Why I just sold some of my bitcoin
I want to air my thoughs and more specifically some of my concerns about bitcoin.
Shift in focus
When I first go into Bitcoin about 4 years ago in late 2013 the main topic of discussion was how to get more people using bitcoin and how to develop the tech. People seems to have forgotten about that. I see more articles in the national "economy" news site about bitcoin hitting new ATH than anything else. On most cryptosites most articles are about what is the next price or what famous person said what about bitcoin price.
This shift in focus is what makes me think that bitcoin is in a short-term bubble as everyone is in constant euphoria about a new ATH every 12hrs.
1MB blocks actually centralize a lot of risk
The latest debate and 2x hardfork (that got cancelled) was largely about making sure bitcoin stays decentralized. At least that's what was used as the main arguement. This is in my opinion total BS. Considering the rate of technology advancement (2x every 18-24months) you can argue that the 2x fork would make bitcoin as "centralized" as it was in late 2015 at worst. I cannot recall 1MB blocks being an issue back then.
In my opinnion the biggest risk to bitcoin atm is the centralized exchanges. High fees indirectly incentivizes people to hold their crypto on exchanges. This study shows that 69% of americans hold less than 1000$ in their bankaccounts. With fees averaging about 10$ it's not hard to see how the average joe wont "invest" in moving his coins from any of the exchanges to their own secure wallet.
The Mt. Gox "hack" has been one of the most destructive events in bitcoin history and imagine one of the big exchanges being hacked now, when all eyes are on bitcoin. The risk of this happening again and affecting all the recent adopters is much, much worse than risking the loss of a few nodes that cannot run 2MB blocks.
Lastly, there is always the threat of Bitcoin Cash outcompeting Bitcoin completly.
The combination of these factors makes me want to scale back my bitcoin ivestment and rather hold alts/USD for the time being. I hope people drop the euphoria and have a serious look at the issues at hand.
Thanks for reading!
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