Ethereum-based Cryptocurrency Will Eventually Replace Bitcoin, Billionaire Citadel CEO Declares

Citadel CEO Ken Griffin has made some big predictions regarding the cryptocurrency field and seems to be highly positive on Ethereum’s eventually surpassing Bitcoin in market capitalization.

Ken Griffin claimed in an interview with Andrew Ross Sorkin of The New York Times DealBook on Nov 10 that Bitcoin is likely to be supplanted by a better cryptocurrency such as Ethereum or anything based on it.

The American billionaire hedge fund manager, entrepreneur, and investor is not too enthusiastic about Bitcoin. He sees no business use for the world’s most popular cryptocurrency owing to its high energy consumption, sluggish transaction rates, and fraud vulnerabilities.

He predicts that a next-generation cryptocurrency based on Ethereum will likely supplant it. Something with a higher transaction rate per second, a smaller environmental imprint, and lower transaction costs would be preferable.

Ethereum is not a plausible contender in its present condition because to its exorbitant network fees, high energy consumption, and poor transaction speeds. This is all expected to change in the coming years when ETH 2.0 is implemented with proof-of-stake and shard chains.

Griffin believes that a digital currency issued by the US central bank might eventually disrupt the crypto industry. “I believe we are all still trying to understand if we want to enter the realm of decentralized banking and want a low-cost, efficient payment system, will the crypto community be able to solve it? Or will a digital dollar resolve the issue?”

The issue with that reasoning is that a digital currency will be unable to provide returns comparable to those now offered in Defi.

Additionally, inflation will erode its value over time, while finite-supply crypto assets like Bitcoin and the soon-to-be-released Ethereum may be used as a hedge against it. Additionally, any CBDC will be heavily centralized, regulated, and regulated by the state, with strict restrictions on what individuals may do with it. It is basically the polar opposite of cryptography.

In any case, the statements are the most recent from a millionaire in conventional banking, demonstrating how far the crypto business has progressed in the last few of years.

Not long ago, these ultra-wealthy investors and executives had never heard of Ethereum, which has likewise outperformed Bitcoin this year, and now they’re giving interviews about it.

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