Bitcoin Maxis vs. Multichains: Which is the future?

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Crypto is a fascinating world with thousands of coins other than Bitcoin. The decentralized finance of the crypto world offered by blockchain technology is a dynamic field that has attracted people with different interests, ideologies visions, and preferences. One of the most prominent debates that started after Ethereum was launched is still going on – and it probably won’t ever conclude. This debate is between Bitcoin Maxis vs. multichain supporters about the future mode of payment in the blockchain world.

The Origin of the Debate:

The idea of decentralized money of Bitcoin changed everything. Bitcoin is the money run and owned by the people whose value cannot be determined or controlled by typical governments. This initiated a chain of developments in blockchain technology and developers started to disrupt the features of blockchain.

Being the first crypto, Bitcoin has certain cons like scalability and validation. Bitcoin block time is 16 minutes which makes the use of Bitcoin as a payment option harder. It relies on the Proof of Work mechanism which means huge computational power is required to validate each transaction. A well-organized system of incentivization for the miners was in place, yes, but still, it is harming the environment.

Bitcoin is and was open source so developers started to come up with their own versions of cryptocurrencies on the blockchain that work on entirely different protocols.

They are faster, they are cheaper, they don’t require tons of electricity, and they are more scalable – except they are not Bitcoin. Therefore, each compromised one or more things to make itself more attractive. This is the origin of the debate between these cryptocurrencies and the original Bitcoin.

Who are Bitcoin Maximalists?

Bitcoin maximalists believe that Bitcoin is the only supreme digital asset required in the future and all other assets are just an attempt to copy it and unnecessary. Bitcoin is coined on the original philosophy of Satoshi Nakamoto and ideals of decentralization and a censor-resistant approach to sound money. Bitcoin has the ultimate security, is robust, and has an innovative approach. Sticking to the core principles, Bitcoin is the only cryptocurrency that has a future.

Who are Multichains?

Multichains are those who believe in diversity and scalable solutions other than Bitcoin. They believe that multiple blockchains can co-exist in a shared world and still have their separate value proposition and identity. They believe in variety and experimentation in the crypto space by allowing interoperability, collaboration, and choice. Multichain believers believe that the future is going to be a multichain world.

Bitcoin Maxims vs. Multichains: The Philosophy Advantages, Obstacles

Bitcoin maxims are the true believers of Bitcoin while multichain fans believe in a shared financial world. Bitcoin maxims even avoid applying the term crypto to Bitcoin as in the cryptocurrency world there are coins that are centralized and don’t fulfill the definition of crypto. Likewise, Multichain believers have tools and products that Bitcoin won’t be able to offer us otherwise.

What’s the difference in their philosophy what are the advantages of each belief and why they may be wrong, let’s find one by one – starting with the Bitcoin Maxims.

The Bitcoin Maxims Philosophy:

Bitcoin maxims follow the philosophy of the early Bitcoin adopters and advocates such as Satoshi Nakamoto, the anonymous creator of Bitcoin, Nick Szabo, the inventor of smart contracts, and Saifedean Ammous, the author of The Bitcoin Standard. The term “Bitcoin Maximalism” was coined by Vitalik Buterin, Ethereum co-founder in 2014.

A simple desire to support Bitcoin and make it better; such motivations are unquestionably beneficial...rather it is a stance that building something on Bitcoin is the only correct way to do things and that doing anything else is unethical. Bitcoin maximalists often use "network effects" as an argument, and claim that it is futile to fight against them.

Vitalik Buterin - Ethereum Co Founder

Bitcoin maxims believe in decentralization and the censor-resistance of Bitcoin. It is the most dominating cryptocurrency with the highest market cap. The scarcity and deflationary nature of Bitcoin make it the most attractive crypto. BTC maximalists believe in the 4 golden rules:

Advantages:

• Simplicity and clarity: Have a clear vision and avoid complexity
• Security and robustness: Enjoy the highest security and robustness.
• Innovation and improvement: Innovate and improve over time
• Core Values and Originality: Follow the core values and originality of Bitcoin.

Obstacles:

• Scalability and usability Issues: Face scalability and usability issues.
• Lack of Diversity and experimentation: Miss out on diversity and experimentation.
• Dogmatism and tribalism: Become dogmatic and tribalistic.
• Lack of Blockchain development tools: Lack of blockchain development tools.

The Multichains Philosophy:

The launch of Ethereum by Vitalik Buterin commenced a new race of altcoins. It was the start of all the other coins, NFTs, shit coins, and meme coins we have today. While multichain offered all the necessary development tools like EVM, it also plagued the blockchain world with scams and rug pulls. Many coins are just the hard forks or soft forks of the top altcoins delivering no intrinsic value. However, all these altcoins make it easier for the Bitcoin maximalists to win – and keep winning.

Multichains believe that they offer a more inclusive world of finance with diverse options and mature features. They offer development tools to mint NFTs, build dApps, Metaverse, and empower Web3.

Advantages:

• Variety and choice: Have a variety and choice of cryptocurrencies and projects.
• Innovation and competition: Foster innovation and competition in the crypto space.
• Interoperability and collaboration: Enable interoperability and collaboration of different blockchains and networks.

Obstacles:

• Complexity and confusion: Deal with the complexity and confusion of multiple cryptocurrencies and projects.
• Security and reliability: Encounter security and reliability issues with some of them.
• Fragmentation and dilution: Suffer from fragmentation and dilution of the crypto space.
• Scams and rug pulls: Beware of scams and rug pulls that may affect or disrupt the crypto space. 

Takeaway:

The takeaway from this debate is conditional depending on which side you are on and what your preferences are. If you are someone who needs Web3 tools for NFT Launchpad, Bitcoin might not be the best tool to help you. Likewise, for a blockchain game, you cannot use the Bitcoin network to empower your game due to scalability issues.