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Elon Musk Explains why Bitcoin is Highly Centralized

Christian Klausen

ByChristian Klausen

May 18, 2021

Recently, Elon Musk came forward with shocking news saying that Tesla will be dumping all of the $1.5 billion worth of Bitcoin that it stashed earlier at the very start of this year. The very reason for doing so is due to the overzealous consumption of fossil fuels such as coal, thus adding to environmental destabilization. Amid the dumping warnings initiated by Musk on his Twitter account, Bitcoin took a massive hit, and the price came crashing way below the $50k value and has failed to recover above this level ever since.

Musk has completely rid Bitcoin out of his everyday focus and has made Dogecoin the primary candidate for it; according to Musk, Dogecoin is a really articulated cryptocurrency that doesn’t put out as heavy a strain on the environment as Bitcoin. But this is not the reason why Musk calls Bitcoin actually centralized as there are other factors at play here, including the ever-increasing transaction fees on Bitcoin’s blockchain, which is also pushing the efficiency of the network to carry on all of these transactions in a speedy fashion. 

Dogecoin has become the Ultimate Favorite of Elon Musk

Musk has also recently tweeted about how he is supporting Dogecoin developers at the moment to increase the transaction efficiency of the Dogecoin system. According to him, a part-time Dogecoin developer Ross Nicoll has something else to add to the spotlight; according to him, Musk started working with the developers as early as 2019 and has asked them to increase the current higher transaction throughput. 

Not only this, but Musk also shared his expertise as an expert problem solver and also offered his extensive support in terms of resources and even funding which was turned down at the very point as Dogecoin has been reluctant to accept financial support from various other backers in the past. Other people are chiming in on Twitter explaining how Dogecoin is the ultimate cryptocurrency that is way better than Bitcoin in every aspect. 

Dogecoin has faster transaction speeds, lower fees, and a very minute environmental impact as compared to Bitcoin, to which Musk seems to be agreeing to unravel in one of his tweets as ‘this is what makes Dogecoin win hands down. The crypto market is in for a surprise regarding if Bitcoin will ever be able to climb back out of this financial frenzy and if Dogecoin’s price will improve any.

Christian Klausen

Christian Klausen

Christian Klausen is a talented news writer renowned for his compelling storytelling and comprehensive research. With a sharp eye for detail, his articles offer readers a thought-provoking and well-informed perspective on a wide range of current topics.

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