Jack Dorsey, the CEO of Twitter, had previously praised bitcoin on several occasions. He even regarded it as the currency of the internet. Recently, endorsing the world’s largest cryptocurrency by market cap, Dorsey straightforwardly shared his views against Facebook’s crypto endeavor, Libra.
Apart from choosing bitcoin over Libra, the CEO was quite aggressive to show no interest at all for being a member of the Libra Association in the future. As several members of the Libra Association, an authority that will be looking after Libra, departed their ways by abandoning the association, the inclusion of a new member could be favorable for Libra. However, responding to the possibility of Twitter joining the association, Dorsey replied “Hell no”.
Would Twitter join the Libra project? “Hell no,” Jack Dorsey says. “Nothing within Libra had to be a cryptocurrency to do what they wanted to do.”
— Alex Weprin (@alexweprin) October 24, 2019
Speaking at the Twitter News Summit in New York, Dorsey added:
It (Libra) was born out of a company’s intention, and it’s not consistent with what I personally believe, and what I want our company to stand for.
Although both, bitcoin and Libra, are categorized as cryptocurrencies, they both have several subtle differences. While the former is a truly decentralized digital asset, the later is a more of a centralized asset.
Bitcoin, introduced to the world over a decade ago by Satoshi Nakamoto, has no central authority or third party. It was created to ease peer to peer transactions and that’s why it doesn’t require any supervisory authority to authenticate transactions.
On the other hand, Libra will be controlled by the members of the Libra Association. Although Facebook itself will not be making decisions related to Libra, members of the association will have full say and control over Libra. This explains why Libra, unlike bitcoin, is centralized cryptocurrency.
Besides, the prices of both cryptocurrencies are dependent on very different factors. As Libra is expected to be a stablecoin pegged to several fiat currencies, its value is dependent on the performance of underlying currencies. But bitcoin being a truly decentralized digital currency obeys the fundamentals so the price of bitcoin is dependent on its supply and demand.
In his latest take, Dorsey has confirmed once again that for him no other crypto can stand next to bitcoin. Stating bitcoin as capable of being internet’s currency, Dorsey concluded:
I think the Internet is somewhat of an emerging nation-state in almost every way. It almost has a currency now in the form of cryptocurrency and bitcoin.