Co-founder Dumps Bitcoin For Bitcoin Cash

Galtero Lara
Diciembre 20, 2017

ONE of the world's top Bitcoin entrepreneurs has flogged all his cryptocurrency. However, the co-founder and CTO of the website, Emil Oldenburg, a Swedish native, is not very hopeful about bitcoin's future.

"I would say an investment in bitcoin is right now the riskiest investment you can make".

In an interview with Swedish tech site Breakit, Emil Oldenburg revealed that he is selling all of his bitcoins and replacing them with Bitcoin Cash.

Oldenburg said despite the massive influx of investors pushing up the price of bitcoin, the vast majority had not experienced the low user-friendliness, high fees and long wait times - because most had only bought bitcoin, but never sold or traded the currency. According to some estimates, the cost of a Bitcoin transaction doubles every quarter, and each transaction needs over four hours on average to get approved in the blockchain. According to a report from Ars Technica, bitcoin transaction fees recently reached as much as $26 per trade. was founded in 2011 and offers investors services such as a Bitcoin exchange, a digital wallet, Bitcoin gambling and online forums.

The website has tens of millions of unique monthly visitors and has their biggest revenue stream in the bitcoin mining pool where new units of cryptocurrency are forged and released to the market.

Oldenburg, Swedish by nationality and based in Tokyo for three years now, said that company members have benefited greatly from the Bitcoin price jump as all 60 employees are paid in Bitcoin, including himself. Even on a personal level.

There's a big reason for that switch, and it's all about the market liquidity - or lack thereof - of bitcoin.

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Bitcoin cash is a "hard fork" in the cryptocurrency which took place in August this year which split it off from the rest of currency in an aim to make it more usable. "As soon as people realize that this is how it works, they will start to sell".

Joseph Stiglitz, a Nobel Prize-winning economist, said while digital currency was a good thing, the lack of regulation around Bitcoin means it should be outlawed. The problem is that you can only make a limited amount of transactions per second, which depends on the formation of the memory block size that store the transactions.

As well as this, it appears that bitcoin transactions can be particularly tricky to handle - another reason why Oldenburg has made a decision to sell.

"They see bitcoin like digital gold and a technical experiment, not something you should actually use". Ver has thrown his clout behind Bitcoin Cash. There it only costs 10 öre ($0.02) to send and no waiting times.

He does believe, however, that Bitcoin cash is the way forward.

"It's a group of fanatic bitcoin Talibans who themselves do not use bitcoin everyday [who] want it like this", Oldenburg said.

"Not as long as the network is run by this group of people [in the old network]", he told Breakit.

"The old bitcoin network is virtually unusable", he said, adding: "It's at bitcoin cash that the solutions are, that's where I see a future".

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