BitMEX Research responded to Peter Schiff’s claim that Bitcoin’s recent fee increase was a “failure” and called into doubt the currency’s usefulness.
Peter Schiff, an economist, initiated a contentious discussion regarding the effectiveness of Bitcoin (BTC) as a digital currency after the fourth Halving event concluded.
Schiff delivered a vehement critique of Bitcoin’s escalating transaction fees and sluggish processing times on the social media platform X.
BitMEX Research, an affiliate of the well-known cryptocurrency exchange, refuted Schiff’s assertions.
BitMEX Counters Peter Schiff’s Outlook On Bitcoin Transaction Fees
Schiff raised concerns in a recent X post regarding the platform’s viability as a medium of exchange.
Furthermore, Schiff’s initial remark emphasized the exorbitant expense of finalizing a Bitcoin transaction.
He stated, “The cost to complete a #Bitcoin transaction is now $128, and it takes a half hour to process.”
Schiff reaffirmed his skepticism as the circumstances intensified, culminating in transaction times surpassing an hour.
He noted, “It now takes over an hour to process a Bitcoin transaction.”
Users, however, refuted these figures, stating that the typical Bitcoin transaction duration is between ten and twenty minutes.
Moreover, amid Schiff’s severe critique, BitMEX Research presented an opposing perspective.
By referencing Schiff’s tweet, BitMEX Research contested the economist’s claim regarding the “failure” of Bitcoin.
They argued, “The high $128 cost to send Bitcoin is an indicator of success, not failure.”
They compared the circumstance to an overcrowded restaurant.
Furthermore, BitMEX Research recognized that although the escalated fees indicate the product’s popularity, they may discourage utilization and impede its future adoption.
Peter Schiff Supports Gold Tokenization
Upon a Bitcoin supporter raising an inquiry regarding the secure international shipping cost of 1 pound of gold, economist Peter Schiff intervened to redirect the discourse.
Furthermore, he argued that these expenses are inconsequential in light of the functioning of gold as a medium of exchange.
Schiff contended, “That’s irrelevant. People aren’t using gold as a currency right now.”
On the contrary, Schiff proposed an alternative resolution by proposing the tokenization of gold using blockchain technology.
However, the economist posited that gold could be tokenized on a blockchain if desired. With minimal cost and near-immediate transaction times,”
Schiff further emphasized the potential advantages of tokenizing gold on the blockchain and the deficiencies of Bitcoin.
He stated, “Gold works much better on a blockchain than Bitcoin.”
Earlier, following the conclusion of the Bitcoin Halving event, Schiff published a sardonic remark that sparked controversy.
He remarked that the “Halving” of the net worth of Bitcoin investors is imminent, signifying the impending demise of BTC.
