Bitcoin has some serious drawbacks that can cause other cryptocurrencies to take its place at the top, according to Ken Griffin.
Ken Griffin is founder and CEO of multinational hedge fund Citadel LLC, he remains skeptical of bitcoin and its usability. He believes that another cryptocurrency project like Ethereum will become the most dominant in the digital asset universe.
Regardless of the ups and downs of the year, the value of bitcoin has more than doubled in the past eleven months. The asset’s current success is due to its adoption by institutions and the support of prominent entrepreneurs and investors, who often refer to it as a great trade value.
Separately, the BTC became legal tender in El Salvador in September. This went beyond currency nationalization.
But not everything is florid, and primary cryptocurrency has its critics. Citadel CEO Ken Griffin is one of them. He stated that bitcoin is very dangerous for the environment, slows down transactions and is susceptible to fraud, in a recent interview with Andrew Ross Sorkin of DealBook.
Taking these disadvantages into consideration, Ethereum or any other cryptocurrency based on your blockchain will steal the domain from BTC.
Mark Cuban, a billionaire investor and owner of the Dallas Mavericks, voted for Ethereum and its native symbol. He believes that ETH is the best investment option for newbies in cryptocurrency because it offers the greatest upside potential.
Griffin also spoke about the financial crisis and rising inflation, which has shaken most economies. Griffin expressed doubts that cryptocurrencies could solve these currency problems, suggesting that a digital currency could be more beneficial to the initiative.
He still seems to support the blockchain, calling it “really intriguing technology” and “a powerful way to maintain a decentralized global ledger”.
If the cryptoactive industry is regulated, Citadel will provide services in the area.
Griffin again burned bitcoin and other crypto in an appearance last month. He claimed they could hurt the US dollar. Griffin also claimed it was a jihadist plea for some to rely on digital assets rather than the national currency of the United States.
Griffin doesn’t believe much in cryptocurrencies, but his company would still provide such exposure to customers if the space had “regulatory clarity”.
We do not trade cryptocurrency due to regulatory uncertainty. It will be a much more competitive market once there is clarity. That would be good. I would trade because it would satisfy the needs of our broker partners, who want a top-notch company doing prices.