Bitcoin, Solana community calls out Coinbase CEO on crypto payment vision Bitcoin, Solana community calls out Coinbase CEO on crypto payment vision
Crypto leaders' spirited debate on the path towards a future where crypto payments are instant, free, and globally accepted.
2 min read
Updated: Jul. 27, 2023 at 1:23 pm UTC
Cover art/illustration via CryptoSlate. Image includes combined content which may include AI-generated content.
The vision for a future where crypto payments are instant, accessible, and global has ignited a spirited debate among industry leaders on the path toward achieving this goal.
As reported by Brian Armstrong, CEO of Coinbase, the crypto industry, including Coinbase, focuses on integrating layer 2 solutions, better on-ramps, and simpler user experiences to bring the cost of an average payment under one cent and the confirmation time under one second.
Armstrong asserted, “Payments are like water, they flow to the path of least resistance,” hinting at the competition among various blockchains to become the most attractive option for these transactions.
Coinbase announced its own Ethereum L2 in February, which uses ETH as its native gas token as a “modular, rollup agnostic Superchain powered by Optimism.”
Crypto leaders unite
However, Armstrong seemingly hit some nerves of the Crypto Twitter community, as he also commented,
“The next step for crypto is to make payments instant and free globally.
This will take lots of work from all of us, Coinbase included, getting layer 2’s integrated, better on-ramps, simpler UX/onboarding, etc.
A magic threshold would be getting the average payment under 1 cent and confirmed in under 1 second. I think we’d see orders of magnitude more payments move to crypto if we can achieve that.”
Block CEO Jack Dorsey advocated for Bitcoin and its layer-2 solution, Lightning Network, as a potential solution. He questioned Armstrong’s apparent omission of Bitcoin in his vision for the future of crypto payments.
However, disagreement with Dorsey’s perspective came from Anatoly Yakovenko, the founder of Solana Labs. He claimed that USDC on Solana is “cheaper and faster than Bitcoin and Lightning,” arguing that it’s the currency people globally want to use, with a median user confirmation time of just 1.3 seconds.
Other notable figures in the crypto space joined the conversation as Ava Labs Founder Emin Gün Sirer echoed Yakovenko’s sentiment, stating that instant global payments are also already possible with Avalanche with a “sub-second finality, lower fee” structure, and optimizations to make these payments more “composable and dynamic.”
In contrast, Michael Saylor, CEO of MicroStrategy, sided with Dorsey’s perspective, advocating for integrating Bitcoin’s Lightning Network. At the same time, Mike Dudas, Co-Founder of The Block, pointed out that Armstrong’s Coinbase runs the largest validator on Solana, where fast, affordable transactions are already possible, subtly indicating a potential conflict of interest.
The conversation, which continued within Armstrong’s thread, reveals an industry still grappling with the best path for advancing the global adoption of crypto payments. The bridge between technology and adoption remains unbuilt as the network effect of Ethereum seemingly stands in the way of the technological advancements on other chains.
Meanwhile, the competing claims of pivotal founders in the space present a landscape of dynamic and evolving options, striving to hit the sweet spot of speed, cost-effectiveness, and global acceptance for digital assets.
Mentioned in this article
Bitcoin 
Solana 
Optimism 
Avalanche 
Ethereum 
Coinbase 
Block 
MicroStrategy 
Jack Dorsey 
Michael Saylor 
Brian Armstrong 
Emin Gün Sirer 
Anatoly Yakovenko Author 
Liam 'Akiba' Wright
Also known as "Akiba," Liam Wright is a reporter, podcast producer, and Editor-in-Chief at CryptoSlate. He believes that decentralized technology has the potential to make widespread positive change.
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In this article
Bitcoin, a decentralized currency that defies the sway of central banks or administrators, transacts electronically, circumventing intermediaries via a peer-to-peer network.
Solana
$195.061
Solana is a high-performance blockchain platform that utilizes a unique consensus algorithm called “Proof of History” to achieve fast transaction speeds and low fees.
Optimism
$1.90994
Optimism is a layer-2 scaling network for the Ethereum blockchain.
Avalanche
$39.9525
Avalanche is an umbrella platform for launching decentralized finance (DeFi) applications, financial assets, trading and other services.
Ethereum
$3,480.34
Ethereum is a decentralized, open-source blockchain platform that enables the creation of smart contracts and decentralized applications (DApps).
Coinbase
Coinbase is a digital currency exchange and wallet service that allows individuals to buy, sell, and store digital currencies, such as Bitcoin, Ethereum, and Litecoin.
Block
Block (formerly Square) is a financial technology (fintech) company founded by Twitter Co-Founder Jack Dorsey and fellow entrepreneur Jim McKelvey in 2009.
MicroStrategy
MicroStrategy (Nasdaq: MSTR) is a worldwide leader in enterprise analytics and mobility software.
Jack Patrick Dorsey, born on November 19, 1976, is a testament to the American dream of innovation and entrepreneurship.
Michael Saylor is the Executive Chairman, founder, and principal shareholder of MicroStrategy.
Brian Armstrong, co-founder and CEO of Coinbase, stands at the forefront of the digital currency revolution.
Anatoly Yakovenko is the innovative mind behind Solana, a high-performance layer-1 blockchain.
