Bitcoin, a Vow of the Free Market vs. Cryptocurrency Libra
The CEO of Blockstream Adam Back thinks that central bank digital currency (CBDC) and Facebook’s suggested cryptocurrency Libra are the same. But CBDC has a higher chance of success than Facebook’s suggestion. Only sovereign currency has a bitcoin as the CEO claims. Thus, that is why it is superior to other projects under development.
Companies have the interest to reduce usage and signup frictions which users are experiencing, for financial benefit. Governments have protection from the market competition with policy monopolies. Adam Back thinks that today’s stablecoins are lacking the self-sovereignty, which is the Bitcoin’s main characteristic.
Moreover, the CEO claims that if blockchains are publicly auditable, it will provide more value. Otherwise, using blockchains and an organization using databases cannot differ.
Back also underlined the importance of Lightning Network, which includes a lower risk of double-spend and faster transaction confirmation.
Therefore, the only way to separate money from the state is through Bitcoin, claims Adam Back. To have stable coins is crucial for crypto trading. Additionally, he shares that the most stable cryptocurrency is the Bitcoin.
Adam Back does not value Facebook’s proposed cryptocurrency Libra. He thinks it is a banking app with a modern feel for the users, nothing more.
Adam Back A Perfect Cypherpunk
Adam Back attended the G20 meetings in Japan. The Blockstream’s CEO said that the blockchain could initiate the open network. If the public web works, the international transfers won’t need intermediary banks for the questionable credit, and the financial institutions won’t benefit from technology anymore.
Adam Back is the inventor of the Hashcash proof of work system, and he is one of the first people who worked on Bitcoin.
The CEO of Blockstream claims that private institutions increasingly use blockchains.
On the exclusive interview with Cointelegraph, he also discussed the possible development of China’s central bank digital currency.
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