st century”. Unlike many who call money power, Musk believes it should be viewed “through the lens of information theory.” He felt that the technology behind cryptocurrencies appears to be the most efficient form of transaction:
“Think of money as a database for the allocation of resources in time and space. In what form should this data system be most effective? “
However, the business mogul disagreed with the claim that bitcoin and alternative coins are “ideal.” They are quite simply the best form of fundraising that has happened so far:
“I’m not saying it’s the ideal system for a currency, but I think it’s actually fundamentally better than anything I’ve seen.”
“I am not Satoshi”
Musk has once again rejected the theory that he is the anonymous creator of Bitcoin. According to him, Nick Szabo – computer scientist and cryptographer known for his research on digital currencies – is most likely this person:
“I don’t know who created bitcoin for practical purposes, but the evolution of ideas is pretty clear before that, and it looks like Nick Szabo is probably more responsible than anyone for the evolution of these ideas.”
In any case, the CEO of Tesla felt that the name of the creator is not as important as the technology he invented. Not so long ago, Dr Saifedean Ammous was of the opinion a bit in the same way:
“You use the wheel everyday, but you don’t know who invented the wheel, and we use a lot of things everyday not because we trust the guy who invented them, but because they made their evidence, ”he said.
Bitcoin versus. Dogecoin
Afterwards, the entrepreneur compared two of the most popular cryptocurrencies – Bitcoin (BTC) and Dogecoin (DOGE). While it was created as a joke, the latter has certain merits over the former, Musk said:
“It has a much higher transaction volume capacity than Bitcoin. The cost of a transaction (Dogecoin fees) is very low. If you want to make a Bitcoin transaction, the price for this transaction is very high, so you cannot use it efficiently for most things.
At the same time, the main cryptocurrency is a store of wealth. People want to keep it because its value will most likely increase in the future, Musk concluded.
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