Elon Musk, the genius entrepreneur who brought us Tesla and SpaceX, is also a Bitcoin and Dogecoin enthusiast. The founder of these two currencies — Bitcoin and Dogecoin, respectively — is still unknown. However, Elon Musk might just have solved this mystery with his most recent interview.
Compared to Bitcoin, Musk noted Dogecoin’s lower transaction costs and its higher transaction volume.
Tesla CEO Elon Musk is known for his market-moving tweets about crypto and is often credited with some of Bitcoin’s price swings, even as the world’s most valuable crypto. A tech billionaire recently discussed Bitcoin, Dogecoin, and his guess on who Satoshi Nakamoto, the creator of Bitcoin, might be in an interview.
As previously reported, Elon Musk announced Tesla would stop crypto mining in May due to concerns over its environmental impact. The billionaire also discussed some technical obstacles preventing BTC’s use as currency in a recent interview.
Bitcoin’s current form has a fundamental problem in that its transaction volume is very limited, Musk told Lex Fridman in an interview. “The transaction confirmation time is too long, much longer than you might want. “It isn’t good from a latency or transaction volume perspective.”
However, Musk also acknowledged Bitcoin’s function as a store of value. “It is perhaps useful as to solve an aspect of the money database problem – which is the store of wealth or an accounting of relative obligations – but it is not useful as a day-to-day currency,” the billionaire explained.
Meanwhile, Musk pointed out that Dogecoin offers a significant advantage in terms of transaction volume over Bitcoin. “Part of the reason why I think there is some merit to dogecoin, even though it was obviously created as a joke, is that it actually does have a much higher transaction volume capability than Bitcoin,” he said.
Comparing Dogecoin to Bitcoin, it has lower transaction costs. “The cost of doing a transaction, the dogecoin fees are very low,” the Tesla CEO said. “Right now, if you want to do a Bitcoin transaction, the price of doing that transaction is very high, so you could not use it effectively for most things, and nor could it even scale to a high volume.”
As well, Musk speculated on the identity of Satoshi Nakamoto. “The evolution of ideas is pretty clear for that, and it seems as though Nick Szabo is probably more than anyone else responsible for the evolution of those ideas,” he said.