Michael Saylor, the founder of MicroStrategy and a Bitcoin maximalist, believes Bitcoin is superior to CBDC, because of its relation to scarcity, time, and energy.
Saylor believes Bitcoin is superior because of its relation to scarcity, time, and energy. In fact, Saylor added Bitcoin to MicroStrategy's balance sheet due to its inflation hedge and store of value features.
Michael Saylor Asserts BTC Is Superior to Any CBDC
Michael Saylor, the chairman of MicroStrategy, believes Bitcoin is superior to virtual currencies issued by institutions such as central banks. Bitcoin's connection to scarcity, time, and energy makes it superior to any central bank digital currency (CBDC).
Michael Saylor argues that Bitcoin is superior to gold and real estate because scarcity is preferable to commodities or securities. Michael Saylor provides an article that explains how Bitcoin is superior to CBDC because of digital scarcity.
Bitcoin's proof-of-work (PoW) makes information available to both digital and physical work since the information exists only because of specific events in the actual world. A block is formed when individuals have invested time and energy into making the information a reality.
“Bitcoin's difficulty-adjusted proof-of-work is what makes it a genuine phenomenon, something to be grappled with. It is what distinguishes it as non-virtual and non-imaginary.”
On the other hand, virtual currencies such as in-game currency and fiat currency are plentiful. Furthermore, its creation does not necessitate the use of energy or time.
“CBDCs are likely to fail in the future for a variety of reasons, including centralization; the capacity and authority to print on demand; and vulnerability to insolvency, intervention, or collapse. Others may also discover low-cost ways to create it.”
Until now, central banks have been doing research and testing on CBDCs such as the Digital Dollar, Digital Euro, eAUD, and Digital Renminbi.
MicroStrategy to Continue Buying BTC
Michael Saylor and MicroStrategy’s new CEO Phong Lee have stated that they will continue to acquire Bitcoin despite the price drop. MicroStrategy disclosed last month that it purchased almost 301 BTCs between August 2 and September 19. As a result, MicroStrategy and its subsidiaries currently own over 130,000 BTCs.
Meanwhile, the price of Bitcoin (BTC) continues to fall short of the $20,000 level. As per CoinGabbar statistics, Bitcoin is currently trading at $19,255, down 1.5% in the last 24 hours.
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