In a recent interview, Ethereum’s co-founder Vitalik Buterin affirmed his thoughts on Bitcoin SV. Unequivocally calling the Bitcoin Cash fork a scam, he also had some concerns over Binance’s actions against the controversial clone.
Vitalik Buterin sat down with Youtuber Harcore Crypto recently to speak his mind on the recent Bitcoin SV (BSV) controversy. He left little room for confusion over how he really felt, referring to Bitcoin SV as a “complete scam.” However, when considered in a greater context, the picture becomes more complicated.
Buterin, BSV, and Binance
Back in April, a controversy ensued surrounding doxxing threats against a Twitter user known as HodlNaut by BSV founder Craig Wraight. The controversy caught the crypto-community by storm and led to Changpeng Zhao, the founder of Binance, taking a bold move and delisting BSV from its platform.
Much of the cryptocurrency space was thrilled by these actions. Buterin, however, says it demonstrated that Binance currently has too much power. According to Buterin, “There are arguments in favor of it, but then there’s also an argument that this is a centralized exchange that’s wielding a lot of power.”
Exchanges and Their Influence
It’s no surprise that exchanges have become some of the most influential players in the cryptocurrency space. Not only are they responsible for providing liquidity for the market, but many are now hosting their own Initial Exchange Offerings (IEOs). That gives an exchange a tremendous amount of power, as they pick and choose which coin will be listed (and likely pumped).
The entire operation is shady, at best. Binance may seem like the savior in this situation by delisting a clear scam like Bitcoin SV, but it points towards a deeper problem — centralized exchanges have too much power. Ultimately, the fact that the cryptocurrency market needed Binance to save it from Bitcoin SV shows the infancy of the space.
Do you believe Binance has too much power over the market? Let us know your thoughts in the comments below.