Bitcoin and Ethereum skyrocketed to ATH levels this week, bringing the total value of the crypto market to nearly $3 trillion. Now, legendary billionaire Ken Griffin warns that Ethereum will eventually overtake Bitcoin.
Bitcoin still has many unresolved problems!
Ken Griffin’s statement to Andrew of The New York Times begins with:
One of the first cryptocurrencies, Bitcoin is incredibly expensive to manage payments. Bitcoin is a huge contributor to global warming, in aggregate greater than any form of payment we use worldwide.
Griffin, who founded and manages Citadel, which manages nearly $40 billion in assets, continues, referring to a handful of Ethereum competitors whose prices are skyrocketing, including Binance’s BNB, Solana, and Cardano:
We will see Bitcoin conceptually replaced by Ethereum. The train is still at the station. These new cryptos will then have the advantages of higher transaction speeds, lower cost per transaction, perhaps as people start to think about how to better deal with security and fraud prevention.
But Griffin is skeptical that Bitcoin, Ethereum and other major cryptocurrencies have skyrocketed in recent years. “When it comes to cryptocurrencies, what is the basis of valuation? “Will someone pay me more for it tomorrow?” she asks.
BTC is not the solution we need, according to Ken Griffin
Over the past year, pandemic-induced quarantines and massive government subsidies to financial systems have boosted the price of all cryptocurrencies. Griffin has this to say about the new tools added to their investor portfolios:
We created a whole new class of savings like meme coins and cryptocurrency. People are very focused on the world of new ideas and new creations. I worry that some of this passion is misplaced when it comes to cryptocurrencies.
Cryptocoin. com, Griffin finally says that he heard about Bitcoin from his 21-year-old intern, but regretted not investing. According to him, blockchain is the best way to protect a global ledger, but cryptocurrencies are not really the solution we need.