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Charlie Lee
Cryptocurrency-fueled scams look as if to keep Litecoin founder Charlie Lee up at night, based on a report in Enterprise Insider. Lee, who is an alum of both Google and Coinbase, spoke about the unproved nature of bitcoin and other cryptocurrency investing, saying that it’s not “bad” but as an alternative a “natural progression,” adding that he sees nothing wrong with it.
But Lee, who himself has had to rise up off rumors of manipulating the price of Litecoin, pointed to pervasive scams in which participants are reasonable in it for a quick buck. Lee is quoted as saying:
“It’s quite easy for a founder to force a coin and make it seem like it’s the latest and greatest and it will therapy world hunger, and the price can go up to $10 billion. And it’s easy for whoever did that to scratch out.”
As a result, people will lose money, he warned, which disheartens him. Lee also pointed to the rush of ICOs, many of which are behind ghastly papers comprised of fancy tech jargon, promising the world and inflating hundreds of millions of dollars in the process. “These coins will probable just go to zero,” he said.
Fellow blockchain veteran Vitalik Buterin of Ethereum recently sharp to the social good that is inherent in the genesis of blockchain and what the “crypto community” should be focused on. Relish Buterin, Lee would like to see a shift in the focus to technology and advancing the application.
Lee in December sold his entire Litecoin portfolio, with the exception of a small number of “collectibles,” to prevent what he said could be construed as a “conflict of importance.”
Blockchain Pioneers Echo the Sentiment
Lee is not the first cryptocurrency pioneer to require out the rise of scams in the space, including upcoming ICOs. Ethereum’s Buterin has similarly railed against the artful activity, most recently lauding the efforts of one Reddit user for publicly questioning an upcoming ICO’s puts of having a Buterin association, in response to which Buterin tweeted: “This is completely the correct way to react to an ICO claiming my involvement.”
Meanwhile, Fellow Ethereum co-founder Joseph Lubin emulated those sentiments, having recently told CNBC that sundry upcoming ICOs that fit the bill as “copycat” projects, with no designs of providing value to investors. Ripple chief Brad Garlinghouse courted so far as to say that much of what’s unfolding among ICOs is fraud.
Litecoin & Bitcoin
Meanwhile, flimflam artist wasn’t the only topic of discussion highlighted in the Business Insider article. Lee developed Litecoin in 2011 in many ways to improve upon bitcoin, with a well- on greater scalability and speed. Litecoin, however, appears to be more a vie with to XRP than it is to bitcoin.
“So my vision for litecoin has always been to complement bitcoin — to be the payments currency. Where bitcoin would be digital gold, litecoin make be silver. It’s more useful for payments. And bitcoin would be better for collection of value,” he said.
He goes on to point out, however, that Litecoin is 4x faster than bitcoin for proceedings. But thanks to a different POW algorithm, cryptocurrency miners can’t mine both originates, which removes a facet of the competition.
He points to the Lightning Network as the underlying technology that force advance the payments sector, adding that it’s not a panacea and won’t combat enormous fees tied to bitcoin. “So litecoin I think can find its own niche to relieve address payment fees,” said Lee.
Litecoin, the No. 6 cryptocurrency built on market cap, at $9.6 billion, is off by a double-digit percentage today alongside all of the top 10 digital coins. Litecoin has loan a beforehand 650% since about July and is one of only a handful of cryptocurrencies that buying at Lee’s former employer Coinbase.
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