Ethereum has come under fire from Bitcoin maximalist and former MicroStrategy CEO Michael Saylor, who compared the network to Luna, which tragically collapsed in May 2022. The effects of the crash continue to haunt the broader crypto market, with many playing a role in the crash. Notable Crypto Companies Now, Saylor has pointed the finger at proof-of-stake (PoS) networks like Ethereum with the potential of infamous Terra-like crashes.
Will Ethereum Break Like LUNA?
In a Twitter post, the former CEO of MicroStrategy highlighted that Ethereum is at risk of seeing a LUNA-level event. This argument basically compares Bitcoin to other cryptocurrencies like Ethereum, which Siler believes is unstable.
The tweet included a link YouTube video Trader University explained why the Ethereum blockchain and PoS network might be in trouble. This highlights that the Ethereum network relies on stacked ETH. However, Matthew R. Kratter highlights that once the withdrawal code is available, if the price of the cryptocurrency falls further, more users will be inclined to get rid of their coins.
At the end of the video, Crater calls for regulators to determine whether PoS networks like Cardano and Ethereum are at “disastrous risk of exploding.” This is an attempt to prevent another Luna collapse-like event.
Sailer later compared the network to Bitcoin in his tweet, saying, “Bitcoin is designed to be stable, robust and increasingly secure and efficient over time based on proof-of-work and ASIC technology advances.” In contrast, he added, “proof of stake protocols are inherently unstable, inefficient, opaque, and dangerous due to their fragile design.”
ETH takes a dive as speculations gain momentum | Source: ETHUSD on TradingView.com
drawing the ire of supporters
Michael Sailer has always been a vocal Bitcoin maximalist, favoring the pioneering cryptocurrency over everyone else in the space despite their performance. This isn’t the first time Saylor has dissed Ethereum, but his latest effort has drawn the ire of ETH supporters.
One user points to MicroStrategy’s bitcoin investments made under his leadership. At current prices, the company is experiencing an unrealized loss on its BTC holdings, whereby a similar investment in ETH would have resulted in a profit for the company and passive income if the coins had been staked.
lol Saylor…what a big mistake you made… pic.twitter.com/KvGg65nRfw
— $ETH 🚀🦇🔊 (@Dark86268590) December 14, 2022
Nevertheless, Sailer remains an ardent supporter of Bitcoin and his Twitter page is proof of this. One of his recent tweets included an image of a Bitcoin lightbulb with the caption “Bitcoin Eternal Light.”
#Bitcoin eternal light. pic.twitter.com/4Ht8EgpXkC
– Michael Saylor⚡️ (@saylor) December 14, 2022
Featured Image from Coingape, Chart from TradingView.com