On December 31, billionaire investor Mike Novogratz asked his Twitter followers which blockchain coin had the best chance of winning the payments race and came up with four choices. Novogratz said there were a lot of “suitors” and was featured on Facebook’s diem, tether, bitcoin cash and Circle’s popular stablecoin.
This week, Mike Novogratz asked his Twitter followers outside of diem, bitcoin cash, USDC and tether (USDT), which coin “has the best chance of winning payments?” Novogratz said that there were a lot of suitors and asked his followers to give him their opinion on which coin would dominate. The tweet received many responses and many promoters of crypto assets discussed Novogratz’s question and had a number of interesting theories.
“Diem has a Facebook network effect”, an individual replied. “But will be heavily watched by regulators. He should still be the # 1 candidate if FB delivers. The USDC should eventually take over as it is based in the US and less shady. Paypal could be a surprise challenger. Decentralized stable, like empty dollars, the person added.
“LINK will be the ultimate winner”, another person replied. “The platform winners are obviously ETH, maybe DIEM and looking for AVAX. 2021 will be the year of the stablecoins experiences, with the birth of several custodial stablecoins and a large amount of money earned and lost in algo stablecoins. USDT and USDC rule. “
Of course, a large number of Bitcoin Cash (BCH) supporters took notice of Novogratz’s tweet and discussed the benefits of BCH as a payment rail.
“Bitcoin Cash hands down – Many BCH projects have been funded,” Bitcoin Cash enthusiast Wizewizzz said tweeted in Novogratz. “[Five] development teams innovate on the scale-up front [and the] community focus on adoption [and] utility in the real world. BCH aims to be strong in peer to peer electronic cash – No other project comes close.
Jonathan Silverblood, developer of General Protocols replied to Novogratz and said that for payments, “the value should be stable by default.”
“This gives the USDC and Tether a clear advantage today, but it also has to be profitable,” added Silverblood. “For this reason, I think the winner does not exist yet. Among the current contenders, I work and believe in [bitcoin cash] BCH like the rails. In particular, I do this because they are focusing on the right use case and innovating in that particular area. “
There were also supporters of Bitcoin (BTC) who believe that BTC is a store of value (SoV), but that the Lightning Network (LN) can also serve as a payment rail.
“Not a coin. A protocol. The SoV it routes will be agnostic. Lightning has a good chance, ”famed data analyst Willy Woo tweeted to Novogratz in response to his tweet about payments.
However, a large number of crypto advocates have responded to Woo’s speculation and said that the LN can “only work with good UX if the crypto works like the gold standard, you have to trust the custodians.”
Someone else added: “[The Lightning Network] is not even immune to Flood and Loot attacks. Some people have also said that Layer 2 solutions will first be hosted on the Ethereum (ETH) network.
Many proponents of crypto-assets believe that if a store of value (SoV) like gold has a market cap of $ 9 trillion, the market for liquid payments is much larger.
Blockchain payment rails offering a reliable and inexpensive peer-to-peer electronic payment solution effectively target the global cash market or the global M1. Compared to the $ 9 trillion of precious metal gold, the $ 100 trillion liquid payments market is 1011% larger than the SoV.
What do you think of Mike Novogratz’s recent tweet about blockchain payment contenders? Let us know what you think of this topic in the comments section below.
Image credits: Shutterstock, Pixabay, Wiki Commons, Twitter,
Warning: This article is for informational purposes only. This is not a direct offer or the solicitation of an offer to buy or sell, nor a recommendation or endorsement of any product, service or business. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or allegedly caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.