This is a great podcast and I enjoyed the discussion with Jeff of Dollar Vigilante. One of the interviewers - I think but maybe someone else - brings up three weaknesses of bitcoin (I'm paraphrasing his views):
- (Consumers) Can't spend bitcoins fast enough without introducing a centralizeable layer.
- (Producers) As soon as businesses get bitcoin, they have to cash into fiat for stability.
- (All) We have bitcoin exchanges and you can only keep bitcoin safely in a wallet and it's difficult for every day users to use bitcoin.
First, a business that sells bitcoin for the stability of the US Dollar is investing in a side of the pair (USDBTC) that has lost 99.9999% of its value since bitcoin began. The US Dollar is stable? Not measured in bitcoin terms! The US Dollar is only stable when measured by comparing it to some items. Even gold since 1971 has absolutely routed the DXY - the US Dollar index.
Second, I agree that bitcoin is facing a challenge of fast spends. This is a strength of Dash, though. And Dash, unlike Steem, does not have the inflation Steem does. Likewise, a 51% attack on Dash is a low probability since someone would have to spend a lot of money to do that - create over 2000 masternodes and vote against Dash's interests. It would make more sense to support Dash and more profitable.
Every cryptocurrency and crypto-asset are still being challenged on the security front. This is just as true for Steem as it is for bitcoin as it is for Dash.
I like Steem. I like Dash. And, of course, I like bitcoin. Still, there are not necessarily arguments in favor of Steem, so let's be careful about addressing what are weaknesses and strengths. Great interview overall and definitely worth everyone listening. I really liked the point where the issue of the owners owning a lot of Steem was addressed - it was their idea, so like Facebook or any other idea, they should own a lot of it. If people don't like that, they can always develop a better idea.
Update: to answer the below question:
I don't know much about Dash, but what's stopping someone from creating a bunch of nodes through cloud computing, buying a bunch of Dash over a long period of time, then shorting Dash on an exchange and attacking the network.
Excellent question because this is popular; unfortunately, someone asking this doesn't know just how expensive this would be. In order to bring down Dash, you would either have to buy a lot of Dash to create enough masternodes to do a 60% attack (note 51% wouldn't be enough due to how the voting system works), or you would have to convince the existing masternodes to do something stupid. There is a low probability of both.
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