Cardano founder Charles Hoskinson called Bitcoin outdated, owing to its inefficient community and work culture.
The founder of Cardano Charles Hoskinson claims that Bitcoin, one of the most famous crypto assets in the world, will be the reason for its downfall. Owing to its slow rate of exchange, the Proof-of-Work system will be expropriated by the more convenient Proof-of-Stake networks.
During a Podcast with Artificial Intelligence scientist Lex Fridman, the IOHK founder asserted that the users of proof-of-stake networks will be at an advantage since they will be able to enjoy exceptional speed and scalability over the initial cryptocurrencies.
Proof of stake (PoS) was initially introduced in 2012 by Sunny King and Scott Nadal. This was intended to solve the issue of Bitcoin mining’s high energy consumption. At that time, a day to maintain the Bitcoin network was valued at an average of $150,000. Proof of Work methods required large aggregates of energy, with miners having to trade their coins to eventually foot the bill. These systems were the earliest unanimous algorithms in blockchain technology, which were utilized to validate exchanges and append new blocks to the chain.
After the introduction of the PoS concept, cryptocurrency miners could mine and confirm trade-offs based on the proportion of coins a miner held. This is seen as less dicey in terms of the possibility of miners ambushing the network. A strike would be rendered less preferable owing to the system’s remuneration plan.
Charles Hoskinson stated that the trouble with Bitcoin is that it is slow-paced, and is outdated like the mainframe programming of the past. The only grounds on which it still exists is because there is a huge amount invested in keeping it around. Highlighting Bitcoin’s Proof-of-Work method, he affirmed that Bitcoin’s efficacy straggles behind its rivals. In the interview, Charles also lambasted the Bitcoin community for being resistant to any innovation that could be brought in beyond the foundation layer.
“It [Bitcoin] is its own worst enemy. It has the network effects, it has the brand name, it has the regulatory approval. But, there’s no way to change the system, even correcting obvious downsides in that system,” he added.
On the other hand, Ethereum co-founder insisted on the uniqueness of his blockchain owing to its agile expansion culture that adopts advancement and growth. According to him, Ethereum is unfazed by this issue, since it has reached a stage where the system outcome is similar to Bitcoin, but the community has completely contrasting values.
Nevertheless, the IOHK founder admitted that the contest for crypto-supremacy is much more convoluted than the conflict between Bitcoin and Ethereum. Supporting his statement, he confessed that Cardano, one of the leading Blockchain Platforms in the world, is also battling for major blockchain market share.