Cardano Founder Supports X Community’s Defense Against ECB
Cardano founder Charles Hoskinson has expressed his support for the X community as they push back against the European Central Bank’s skepticism towards Bitcoin. The X community responded to the ECB’s claims that Bitcoin is too costly and prone to illicit transactions.
The X community used data from a Chainalysis report to counter the ECB’s allegations, and Hoskinson praised their efforts, stating that “Community notes just murdered the ECB.”
The community notes highlighted that only 0.34% of cryptocurrency transactions in 2023 were linked to criminal activity, with Bitcoin’s involvement in illicit transactions significantly lower at 25%. They also pointed out that illicit transactions involving the Euro accounted for 1% of the EU’s GDP in 2010.
This defense is crucial as the ECB’s skepticism persists, despite recent positive developments such as the approval of Bitcoin ETFs by the SEC. The ECB cited the Chainalysis report and emphasized Bitcoin’s role in money laundering.
ECB Allegations Against Bitcoin
In its latest report, the ECB expressed doubts about Bitcoin, even after approving ETFs in Europe. The ECB highlighted Bitcoin’s shortcomings as a digital currency and investment, including its vulnerability to fraud and manipulation, high costs, slow transaction speeds, and limited utility for legitimate transfers.
This stance was disappointing for enthusiasts who were hopeful about a shift in perception following the launch of Spot Bitcoin ETFs. The ECB dismissed the approval of ETFs by the SEC as similar to “The Naked Emperor’s New Clothes.”
The regulators also mentioned that outside of criminal activities on the darknet, legitimate Bitcoin transactions are rare. Efforts to incentivize its use have not led to widespread adoption either.
Hot Take: Defending Bitcoin Against ECB Skepticism
The X community’s strong defense against the ECB’s skepticism towards Bitcoin is a significant step in promoting the legitimacy and positive aspects of cryptocurrencies. By using data from a reputable source, they have effectively countered the ECB’s allegations and highlighted the potential benefits of Bitcoin.
It is essential for the crypto community to continue advocating for cryptocurrencies and educating regulators about their advantages. The recent approval of Bitcoin ETFs by the SEC demonstrates progress, but there is still work to be done in changing perceptions and fostering wider adoption.
By standing up against criticism and presenting well-researched arguments, you contribute to the growth and acceptance of cryptocurrencies like Bitcoin.
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