According to Coindesk, Erik Voorhees, CEO of SharpShift, the US digital currency exchange, said that government-backed digital currencies will eventually be replaced by bitcoin and blockchain innovation.
Voorhees said that the world’s largest cryptocurrency needs to be gradually adopted in order to finally win.
Economist Peter Schiff expressed doubts that people bought digital currency but did not use them.
Schiff goes on to say that bitcoin is a speculative asset and bitcoin is not currently a reliable means of value storage. Schiff pointed out that the price of bitcoin may change every hour, which makes it difficult to use this cryptocurrency for commodity pricing or negotiation contracts.
Schiff said that bitcoin can never be used as a currency because money must be a reliable means of storing value, not just a medium of exchange. ”
Bitcoin transactions consume a lot of power. Currently, bitcoin transactions consume an estimated 48 terawatt-hours of electricity per year, which is equivalent to the sum of 4.4 million American households, and verification transactions take time.
According to reports, The Economist said that Bitcoin is mainly regarded as a speculative asset. Even people who plan to use Bitcoin can’t use Bitcoin so easily.
Cash and other traditional payment methods provide convenience over cryptocurrencies, which is a huge advantage.
The volatility of prices is an important drawback of virtual currency.
As of now, Bitcoin has become the largest cryptocurrency. In the past 18 months, cryptocurrency projects have sprung up, but the latest statistics show that more than 800 cryptocurrencies are now dead because they are worth less than a penny.