Ethereum Is A Poorly Designed Copy Of Bitcoin, Says Self-Proclaimed “Satoshi Nakamoto” Craig Wright

News | February 19, 2019 By:

Craig Wright, the self-proclaimed creator of bitcoin, said that ethereum is a poorly designed copy of bitcoin that has no working proof of stake model.

In December 2018, the US Commodity Futures Trading Commission (CFTC) published a Request for Information (RFI) in the Federal Register to ask for public feedback on a range of questions related to the underlying technology, opportunities, risks, mechanics, use cases, and markets, related to ethereum. At the time, the agency said the input will advance the CFTC’s mission of ensuring the integrity of the derivatives markets as well as monitoring and reducing systemic risk by enhancing legal certainty in the market.

In his response to the RFI, Wright once again claimed that he is Satoshi Nakamoto, stating that he started the bitcoin project in 1997, which was filed with the Australian government in part under an AusIndustry project registered with the Department of Innovation as BlackNet.

“The amount of misunderstanding and fallacious information that has been propagated concerning bitcoin and any derivative system based on a blockchain (such as and including ethereum) has resulted in my choice to start to become more public,” Wright said. “The system I created was designed in part to end fraud as best as that can be done with any technology. The lack of understanding about the functioning of blockchains has resulted in widespread misinformation and a dissemination of old scams. Many of the formmer USENET and web IPOs scams have been propagated with the re-badging as an ICO.”

According to Wright, ethereum is flawed concept based on bitcoin and that bitcoin is capable of doing more than ethereum computationally.

“The concept is that all nodes equally run and computer software making it decentralized,” he said. “The reality is that this simply limits computation and stops scaling. The ethereum network has already reached its computational limits. As it scales, every user needs to be replicated by every other user. Bitcoin conversely can leave simple verifications on chain allowing a system that scales globally and delivering a distributed computational method.”

Wright further said that ethereum is effectively only being used to raise capital using illegal bucket shops that are designed in such a way that they can deceive non-technical parties.

“No technology released within ethereum for the provision of computation or ICOs has been created that did not exist prior and in a more effective manner before this network was launched,” he said.

The self-proclaimed Satoshi Nakamoto also questions the governance model in ethereum, stating that it is controlled by one central group who uses misleading statements saying that they are decentralized to cover up the fraudulent creation of a digital security.

“The original version of bitcoin does not fork the protocol, this is set an unalterable other than major security vulnerabilities,” he said. “The nature of any blockchain is of an immutable system and protocol. The bitcoin core (BTC) group has subverted this process in a vain effort to create an anonymous system allowing for dark market drug use and sale.”

Satoshi Nakamoto created bitcoin in 2008 and made it an open source in the year 2009. But Satoshi disappeared in 2010. In 2016, Wright identified himself as the pseudonymous creator of bitcoin and provided technical evidence that have been confirmed by prominent members of the bitcoin community, including Gavin Andresen, chief scientist at the Bitcoin Foundation, and Jon Matonis, one of the founding directors of the Bitcoin Foundation.

However, many remain skeptical of Wright’s claim of being the creator of bitcoin, with some calling him “serial fabricator” and a fraud. Jimmy Song, a popular bitcoin developer, said that he believes that Wright holds zero credibility to be Satoshi and no one should listen to his false claims. Song made fun of Wright by saying that he is just like a fat kid who falsely claims that have a pretty girlfriend.

Vitalik Buterin, co-founder of Ethereum, said that Wright presented a complex and bogus proof to the public to prove that he was Satoshi, adding that he believes that all the claims by Wright are false.