Part 4/12:
In contrast, Kathy Wood remains more cautious, emphasizing that Bitcoin's current ecosystem and network security make it the premier store of value. She pointedly notes that Bitcoin's core layer handles approximately seven transactions per second, which raises questions about scalability but underscores its resilience and security, an aspect vital for its role as digital gold.
The Future of Proof of Work and Proof of Stake
A pivotal part of their debate involves the ongoing tension between Proof of Work (PoW) and Proof of Stake (PoS) consensus mechanisms. Tom Lee warns that as Bitcoin mining becomes more concentrated in corporate hands, it might face crises of decentralization, especially if mining rewards diminish, potentially leading to a shift or crisis of confidence.