Sam bankman fried, chief executive of cryptocurrency exchange FTX, said on twitter on Monday - he is not optimistic about the future of BTC payment network, criticizing its workload proof (POW) algorithm for its high energy cost and difficult to maintain the demand for millions of transactions per second** Even so, @ SBF_ FTX still believes that BTC will be a long-term value storage means held by many people.
In an interview on Monday, the cryptocurrency billionaire said he didn't think BTC could afford the future as a payment network.
Techsopt pointed out that bankman fried is the founder and CEO of FTX, which is one of the most popular cryptocurrency exchanges in the industry.
The 30 billionaire bluntly criticized the underlying workload (POW) proof mechanism used by BTC to verify transactions. Because of its high environmental cost and extremely low efficiency, he believes that BTC network is difficult to meet the needs of millions of transactions per second.
In contrast, the processing mechanism of proof of interest (POS) has more significant advantages. However, BTC users are not without alternatives, such as transferring relevant work to layer 2 payment protocols such as lighting.
It should be noted that the idea of transferring BTC to POS mechanism is not easy, and eth developers have been planning to transform to POS for many years, but they also encountered several delays.
Finally, although bankman fried is not optimistic about the future of BTC as a viable payment network, it does mention its value storage potential as an asset or commodity.
Unfortunately, after the collapse of terrausd (UST) stable currency last week, there was a large-scale stampede in the whole cryptocurrency market. Even if the BTC subsequently rebounded, it was still more than 50% lower than the peak level in November last year.