MARA CEO: Bitcoin's Use Case Has 'Seen Its Day Go By'
MARA CEO Fred Thiel stated that Bitcoin's use as a medium of exchange has 'seen its day go by.' He believes commercial transactions will be built on stablecoins, not Bitcoin. The current transaction fees are not taking over from the block subsidy as the network was intended to do.
Thiel argued that both sides of a transaction need to know the value of what they're trading. With thousands of transactions per second and thin margins, small price movements in Bitcoin distort the actual value received by each side.
The MARA CEO also highlighted the fundamental problem with Bitcoin: it doesn't generate any yield, so its value depends on more people wanting to own it than sell it. However, he noted that Bitcoin remains a store of value for holders who want assets outside central control and fully portable.