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The original was posted on /r/nanocurrency by /u/Psilonemo on 2025-06-13 06:23:47+00:00.

My criticisms for BTC were always 4 things.

1. People may be ok with exposing their everyday microtransactions, but they would NOT be ok with exposing their net worth. Censorship resistance is great in theory, but as a store of value btc is becoming hotter to handle as more and more people’s digital identities get exposed online to criminals trying to rob whales of their btc. This includes the government. Hence the flight to things like monero.
2. The energy tax is too great. As people buying to BTC, they are unknowingly paying an energy tax. As miners get their block rewards they would have to sell off some of the BTC they mine to sustain their operations - most of these costs being energy consumption. Unless this current surge in demand for nuclear energy due to AI infrastructure expansions catches on and also lets BTC miners use nuclear energy, these expenses will grow out of proportion and continue to be paid for by market participants.
3. Mining centralization is inevitable because of what reason no.2 and the halving system. Every halving will price out more and more smaller miners. Only those with access to cheap limitless energy, security, and economy of scale will be able to mine. Eventually the endgame would see only a few mining entities left, exposing the BTC total hashrate to more than 50% control under one entity. Even if it’s a 1% probability, this would be enough to warrant fear and uncertainty, a breakdown of trust.
4. Transaction fees are not enough. Right now transaction fees account for about 10~15% of total mining revenue. The only way this becomes enough to cover for operation costs and then have profitable spread is global energy costs continue decreasing, rather than decreasing.

I personally believe that even if BTC survives as a store of value, things like XNO would still shine as the more practical utility when it comes to microstransactions. For example, if the cheapest fee I’d have to pay on the btc network exceeds 10 dollars, then I wouldn’t pay that fee to buy a coffee.

What do you guys think?