President Donald Trump’s unnerving tweets on Bitcoin and Libra has turned into the point of attention. In the most recent meeting with CNBC, Morgan Creek’s Anthony Pompliano mocks at Trump’s tweet and expresses that “Bitcoin has no CEO to send letter for a hearing”.
Libra v/s Bitcoin
Popularly known “Pomp” examined at the CNBC’s Squawk Box about Trump’s terminating Bitcoin tweets where the president says he isn’t a devotee of Bitcoin and Libra must pursue banking regulations. Alluding to president’s note on Bitcoin and Facebook’s Libra, Pomp says
“With Bitcoin, there is no CEO”. As earlier, US’s congressional committee sent a letter to Facebook CEO and other two key leaders behind Libra cryptocurrency to attain the clarity and company’s plan behind Libra, Pomp quickly notes that “There’s no headquarter, You can’t send a letter or send somebody in for a hearing”.
Pomp further contrasted Libra and the episode of Napster, a software that permits free downloading of music files which got shut back in July 2001 because of the claim against CEO/founders of Napster. He says something very similar is going on with Facebook over its Libra dispatch.
“Napster is very similar to what Libra is experiencing now..there’s Facebook to go after, there are other corporations that are participating that you can pressure and regulate.”
With that, he kept accentuating the decentralized feature that Bitcoin conveys, he says;
So I feel that the totally decentralized nature of the asset is the thing that makes it so convincing to individuals and we’re seeing that sort of play out the present moment, Pomp said. It’s truly featuring the magnificence of Bitcoin.
Yesterday Was a Big Day
While discussing the Govt’s perspective on regulating monetary policy, Pomp thinks until there’s 51% of individuals that consents to change the present algorithm, money related approach, it wouldn’t change and he includes that ‘it won’t occur”. Yet, conversely, bitcoin itself has developed in such a decentralized fashion, that “It is simply too big to fail at this point”.
Clarifying the revolution of Bitcoin and current monetary policy, he gave an example of Amazon revolutionizing the retail industry.
” I think policymakers are not going to want to destroy it either or prevent ownership of it either as they finally understand that you could take the friction of transferring money to whomever you can take it to zero.”
He further notes “Yesterday was such a big day” – wherein Federal Reserve Chairman looked at the multi-trillion-dollar asset, Gold which is the a huge number of years old resource with a billion-dollar resource Bitcoin which is only ten and a half years asset. Most importantly, President chimes in on the same day are much the same as good to beat all.
“I think that what we’re seeing is a shift in what we trust. Do we trust humans or do we trust the algorithm?”