Elon Musk on Bitcoin Decentralization: from Hero to Villain

Events in the blockchain and cryptocurrency ecosystem are as volatile as the prices of the underlying assets that make up the space. Elon Musk, the Chief Executive Officer of electric vehicle maker, Tesla Inc (NASDAQ: TSLA), who became a crypto hero and advocate back in February when the company announced it has invested as much as $1.5 billion in Bitcoin (BTC), has now turned into a villain and is being called out by the best brains in the digital currency ecosystem.

The buyup of Bitcoin by Tesla is one of the biggest institutional backings that pushed up the price and valuation of the premier cryptocurrency this year. Bitcoin gained as much as $400 billion in its market cap which surged from around $600 billion to $1 trillion following the bullish Tesla move. The company impressed the crypto ecosystem when it unveiled that Tesla products can also be paid for using the digital currency.

As if Tesla woke up from its slumber, the company through Musk revealed it will stop accepting Bitcoin for its product due to the asset’s energy requirements. The revelation has added to the unrecovered dip Bitcoin suffered following the impacts of the Xinjiang flooding back in April. It is perfectly the right decision as seen by many industry experts, as Tesla, a firm known to pursue energy sustainability will be out of track to back an asset that consumes as much energy through mining as some developed countries today. However, the move has caused investors around the world a massive loss.

Despite the obvious impacts of the move, Musk has been seen adding fuel to the fire to fan the flames of the hurt to investors around the world.

Elon Musk and Peter McCormack Bitcoin Showdown

In response to the energy use claims by Elon Musk, crypto investor and advocate Peter McCormack shared a Twitter thread explaining how the majority of the billionaire’s claims about Bitcoin’s decentralization are uninformed.

Peter defended the great attempts by Bitcoiners to keep the system decentralized at all times, a feature lacking in the Dogecoin model that Elon Musk is often caught shilling.

In a long Twitter thread, Peter wrote:

“Bitcoin is the only meaningfully decentralised cryptocurrency serving to solve problems caused by central banking. Decentralisation is key, it is being meaningfully decentralised which ensures that #bitcoin is robust, hard to change, and away from government control. It is this which gives us censorship/seizure resistant money which can’t be inflated. Bitcoiners work hard to keep as much of the ecosystem as decentralised as possible. It is why they have fought civil wars and maintained a set of very hard principles. It is this that protects the $billions you hold in #bitcoin.”

He also pointed out to Musk that Bitcoin has passed through similar “Civil Wars” in the past and won, and the digital asset will survive this current onslaught.

6/ I have been fortunate to talk to all of the smartest people in this industry. In 2017 #bitcoin went through a civil war over these specific issues and #bitcoin won. The market spoke and every fork has failed and failed miserably.

— Peter McObnoxious (@PeterMcCormack) May 16, 2021

In response, Musk said “Obnoxious threads like this make me want to go all in on Doge,” making observers assume he’s defiantly not sorry for the losses caused to many.

Elon Musk is definitely not people’s friend on Crypto Twitter at this time, but a few believe the very vocal billionaire and engineer may mean well for the space in subtle advocacy for clean energy adoption in mining Bitcoin and other cryptocurrencies.

At the time of writing, Bitcoin is down 8.10% in the past 24 hours to $44,455.36 according to CoinMarketCap.

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Benjamin Godfrey is a blockchain enthusiast and journalists who relish writing about the real life applications of blockchain technology and innovations to drive general acceptance and worldwide integration of the emerging technology. His desires to educate people about cryptocurrencies inspires his contributions to renowned blockchain based media and sites. Benjamin Godfrey is a lover of sports and agriculture.

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