Banning Bitcoin Would Be a ‘Trillion Dollar Mistake’, Says Michael Saylor
MicroStrategy CEO Michael Saylor has warned EU lawmakers against banning Bitcoin
In a recent tweet, Michael Saylorchief executive officer of business intelligence firm MicroStrategy, has weighed in on the most recent draft of the European Union’s cryptocurrency law, which aims to restrict the use of the proof-of-work consensus mechanism.
Saylor described the initiative as “a trillion dollar mistake”, channeling other prominent members of the cryptocurrency industry who have spoken out against the damning provision.
As reported by U.Today, the last-minute solution aimed to restrict proof-of-work cryptocurrencies within the EU after the previous change was scrapped due to backlash. Despite the softer language, analysts concluded it would still have a devastating impact on the cryptocurrency industry within the industry.
After months of debate, EU lawmakers will vote on the bill on Monday.
The potential ban would give preferential treatment to proof-of-stake and other consensus algorithms that typically boast of their green reputation. Still, Saylor notes that all non-energy-based cryptocurrencies should be considered unregistered securities by the regulator.
MicroStrategy has acquired over 125,051 Bitcoins worth approximately $4.8 billion at the time of writing. The Tysons, Virginia-based company is the largest corporate cryptocurrency holder by a wide margin.
The debate rages on
Saylor’s recent comments about Bitcoin behaving like digital property did not go unnoticed by gold bug Peter Schiff. The latter argues that Bitcoin is actually worthless, as the work yields no “real value”.
“If I can prove that I spent hours digging a hole and then spent an equal number of hours filling it with dirt, my work has paid off,” Schiff said.
The Bitcoin critic further argued that Bitcoin wastes energy rather than channeling it.
Schiff reiterated that the best cryptocurrency is only meant to attract new buyers so that holders can sell it at a higher price. As reported by U.Today, the permabear has repeatedly described Bitcoin as a pyramid scheme.