When Bitcoin developer Satoshi Nakamoto sat down to code the world’s first functional cryptocurrency, he/she envisioned a financial network free from the meddling hands of both private and government entities. As such, even the upcoming cryptocurrencies have taken the aspect of decentralization very seriously.
However, as the markets expand and cryptos become popular, some private entities have started getting some funny ideas. They’re now trying to sneak centralization into the crypto industry by developing private blockchains. But will that really work?
Top Cryptos Will Always Beat Centralized Coins
According to one Bill Barhydt, CEO of Abra, decentralized cryptos will always be steps ahead of the centralized coins. Bill was speaking during an interview with Fortune’s “The Ledger.”
He mentioned Bitcoin and Ethereum among the top cryptos. Describing the current hype about enterprise blockchains as “nonsense,” Bill compared the buzz around them to the hype about the “extranet” back in the 90s during the early days of the internet.
The JPM Coin Is A Waste Of Time
Just recently, JP Morgan Chase announced plans to develop its own in-house cryptocurrency, the JPM Coin.
Various crypto big-wigs have since dismissed the bank’s attempt at creating its own digital coin. In fact, Bill thinks that such an attempt is deemed to fail miserably.
Bill compared the creation of the JPM Coin to the creation of the extranet during the dot com boom when the Internet was expanding. Such an attempt is doomed to fail just like the extranet did. Bill didn’t mince his words in calling the JPM Coin development a waste of time.
Bitcoin Network Scalability Will Meet Demand
One of the arguments forwarded by enterprise blockchain developers is that decentralized public networks like Bitcoin are not scalable and therefore cannot handle the growing capacity, but that’s not true.
To debunk this argument, Bill explained that networks like Bitcoin will soon have improved scalability to handle huge network capacity. He mentioned the Light Network as one of the efforts at making the Bitcoin network faster and more scalable.