Bitcoin (BTC) supporter and Microstrategy CEO Michael Saylor said he sees an altcoin project as a security.
Bitcoin (BTC) billionaire compares leading crypto to Cardano
In a recent interview posted on the Altcoin Daily YouTube channel, Michael Saylor claimed that Cardano and Bitcoin Blockchains are different. Saylor says in part of the interview:
In my opinion, Bitcoin is a digital commodity. All PoS networks are securities in my opinion. All of them are extremely dangerous. Authorities will decide whether to allow them to continue.
Why Michael Saylor thinks Cardano is a security
Then Saylor explains why he believes PoS projects like ADA are securities rather than digital commodities:
Basically the question is: “Can you build your network as a commodity network? Token is a liability if not a commodity. Without an issuer, an ICO, or a central authority, a network cannot be considered a commodity. On the other hand, if you look at Cardano’s history, it’s pretty obvious that it’s a security. It meets all requirements. So I’m not sure how you can rationally convince yourself that this is anything but a security.
Regardless of Cardano’s technical capabilities, Saylor warns that trading in unregistered securities could have legal ramifications:
But technology cannot save you. I suggest that technology is not an issue. Because in the end, offering a security to the general public without a disclosure statement will not exempt you from securities tax. The real issue will be how securities authorities will handle crypto networks built on security tokens. It’s not my job so I don’t know. I do not work in industry. I’ll let others handle it.
What is Cardano and why is it important?
Cardano is a Blockchain and platform designed to run decentralized applications via smart contracts. It is simply software that lives on the Blockchain. Cryptocurrencies with this feature are often referred to as “tier 1”. For example, Ethereum is also an L1 cryptocurrency (like Cardano).
Meanwhile, Cardano is preparing an upgrade that will significantly speed up the network. The Vasil hard fork will make the smart contract capabilities provided by Alanzo more useful. As Kriptokoin.com, we have prepared a detailed article for Vasil hard fork. The developers expect the upgrade to be released later this month.
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