Charles Hoskinson known primarily as the co-founder of Ethereum and startup IOHK, where he leads research work on the cryptocurrency Cardano (ADA). However, in 2013, he became one of the Chairman of the education Committee of the Bitcoin Foundation, and founded the research group on the cryptocurrency.
In an interview with Bitcoin Magazine, Hoskinson said he still considers the bitcoin a series of experiments aimed at the implementation of two key conspici.
“Can we achieve decentralized forms of transmission of values or a kind of proto-money? Can we replace the Central organization that produces and creates a token, something like protected registry?” such questions are addressed, Hoskinson today.
According to him, in the early stages of the cryptocurrency it was not clear whether all will survive it or not.
“In fact, to come to what we today know and love as bitcoin, it took a few years. He had a huge volatility in price, trading volumes were just under a thousand dollars a day, and Hasrat jumped up or down. Someone could say that he doesn’t want mine, shut down your computer, and the network has lost 30% Hasrat”, says Hoskinson.
According to him, the change came in 2013 when the capitalization of bitcoin has reached one billion dollars and people began to perceive all this seriously. That’s when the industry came a large number of people, after which it became clear that bitcoin is not going anywhere.
However, the experiment with bitcoin continues, I am sure, Hoskinson, and not all questions were answered.
“At that time there were many issues that needed to perform carefully. We had to say, “Well, the concept is wonderful, but now let’s make it official. What no one bothered to adequately address these issues disappoints me the most,” he says.
As an example that is not subjected to sufficient analysis, Hoskinson leads UTXO wallets created by Satoshi Nakamoto about nine years ago.
“There were other things like network stacks or questions about what you need to sacrifice when you change the Protocol, for example in the transition from proof-of-work to proof-of-stake. How to avoid things like Sybil attacks and the like?”
According to him, no one has drawn conclusions from all these lessons. Moreover, the bitcoin today is increasingly prone to centralization.
“If you look at Hasrat and who controls it, in fact only 10% of the participants truly own the facilities. You can call it decentralization? Satoshi did an amazing thing, worthy of the prize of Touring, but no one had developed his idea. Instead, all rushed to use it [bitcoin]in the form in which it is. And as for Ethereum, we have retained the same mistakes and deficiencies relating to economic issues, proof-of-work,etc.” — said the head of IOHK.
Charles Hoskinson also criticized the so-called bitcoin maximalists and inherent, in his opinion, insufficient understanding of economic processes. While bitcoin maximalists believe that bitcoin is the limit of all that is the most important money, it tells a story that happened to him in 2014 in Toronto at a conference. There he met the current Director of information security Shapeshift Mike Percina, and together they decided to go on the barbecue.
“We went to some place to the devil to kulicke, and then we get the bill. And then Mike says: “I think bitcoin will rise in price, so I don’t have to pay, I’d rather use my credit card.” Then it became clear to me that it is not money. It is a means of preserving values.”
Hoskinson not miss the opportunity to criticize the ICO, however, suggested that the best projects will survive.
“Users throw money at everything, and many of the projects didn’t deserve it… it Was quite obvious that ICO-mania is counterproductive, and that the markets will collapse. Now, when that happened, people might start to think more rationally, and all the bad will be purged. Things with good potential, they will return to their historical heights and will be useful for the mankind”, — he added.
Recall, at the beginning of the year, Hoskinson said that he created the project Cardano has the potential to circumvent the competition as bitcoin and Ethereum.