Craig Wright calls Bitcoin a “speculative gambling asset”
Craig Wright recent shared his view about the labour fallacy of Bitcoin value. He mentioned that many believe Bitcoin was only valuable because of the energy it uses in creating blocks. However, the notion is as wrong as the defective Marxian fallacies.
In the recently published post on Medium, Craig Wright wrote, “It is not the creation of a thing that adds value, but the subjective demand for it.” He mentioned that there was an infinite amount of labor and added, “…more the number of individuals there are, there will always be more to do.”
He further used the argument against government regulations. He explained, regulations impose more barriers to the entry into the markets, making business more capital intensive. It would result in big corporations and companies removing the small entrepreneurs from the market forcefully.
It would be affecting the small businesses who are innovative as it would become necessary for them to compete with the larger businesses. He added, “You create a better mousetrap or a more cost-effective process.”
Craig believes that regulations discourage innovation and entrepreneurship by setting rules. As regulations are reactionary, the emerging market rules would change frequently just like common law. It means that the laws are not flexible but would remain rigid till the point it’s broken or replaced.
Craig further explains it by stating that highly paid corporate CEOs are recruited to make wine using 14th Century methods and paid well for it. He believes that it is the same like spending a huge amount of money to create a system that is not valuable and would eventually become a Ponzi scheme.
According to him, "In the case of wine, we have expended a large amount for something few if any would desire. In the case of Bitcoin Core (BTC), we have a speculative gambling asset, a Ponzi that is designed to pump until, well, it doesn’t. He added that on the other hand, Bitcoin Cash [BCH] is a P2P cash system focusing on solving the problem of double spending. He stated, “It doesn’t save the world, it’s just a system of money that is difficult to demure. That may not be enough for you, but, to some of us, it is all there needs to be.”
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