Ever since the cryptocurrency industry was developed about 11 years ago, it has attracted a lot of mixed feelings among people. Even if many people believe that cryptocurrencies are the future of money, there are still many who think this form of digital money will fade away eventually. On several social media platforms, there are virtual cryptocurrency communities that come together to discuss the happenings in the industry. The CEO of Tesla, Elon Musk, who is known to have an active Twitter presence, recently took a stance on cryptocurrencies.
Elon Musk Takes A Public Stance on Bitcoin and Other Cryptocurrencies
On the 20th of January, Elon Musk participated in a podcast in which he talked about cryptocurrencies. He said that he was concerned about the use of cryptocurrencies for illegal transactions. While he has always made mention of cryptocurrencies in his tweets, it has always been controversial in one way or another, making it difficult for anyone to figure out what he thinks about Bitcoin. Just a while ago, he said that “Bitcoin isn’t a safe word”. This was a sequel to his remark sometime last year about how “crypto isn’t a safe word”.
While Musk might appear like a cryptocurrency skeptic, it’s not going to be a surprise if his next venture will be strongly related to blockchain technology and cryptocurrencies. Keep in mind that Musk has always had an interest in digital money and other methods for online transactions. He was the one who invented the online bank called X.com in 1999. This X.com is what we all know as PayPal today. His interest in the virtual world can’t be disputed. So, his comments on cryptocurrencies are often seen as jokes if we are being realistic. In fact, with his plans to take Tesla, private, at $420 million maybe he is working on a cryptocurrency venture.
When the host of the podcast specifically asked Musk what he thinks of Bitcoin, he refused to give a straight answer. He said that he is “neither here nor there on Bitcoin.” He said that he was impressed with the Bitcoin white paper which was drafted by Satoshi Nakamoto. The host acknowledged that Bitcoin and other cryptocurrencies are similar to his X.com creation. Musk said that members of the cryptocurrency industry are not happy with his stance on Bitcoin and other cryptocurrencies. However, he said that Nakamoto’s idea was ingenious.
Finally, he said that while fiat currency has always been hard to use, the alternative has work properly if it is to stand. So, Bitcoin and other cryptocurrencies have to scale and be accepted globally for legitimate purposes. Cryptocurrencies should not just be the number one choice for those who want to do illegal things. It should be accepted by all. Musk believes that if things don’t change, it’s just not goin
Even if the stance Elon Musk has on cryptocurrencies is currently kind of negative, it is important to note that his fears are noteworthy. Bitcoin may not be able to displace fiat currency anytime soon. For starters, Bitcoin isn’t scalable. A transaction of the Bitcoin Blockchain takes too much time to be verified. This hinders the mass adoption of Bitcoin. Until the problem of scalability is solved, Bitcoin will never be able to take over fiat currencies.