As the leading peer-to-peer marketplace for Bitcoin, Paxful has proven beyond doubt its support for financial access. Not just to specific haves and have-nots, but certainly to anyone interested in the so-called Cryptocurrency. It will surprise you how it has accommodated up to 9 million traders, with something like 350 different payment methods! Nothing can stop you now, in your adventure for Bitcoins and Altcoins, Paxful got you. However, it is important to note that Paxfful values integrity. Because of this, Paxful recently delisted Ethereum in maintaining integrity.
When you hear of Bitcoin, Ethereum, Litecoin et cetera, know that Paxful is somewhere in the picture. After climbing the ladder so high to become second only to Bitcoin, Ethereum had it rough following the announcement made on December 2021. Ray Youssef, the CEO of Paxful made a stern decision to kick off Ethereum from its marketplace due to integrity issues.
Well, as for Paxful CEO, the famous Ethereum has been robbing millions of crypto-investors in the name of revenue. An act Ray condemned so much for its devious intentions. Ethereum even transited from Proof of Work (PoW) to Proof of Stake (PoS), claiming to be a centralized platform. Unfortunately, this is against crypto rules. Yeah, it’s that bad. For Ray, the vision of the crypto-world should be that pure intent, and trustworthy for that matter.
What Paxful Should Be like according to the CEO
Crypto defines, a digital payment system is independent of any central control. A digital wallet is key among its peculiar features that make it a marking scheme to all its integrity and transparency. Therefore, you should know this before settling on crypto investment.
Being a Bitcoin and Altcoin platform Ray describes Paxful as a digital innovation meant to endorse integrity at its best and that is the ‘only honest money there is’. So then, schemes to do with economic apartheid and robbery are a no to it. He added that the primary mission of the company is to, uphold the freedom of humanity against economic evil systems. Since Ethereum went against the organizations values, Paxful delisted Ethereum in maintaining integrity.
The Lengthy Understanding of PoW and PoS in Cryptocurrency
Proof-of-work (PoW) is a cryptocurrency mechanism that requires solving of the cryptographic puzzles by the miners before validating the transaction. It should be done before a new block is added to the blockchain. I guess you may be wondering what a miner is, as mentioned above. It is the block creator, but the same meaning is termed differently as a validator in PoS.
To become a miner, you must first buy equipment and energy as a participant. Thereafter, you are destined to receive a competitive block reward. But remember that your security enhancement depends on your vast equipment, which is again expensive. Even so, the great fairness in PoW is that it lacks complex governance to control the kind of miner, to get the block. Here again, the mechanism is backed up by the honesty of miners.
On the other hand is Proof-of-Stock, PoS. As a cryptocurrency system, the validators stakes tokens. PoS change the verification of blocks by use of a coin machine and not a computer. Then the validators receive transactional fees in return for their staked coins. Those who know about it say that it is less risky to attack from the network given its little dependence on it.
Both PoW and PoS have pros and cons, which we will not look at in this article. For guides to learn more about the two you may click here to read at your own convenient time. After gaining a little understanding of the two terminologies, we shall look into reasons why Ray removed Ethereum from Paxful.
Reasons Behind the Detachment of Ethereum from Paxful
According to Paxful’s CEO, the kick out of Ethereum touched on the deceit it made on 11.6 million participants. It was to be removed to maintain the integrity of Paxful since Ethereum subjected many people to a fiat monetary system. He cited that majority of the harmed individuals came from the Global South.
First, Youssef argued that Ethereum switched from Proof of Work to Proof of Stock, an initiative that does not support integral policies. PoW being the only ‘honest money’, the other meant a shift to a digital form of fiat. The swift was intolerable in Paxful because fiat enforced people to an economic system belonging to a specific government.
Another reason was the centralization of Ethereum. This was not supposed to be the case in the Paxful platform. Somewhat, a small group of people controlled it by allowing the tokenization of assets. Such is the root cause of fraud in the crypto-frame. The move really cost the momentum and trust of Bitcoin, and even led to the collapse of FTX.
