The Quest for Universal Payment Protocol
David Marcus began his interview by highlighting a fundamental challenge in the digital era, which is the absence of a universal protocol for online money transfers. Unlike the traditional financial system, which relies on established protocols for currency exchange and international payments, the Internet lacks a standardized method for transferring money across borders.
Marcus asserted that Bitcoin, with its decentralized nature and growing global acceptance, holds the potential to fill this void and become the universal protocol for online money. He believes that Bitcoin’s unique properties, including its security and ability to function outside the control of any central authority, make it an ideal candidate for this role.
When asked whether the price of Bitcoin would rise if it became a widely used currency, Marcus offered a different perspective, stating that “Bitcoin is not the currency people will use to buy things.”
Bitcoin and the Lightning Network
However, he highlighted that a fragment of BTC on top of Lightning is like a small packet of data on the internet only for a value that can be exchanged on the network for cross-border transfer payments at a very low cost.
What distinguishes Marcus’ viewpoint is his appreciation of Bitcoin’s potential in conjunction with the Lightning Network. The Lightning Network is a layer-2 scaling solution that addresses Bitcoin’s scalability difficulties by enabling faster and cheaper transactions.
By leveraging the Lightning Network, users can send Bitcoin with significantly lower transaction fees compared to on-chain transactions. The Lightning Network also makes microtransactions more practical, opening up new possibilities for use cases such as online content monetization and pay-per-use services.
As the crypto ecosystem continues to evolve, Bitcoin’s adaptability and utility in various applications is becoming increasingly apparent. Whether as a store of value or a tool for cross-border transfers, Bitcoin’s impact on the financial landscape is undeniable, and its journey is one that continues to captivate the interest of investors and enthusiasts around the world.
The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.