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Cryptocurrency News Articles

Bitcoin Educator Anita Posch Warns of the Centralization Risk Posed by Governments and Corporations Setting up Bitcoin Treasuries

Dec 12, 2024 at 02:30 pm

The concerns were in response to Michael Saylor's suggestion that the U.S. should quadruple its planned strategic reserve and exert influence

Bitcoin Educator Anita Posch Warns of the Centralization Risk Posed by Governments and Corporations Setting up Bitcoin Treasuries

Bitcoin educator raises concerns about centralization risks as U.S. officials eye large BTC purchases.

Bitcoin (BTC) educator and founder of non-profit organization Bitcoin for Fairness, Anita Posch, has expressed concerns over the centralization risks posed by governments and corporations setting up bitcoin treasuries.

Posch shared her thoughts in a post on X on Monday, prompted by a recent suggestion from Microstrategy Chairman Michael Saylor that the U.S. government should buy “20 or 25 percent of the Bitcoin network” and “catalyze” its development.

Saylor made the comments during an interview with Yahoo Finance last week, where he also discussed Republican Senator Cynthia Lummis's plan to have the Trump administration purchase one million bitcoin (BTC) — roughly 5% of the total supply. Saylor's suggestion would quadruple that amount.

“Bitcoin educator raises concerns about centralization risks as U.S. officials eye large BTC purchases,” reads a portion of Posch's post. “Governments or corporations holding large amounts of bitcoin could try to influence human consensus and change the code to their wishes.”

She adds: “And please stop with the idea that Bitcoin will end wars. It won’t.”

While Saylor never explicitly stated that Bitcoin will end wars, he did suggest that if the U.S. is able to influence the network in some way, countries like China and Russia would become less adversarial.

“Buy 20 or 25% of the Bitcoin network on behalf of the U.S. government, catalyze the development of that world reserve capital network, and then let all the Chinese and the Russians and the foreigners sell all their other assets and buy bitcoin,” said Saylor. “And then the money flows into the United States,” he added.

Bitcoin educator raises concerns about centralization risks as U.S. officials eye large BTC purchases

Posch's concerns aren't new and have been raised by several members of the Bitcoin community in the past. Similar warnings regarding oligopolies in bitcoin mining, BTC custody, and protocol development have also been issued.

As previously reported by Cointelegraph, Saylor's firm, Microstrategy, currently holds 423,650 BTC, which is more than 2% of the total supply. During the interview, he also stated that he plans to continue purchasing large amounts of BTC.

“I'm going to be buying more bitcoin. I'm going to be buying bitcoin at the top forever,” said Saylor. “I'm sure that I will be buying bitcoin at a million a coin, probably $1 billion a day of bitcoin at a million a coin.”

News source:news.bitcoin.com

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Other articles published on Dec 12, 2024