Market News

(Bloomberg) -- MicroStrategy Inc. co-founder Michael Saylor, one of the biggest advocates of Bitcoin, said the software update of the Ethereum blockchain serves to boost the outlook for the world’s largest cryptocurrency. 

Ethereum just moved to a far less energy-intensive method of securing its network knows as proof-of-stake, ditching the power-hungry proof-of-work system that’s criticized for a big carbon footprint and still used by Bitcoin.

Bitcoin now accounts for 95% of the overall market value of tokens using proof-of-work, which “is really the only universally accepted, proven method for creating a digital commodity,” Saylor said via video to a conference in Australia on Saturday. “I see Bitcoin getting stronger, not getting weaker,” he added.

In contrast, some see the green credentials of the Ethereum upgrade -- the Merge -- as giving its native token Ether, the world’s second largest, a bigger shot at one day topping Bitcoin. Both coins are down about 60% in 2022.

Enterprise-software maker MicroStrategy has spent about $4 billion on Bitcoin purchases and last month reported a more than $1 billion quarterly loss related to the plunge in the digital asset. Saylor remains executive chairman after shedding his chief executive officer role.