The report of DeFi, Ethereum, and decentralized exchanges have been taking over the crypto industry lately.
Information about institutional investors becoming Bitcoin HODLers, such as MicroStrategy, has been overtaken by the latest movements of the DeFi tokens, especially the Sushiswap (SUSHI) token, has been grabbing the spotlight in the crypto community. Blockstream’s CEO Adam Back, as a firm supporter of Bitcoin, recently criticized Sushiswap (SUSHI), Ripple (XRP), and Litecoin (LTC).
He tweeted that Sushi is a Ponzi scheme,
He also tweeted about Ripple:
He bashed Litecoin :
In his perspective, Bitcoin is the king of all cryptocurrencies, and other altcoins are just shitcoins. Adam Back has a strong research background and invented the hashcash proof-of-work (PoW) algorithm in 2002. In his paper “Hashcash – a denial of service counter-measure,” a PoW system was introduced to prevent or relieve email spam and DDOS attack.
Bitcoin’s whitepaper cited his report. The whitepaper says, “we will need to use a proof-of-work system similar to Adam Back’s Hashcash.” His name was even connected to the real Satoshi Nakamoto. The Blockstream project was based on Bitcoin’s codebase, with a vision “to create the financial infrastructure of the future.“
Adam Back’s comment about Litecoin did not come as a surprise. Litecoin was described by its founder Charlie Lee as “silver to Bitcoin gold.” Litecoin’s protocol was forked from the Bitcoin codebase and had a few revised parameters. Litecoin has not had many breakthroughs nor innovations, and Lee even revealed that he sold all of his Litecoin holdings in 2017.
Ripple’s initial goal is as the gateway of banks to replace the SWIFT protocol for interbank message exchange, which was created in the 1970s. The logic behind Ripple was to use its native coin, XRP, as the medium of exchange of money between banks.
The total supply of XRP is 100 billion, and at press time, according to CoinGecko, the market capitalization of XRP is $10.77 billion. As reported recently by CNWN, Ripple unlocked 1 billion XRP from escrow, valuing over $280 million, increasing its liquidity.
Is Adam Back’s tweet about Sushiswap accurate?
There has been significant criticism around Sushiswap, which recently forked from the DeFi protocol Uniswap.
Many questioned SushiSwap’s security while others questioned its token models. Is the description of Adam Back about SushiSwap accurate? But what is true is that its surprising wealth creation could lure joiners from those behind the SushiSwap project and human greediness.
Recently, it was reported that Sushiswap’s founder transferred control of the project to FTX’s CEO. The stories about Sushiswap have not come to an end, and the trend of decentralizing exchanges and trade is just the beginning.
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