Fred Thiel, CEO of the Bitcoin mining giant MARA, recently asserted that Bitcoin's opportunity to become a mainstream payment method is over. He pointed to Bitcoin's notorious price swings as a major obstacle for its use in everyday commercial transactions, especially those involving high volumes.
Thiel highlighted that Bitcoin's network struggles with low transaction throughput and high fees, making it unsuitable for fast, affordable payments. Instead, he expects stablecoins to take center stage in crypto payments linked to emerging technologies like AI, where stability and low costs are critical.
Why Bitcoin Can't Compete in Payments
According to Thiel, Bitcoin was never designed to handle the scale and speed required for mass adoption in retail or business payments. The network's congestion and volatility create unpredictability for merchants and consumers alike. This reality has pushed many players to explore alternatives that offer price stability and cheaper fees.
His views come at a time when the crypto market is increasingly focused on utility beyond speculative trading. As stablecoins quietly expand their roles, evidenced by their growing integration into AI-related applications, Bitcoin’s role as a digital gold rather than a payment token seems cemented.
For those interested in crypto investment strategies, recent developments such as Tether's expanding portfolio demonstrate how major players adjust to market demands, favoring assets with less volatility.
This material is for informational purposes and does not constitute financial advice.
