In an AMA (ask me anything) session on social media website Reddit on Wednesday, 28 Feb 2018, Microsoft founder Bill Gates shared his views on crypto currencies like Bitcoin.
“The main feature of crypto currencies is their anonymity. I don’t think this is a good thing. The government’s ability to find money laundering and tax evasion and terrorist funding is a good thing.”
“Right now crypto currencies are used for buying fentanyl and other drugs so it is a rare technology that has caused deaths in a fairly direct way. I think the speculative wave around ICOs and crypto currencies is super risky for those who go long.” Bill Gates said.
Our view: The main feature of crypto currencies is also low transaction costs and high speed transfers globally. While drug finance has been going on nicely even without crypto currencies, we agree that almost all ICOs are super risky, and their only goal is to make their promoter rich by cashing in on the hype. Even today, vast majority (over 95%) of crypto currencies don’t have a clear business model or use case. Investors must be very cautious when dealing with anything outside the top 10 crypto currencies. Bitcoin is the safest and most reliable crypto currency.