Justin Sun, the founder of TRON recently took twitter today to comment on the President’s decision to use Wrapped Bitcoin (WBTC) as the BTC reserve rather than choosing other alternative that includes Coinbase’s CBBTC. Sun calls President’s move to use WBTC as a “4D chess move”.
WBTC is a Smart Move
According to Sun, the decision to use Wrapped Bitcoin (WBTC) is a smart move as it prioritizes security and control. He also thinks that using WBTC is better than keeping Bitcoin on Coinbase or using the CBBTC. This is all because WBTC follows security rules that suggests ” If you don’t own the keys, you don’t own the coins”, which means that if you don’t have control over your keys for cryptocurrencies, then you do not truly own them as the other party can easily control the keys just like centralized exchanges.
Justin Sun Slams Coinbase
Secondly, the TRON founder then criticizes Coinbase for not providing clear proof that they actually have Bitcoin they claim to have. This lack of transparency makes it risky to store Bitcoin with Coinbase, as they could potentially freeze or take control of one’s asset at any time without any justification.
Justin Sun also emphasized that if you are good with Coinbase’s Chief Legal Officer Paul Grewal, your Coinbase account is safe but if there is any friction between you and Coinbase, your accounts with BTC will be frozen and and there would not be any response from customer service team when the issue is reported. Such situations recently arose when ex-employee of Coinbase, Griffin McShane took to twitter asking Coinbase to provide a justification for freezing his Coinbase account.
Sun thinks that this is too much of power play for a company to hold especially when it comes to important institution like the presidency as secure infrastructure should prioritize decentralization and transparency, both of which are core properties of WBTC.
With this tweet, it is clear Justin Sun thinks that Coinbase’s custody solutions are insecure and vulnerable to centralized control and with WBTC, the president is ensuring transparency and trustful custody of their Bitcoin reserves.
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