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Michael Saylor's comments on "regulated Bitcoin custody" criticized by Vitalik

Michael Saylor's comments on "regulated Bitcoin custody" criticized by Vitalik

CointimeCointime2024/10/23 11:22
By:Cointime

On October 23, according to The Block, Ethereum co-founder Vitalik Buterin recently criticized MicroStrategy founder Michael Saylor's views. Saylor said in a recent interview with the New Zealand Herald that concerns about using regulated entities to host Bitcoin mainly come from "paranoid cryptocurrency anarchists." He outlined the reasons why Bitcoin is a superior digital asset and store of value and advocated that it should be regarded as a "digital currency that is crucial to human progress." However, his views on regulated custody have sparked strong reactions within the Bitcoin community, especially from advocates of self-custody who have harshly criticized him, and some have even questioned whether Saylor truly understands the essence of Bitcoin.

In response to this controversy, Vitalik expressed his views on X platform. He bluntly stated, "I am happy to say that I think Michael Saylor's comments are absurd. He seems to explicitly support the use of regulatory capture to protect cryptocurrencies, but there are many precedents for the failure of this approach. I think this completely violates the core principles of cryptocurrencies." Vitalik's comments were in response to Casa co-founder and CTO Jameson Lopp. Lopp had previously warned, "Bitcoin self-custody is not a paranoid exclusive choice. Convincing people to trust third-party custodians actually brings many long-term negative effects." He emphasized that self-custody is not only crucial for individual Bitcoin holders, but also key to maintaining decentralization, enhancing network security, maintaining governance participation, and promoting continuous innovation and expansion without relying on third parties.

Unlike Lopp's views, Saylor advocates holding Bitcoin through regulated entities such as BlackRock, Fidelity, JPMorgan Chase, and DWS. He believes that doing so is not only safer, but also reduces volatility and risk of loss. Because governments and legislators have investments in these institutions, they are less likely to be targeted by government crackdowns than unregulated private entities.

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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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