HashKey Chairman Sees Ethereum as Blockchain Leader, Criticizes Bitcoin

Ethereum logo on a blockchain background

Xiao Feng, the chairman of HashKey Group, a Hong Kong-based blockchain investment firm, has predicted that Ethereum will continue to lead blockchain technology innovation in 2024, while Bitcoin can only succeed if it follows the basic characteristics of the decentralized network.

The Most Innovative and Influential Blockchain Platform

In a statement published on the HashKey website, Xiao said that Ethereum is the most advanced and versatile platform for building various blockchain applications, such as decentralized finance, non-fungible tokens, and metaverse. He praised Ethereum’s recent upgrade to a more energy-efficient and scalable system, and said that Ethereum is the core force driving the blockchain sector forward.

“Ethereum is the most innovative and influential blockchain platform in the world. It has the largest and most active developer community, the most diverse and rich application ecosystem, and the most advanced and mature technology architecture,” Xiao said.

Bitcoin’s Deviation from Original Vision

On the other hand, Xiao criticized Bitcoin for deviating from its original vision of being a peer-to-peer electronic cash system, and becoming more like a digital gold or a store of value. He said that Bitcoin’s high transaction fees, low throughput, and environmental impact have limited its utility and adoption. He also implied that Bitcoin’s current trend of inscription, or adding more information to the blockchain, is against the principle of transparency and permissionlessness.

“Bitcoin is losing its essence as a decentralized network. It is becoming more centralized, more opaque, and more exclusive. It is no longer a peer-to-peer electronic cash system, but a digital asset that only serves the interests of a few,” Xiao said.

A Support for Ethereum

Xiao also said that blockchain is driven by developers rather than consumers, and that blockchains that gain more developer support can be successful. He cited Ethereum’s large and active developer community as an example, and said that HashKey Group is committed to supporting Ethereum and other innovative blockchain projects.

HashKey Group, founded in 2018, is one of the leading blockchain investment firms in Asia, with a portfolio of over 70 projects across various sectors and regions. Xiao is also the vice chairman and executive director of China Wanxiang Holding, and the chairman and CEO of Wanxiang Blockchain, one of the earliest advocates, investors, and adopters of blockchain technology in China.

“We believe that blockchain is the future of the internet, and that Ethereum is the future of blockchain. We are proud to be part of this revolution, and we will continue to invest in and support the best blockchain projects in the world,” Xiao said.

Author: Jinka

Jinka is a self-trained crypto journalist, passionate about happenings in the industry.