Bitcoin Has No Future As Payments Network, says FTX's Billionaire Chief: Report
NDTV
Crypto exchange FTX's founder said that bitcoin has no future as a payments network, the Financial Times reported on Monday.
Cryptocurrency exchange FTX's founder has said that bitcoin has no future as a payments network and criticized the digital currency for its inefficiency and high environmental costs, the Financial Times reported on Monday.
Bitcoin, the world's largest cryptocurrency, is created by a process called "proof of work" that requires computers to "mine" the currency by solving complex puzzles. Powering these computers needs large amounts of electricity.
An alternative to the system is called the "proof of stake" network, where participants can buy tokens that allow them to join the network. The more tokens they own, the more they can mine.
FTX Founder and Chief Executive Sam Bankman-Fried told FT that "proof of stake" networks would be required to evolve crypto as a payments network as they are cheaper and less power hungry.
