logo
Published on Gold Anti-Trust Action Committee (http://www.gata.org)

A bitcoin.com founder has sold all his bitcoin, as it's 'as good as useless'

By cpowell
Created 2017-12-19 04:35

By Tom Turula
Australian Financial Review, Melbourne
Tuesday, December 19, 2017

Bitcoin.com is one of the world's largest bitcoin sites, having grown its profile thanks to the insane price surge of the cryptocurrency this year. But its co-founder and CTO, Emil Oldenburg, a Swedish native, is extremely skeptical of bitcoin's future.

"I would say an investment in bitcoin is right now the riskiest investment you can make. There's an extremely high risk," he says in an interview with Swedish tech site Breakit:

https://www.breakit.se/artikel/10332/svensk-doldis-bakom-bitcoin-com-bit... [1]

"I have in fact sold all my bitcoins recently and switched to bitcoin cash," says Oldenburg, referring to the problems with bitcoin's high transaction costs and lead times.

... Dispatch continues below ...



ADVERTISEMENT

USAGold: Coins and bullion since 1973


USAGold, well known for its Internet site, USAGold.com, offers contemporary bullion coins and bullion-related historic gold coins for delivery to private investors in the United States, Europe, Canada, Australia, and New Zealand. It is one of the oldest and most respected names in the gold industry, with thousands of clients and an approach to investment that emphasizes guidance and individual needs over high-pressure sales tactics. The firm's zero-complaint record at the Better Business Bureau makes it an ideal match for the conservative, long-term investor looking for a reliable contact in the gold business.

Please call 1-800-869-5115x100 and ask for the trading desk, or visit:

http://www.USAGold.com [2]

USAGold: Great prices, quick delivery -- all the time.



Indeed, by some counts, bitcoin transaction fees are doubling every three months, and it now takes on average 4.5 hours to confirm a bitcoin transaction. Ars Technica reported that fees reached $US26 ($34) per trade recently. Bitcoin.com operates in everything that has to do with bitcoins. ...

The reason why people haven't understood the risks inherent in owning bitcoins, according to Oldenburg, is simply because most have so far only bought the cryptocurrency — but never sold or traded with them. "As soon as people realise that this is how it works, they will start to sell," he tells Breakit.

"The old bitcoin network is as good as unusable."

While buying, selling or trading in bitcoins is not an issue today, according to Oldenburg, the problems surface when bitcoin transactions are recorded on the blockchain, the digital ledger that records each transaction.

The problem centres on the limited amount of transactions per second you can make in the bitcoin network, which in turn depends on the formation of the memory "block size" that store the transactions. This, according to Oldenburg, makes for a very illiquid and unusable cryptocurrency. ...

... For the remainder of the report:

http://www.afr.com/markets/currencies/a-bitcoincom-cofounder-has-sold-al... [3]

* * *

Join GATA here:

Vancouver Resource Investment Conference
Sunday-Monday, January 21-22, 2018
Vancouver Convention Centre West
Vancouver, British Columbia, Canada

https://cambridgehouse.com/e/vancouver-resource-investment-conference-20... [4]

* * *

Help keep GATA going:

GATA is a civil rights and educational organization based in the United States and tax-exempt under the U.S. Internal Revenue Code. Its e-mail dispatches are free, and you can subscribe at:

http://www.gata.org [5]

To contribute to GATA, please visit:

http://www.gata.org/node/16 [6]


Source URL:
http://www.gata.org/node/17886