Bitcoin's AI Security Debate Heats Up as Shapira Predicts Possible 50% Crash

Liron Shapira, host of the Doom Debates podcast, sparked debate when he predicted that Bitcoin's price could crash by over 50% within two years due to AI-assisted attacks undermining its security guarantees.

Vitalik Buterin, a prominent figure in the crypto space, responded directly and noted that about 90% of his net worth is already in crypto, essentially living the bet he made against Shapira's prediction.

Buterin distinguished between two categories of threats: those that can be addressed through software upgrades without touching Bitcoin's core rules, and a genuine break of SHA-256 or proof-of-work itself. He placed the probability of the latter in the 'tiny bucket' and noted that any fix would require a hard fork and broad consensus.

The discussion highlights the ongoing debate about Bitcoin's security in the face of emerging AI threats, with some arguing that market psychology is driving fears rather than actual risk.