Ethereum Developer Sparks Debate by Calling Bitcoin Blockchain "Broken"

Ethereum Developer Criticizes Bitcoin Blockchain

Justin Drake, a prominent Ethereum developer, has labeled the Bitcoin blockchain as "broken" in an article published on BTC-ECHO. He argues that Bitcoin's Proof-of-Work (PoW) system is outdated and vulnerable to state-level attacks from countries like China or Russia. Drake suggests that such attacks could be executed with relative ease, jeopardizing the network's security. He advocates for a modernization of the Bitcoin network, though he acknowledges that this would face significant resistance. Anatoly Yakovenko, co-founder of Solana, disagrees, stating that Bitcoin is already moving towards a Proof-of-Stake (PoS) system. Source: BTC-ECHO | Bitcoin & Blockchain since 2014 (https://www.btc-echo.de/news/ethereum-entwickler-meint-die-bitcoin-blockchain-ist-kaputt-201067/).

CleanSpark Reports Strong Financial Performance

CleanSpark, a U.S.-based Bitcoin mining company, has reported impressive financial results for the fourth quarter of 2024. According to BTC-ECHO, the company achieved a revenue of $162.3 million, marking a 120% increase compared to the previous year. CleanSpark's net profit soared to $246.8 million, a significant jump from $25.9 million in the same period of 2023. The company highlighted its ability to mine Bitcoin at a cost of $34,000 per coin, well below current market prices. CFO Gary Vecchiarelli emphasized that CleanSpark has overcome the challenges of the Bitcoin halving and now holds over 10,500 Bitcoins in its treasury, all mined within the U.S. Source: BTC-ECHO | Bitcoin & Blockchain since 2014 (https://www.btc-echo.de/schlagzeilen/cleanspark-warum-zu-den-aktuellen-preisen-kaufen-wenn-wir-bitcoin-fuer-34-000-dollar-minen-koennen-201221/).

Riot Platforms Achieves Record Bitcoin Mining Output

Riot Platforms has announced a record-breaking Bitcoin mining output for January, producing 527 BTC, the highest monthly figure since December 2023. According to Investing.com, this represents a 2% increase compared to the previous month. Despite challenges such as rising network difficulty, Riot Platforms managed to outperform other major miners like MARA and CleanSpark, which reported declines of 13% and 6%, respectively. The Bitcoin network's mining difficulty is expected to reach a new high on February 9, 2024, surpassing the current record of 108.11 trillion. Source: Investing.com Deutsch (https://de.investing.com/news/stock-market-news/riot-platforms-aktie-steigt-nach-rekordbitcoinmining-im-januar-93CH-2867944).

CleanSpark's Revenue Growth Driven by Lower Costs

CleanSpark has reported a 120% increase in revenue for the December quarter of 2024, reaching $162.3 million. According to IT BOLTWISE, the company's profitability also surged, with net income rising to $241.7 million compared to $25.9 million in the previous year. The company attributed this success to reduced mining costs, which dropped by 6% to $34,000 per Bitcoin, and higher Bitcoin prices, which exceeded $100,000 during the quarter. CleanSpark added over 1,000 BTC to its treasury, ending the quarter with 10,556 BTC. Source: IT BOLTWISE® x Artificial Intelligence (https://www.it-boltwise.de/cleanspark-verzeichnet-120-umsatzwachstum-dank-verbesserter-bitcoin-margenkosten.html).

Cryptocurrency Market Shows Resilience

The cryptocurrency market has shown a slight recovery despite a 0.9% drop in global market capitalization, which now stands at $3.35 trillion. IT BOLTWISE reports that Bitcoin rose by 1.8% to $202, while Ethereum increased by 1% to $2,791. Foundry, the largest Bitcoin mining pool, announced the integration of Rootstock, a Bitcoin sidechain, which is now secured by over 740 exahashes per second. This represents approximately 80% of Bitcoin's total mining power, significantly enhancing the sidechain's security. Source: IT BOLTWISE® x Artificial Intelligence (https://www.it-boltwise.de/krypto-markt-zeigt-aufwaertstrend-trotz-handelsrueckgang.html).

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Article Summary

Ethereum developer Justin Drake criticized Bitcoin's Proof-of-Work system as outdated and vulnerable to state attacks, while CleanSpark reported a 120% revenue increase due to lower mining costs. Riot Platforms achieved record Bitcoin production in January despite rising network difficulty, showcasing resilience alongside the broader cryptocurrency market recovery.