In January this year Bitcoin cloud mining provider, Genesis Mining, has launched a mobile billboard campaign targeted at Jamie Dimon. The banners mocked Dimon’s comments on digital currency.
“You called bitcoin a fraud,” – McAfee told, “I’m a bitcoin miner. We create bitcoins. It costs over $1,000 per coin to create a bitcoin. What does it cost to create a U.S. dollar? Which one is the fraud? Because it costs whatever the paper costs, but it costs me and other miners over $1,000 per coin. It’s called proof of work.”
It’s needless to say, that Bitcoin is indeed a highly volatile financial instrument, but, according to McAfee , there is nothing surprising about it:
The fact that bitcoin is consistently growing in its use and its value has to say something.
Sure it will rise and fall as all new technologies are. But at the same time, it is certainly not a fraud.
McAfee made a lewd bet on Twitter earlier this summer that bitcoin would reach $500,000 within three years. He further mentioned that different people over the years have called bitcoin a bubble that would burst, but the coin keeps getting flexible day by day deceiving their expectations.
McAfee is a part of the Intel technology company also known for founding the McAfee Security antivirus software products. He considers that the long-term trajectory of bitcoin is upwards and the current volatility will stabilize with time.
“The value proposition of bitcoin and the crypto ecosystem is that it is provably compliant with its own rules. The confidence that the rules of the system are mathematically infeasible to break brings a strong confidence in participation and more importantly, obsoletes the need for intrusive regulation. The price of bitcoin in particular and the sustained increase in market cap of crypto in general is simply the general public waking up to this amazing value proposition of replacing proof of violence with proof of work. Crypto will eventually be a very large part of global finance as entrepreneurs figure out how to extend the robust properties of crypto into other areas of finance.” said Bharath Rao, CEO of Leverj.
“These are the very first rays of light on the dawn of a new era, the beginning of the beginning. The ones who have the vision and courage to step in and shape the future will be handsomely rewarded and those who shudder and fear this unstoppable force are choosing to be obsolete with their archaic systems,” he added.
Scott Nelson, CEO and Chairman of Sweetbridge in his turn stated:
Bitcoin may be a bubble and it may be replaced in the future by other cryptocurrencies. But comments like Jamie’s show a failure to grasp the significance of the blockchain and the power of brand in a fundamental sea of change. I seem to remember people making similar comments about Facebook when it had no revenue. The value of Bitcoin is not intrinsic to the coin it is in what it allows us to do. Freedom is not going away no matter how hard people wish it would.
What way the bitcoin price will be changing in the future remains to be seen. The only thing, which is clear now, is that bitcoin will continue to exist and spread despite evil tongues, declaring it a “fraud”.