“Right now, we see that Bitcoin and some other cryptocurrencies are very valuable as a store of value. However, barter transactions are expensive and not good for the environment.
If the swap mechanism is less expensive and more environmentally friendly, you will see that we turn to cryptocurrencies more. So we are definitely watching cryptocurrencies and Uber will definitely support cryptocurrencies in the future when the time comes.”
..............Dara Khosrowshah, CEO UBER
The statement above has been declared as the most positive and a game changer news for Bitcoin and cryptocurrencies. Well that's not subjectively true as the remarks show lots of 'ifs and buts' and sounded like another 'Hamlet' who knows nothing but 'To be or not to be'. The statement should be taken as a diplomat's answer that accepts and denies at the same time. Let's take a deeper look why Uber CEO's remarks about Bitcoin and Cryptocurrency payments are false and baseless.
'Barter transactions are expensive' and they are expensive compared to Visa payments. No, They aren't. While visa charges anywhere between 1.25% to 2.5% per transaction as fees, Bitcoin charges near to nothing almost 0.0001$ every transaction irrespective of the transaction amount. Of course Uber CEO has never ever listened about 'Bitcoin Lightning'
Additionally his comments show a lack of understanding about the bigger picture of cryptocurrencies and the blockchain economy. The truth is, Bitcoin and other digital assets are evolving quickly, and companies that dismiss them outright risk missing opportunities and getting left behind.
Cryptocurrencies aren't just about faster payments, they're building an entirely new financial system. One that cuts out middlemen, lowers fees, and gives more control to individuals. As the technology improves, crypto transactions will only get faster, cheaper, and more scalable.
Barter Transactions are not good for the environment. Uber's CEO failed to see the forest for the trees on this one. If Bitcoin barter transactions are not good for the environment so are visa transactions. While Visa can boast of its way less energy consumption to that of Bitcoin's, but what about the entire system of banks, servers and ATM's which is required if Visa needs to function. Are banks, Servers or ATMs run without consuming power?
Take a look at how one Xtwitter (what should we call it now?) user reacts to the comments of Uber CEO
The entire banking system on the globe uses 56 times more electricity than Bitcoin. According to a
suggests that Bitcoin hardly uses 0.5% of total electricity consumption.
Again Bitcoin lightning has crafted a solution for higher energy consumption which is still less than banking system alongwith Visa payments. In simple terms Bitcoin lightning works on off chain payment settlement and does not require additional computational power consequently making it way more energy efficient than any other mode of transaction.
Okay, so the Uber CEO clearly isn't up to speed on how Bitcoin and cryptocurrency payments really work. His 'Hamlet' comments show a lack of understanding about the innovation happening in this space. Bitcoin transactions are actually faster and cheaper and way more environment friendly than credit cards for many businesses and customers. While Uber may not be ready to accept crypto payments today, the future is digital, and cryptocurrency is here to stay. Instead of delaying it, smart companies act fast see the opportunities ahead. Bitcoin and cryptocurrency payments are the way ahead, it's just a matter of time when Uber CEO implements them.
Finally I leave you with a news that made headlines in November 2021
Visa Tumbles on Amazon Ban in U.K. as Fight on Card Fees Expands
Thanks for Reading
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