Samson Mow, former chief strategy officer at Blokstream and founding father of JAN3, thinks that many decentralized finance protocols can’t contend with Bitcoin with regards to supplying a highly effective financial network due to their insufficient decentralization.
As Mow stated, DeFi projects are controlled by entities that may customize the protocol when needed.
“Bitcoin, in the fundamental level, is money, and it ought to be immutable,” described Mow. “If you are able to change it out when needed, then you’re no much better than a fiat currency controlled by the Given.”
Bitcoin’s (BTC) decentralization causes it to be tough to modify its protocol, and that’s why Mow views it a distinctive candidate for being a truly global financial system.
Mow noticed that regardless of the immutability of Bitcoin’s first layer, developers can continue to build applications around the Bitcoin blockchain with its layer-2 scalability solutions.
Particularly, Mow is really a strong proponent from the Lightning Network, which enables immediate, cheap Bitcoin transactions. Your clients’ needs Lightning technologies, Mow is attempting to accelerate the road toward hyperbitcoinization — a scenario where individuals is going to be exchanging Bitcoin with no need to convert it into fiat currency.
“Lightning will displace Visa, Mastercard and anything else,” he mentioned. “And it cuts down on costs for retailers, meaning better experience and savings for consumers.”