Does Peter Schiff Losing His Bitcoin Reveal the Shortcomings of The Technology?

    As gold proponent Peter Schiff loses his BTC because he didn’t remember to keep his seed phrase, CT tore into him for forgetting his password, thanking him for getting some BTC out of circulation, and reminding him that freedom does not come free.

    So, you must have now heard all about gold proponent and Bitcoin detractor Peter Schiff losing all his Bitcoin that he didn’t buy himself but received from the crypto community in their attempt to get him started and turn him into a BTC enthusiast by having him understand the technology. What happened as Schiff explains on Twitter,

    “My wallet got corrupted somehow and my password is no longer valid. So now not only is my Bitcoin intrinsically worthless; it has no market value either. I knew owning Bitcoin was a bad idea, I just never realized it was this bad!” did reach out to him to ensure that his “funds are secure.”

    And if like Pompliano you think Schiff forgot his password, that’s not correct because apparently “zero chance” as Schiff clarified,

    “I used a very simply numeric password that I have used many times in the past.”

    Well, now you would think what about the seed phrase, right? Well, Schiff never saved it.

    What actually happened here is explained by ShapeShift CEO, Erik Voorhees,

    Bitcoin can’t fix Stupidity

    The community tore into Schiff for his inability to manage his password.

    As Bloomberg Opinion writer, Noah Smith retorts, it won’t work for other assets as he ribs him with,

    “I just lost all the gold I've ever owned. I was just walking down the road with my orc buddies, and a party of five motley adventurers beat me up and took our coin purse.”

    But Schiff reiterates he didn’t lose the password, “It's just that the correct password no longer unlocks my wallet.”

    After all, Freedom doesn’t come free

    Well, this happens when you haven’t put your own hard-earned money into the highly volatile crypto asset. Because as Voorhees says, “Financial sovereignty: it's not for everyone.”

    Even Tron CEO Justin Sun understands the responsibility that having freedom brings,

    “Always remember your private key! Crypto is like freedom. Freedom is never free. With freedom comes responsibility. The responsibility to remember private key!”

    But, We Appreciate the Sacrifice

    This naturally got the Crypto Twitter started with Bitcoiner and coder, Udi Wertheimer stating,

    “BREAKING: Aging Boomer Makes Ultimate Sacrifice, Bitcoin Supply Irreversibly Decreases.”

    Trader Scott Melker said,

    “Thank you for taking a bit more Bitcoin out of circulation. We appreciate your sacrifice. But I have questions. Why does he own any Bitcoin if he hates it so much? Does he understand what a wallet is? Does he understand what private keys are? Do you even blockchain?”

    But the Technology is to Blame too

    Amidst all this, it can't be denied that we are still in the early days of development. On-chain analyst Willy Woo notes,

    “Wallets do make mistakes and get corrupted as they get upgraded. I remember having to recreate from seed on my old BreadWallet when they upgraded to BRD. (I hadn't used it in a year) We are still in crypto's bleeding-edge tech days IMO.”

    Preston Byrne, an attorney in the U.S.-based Byrne & Storm also fees the same as “Bitcoin’s UX sucks if you don’t know how to use a computer.”

    Ethereum co-founder Vitalik Buterin also shares his disappointment on CT going with “crypto is what it is, it's your job to be super-careful and write down backup seeds in three places.” He says the crypto industry needs to “create better wallet tech to make security easier.”

    As for Schiff, this wasn’t a tragedy for him, even though he wanted to HODL and “go down with the ship.” It’s just that his “ship sank before Bitcoin.”

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    AnTy has been involved in the crypto space full-time for over a year now. Before his blockchain beginnings, he worked with the NGO, Doctor Without Borders as a fundraiser and since then exploring, reading, and creating for different industry segments.

    [Alert] Use the author's self-conducted information at your own risk, do you own research, never invest more than you are willing to lose.

    [Disclosure] The published news and content on BitcoinExchangeGuide should never be used or taken as financial investment advice. Understand trading cryptocurrencies is a very high-risk activity which can result in significant losses. Editorial Policy \\ Investment Disclaimer


    1. Is the Road guilty because a Highwayman steals your horse? Is the Ship guilty because a Pirate steals your cargo? Is the Woman guilty because you lose your virginity? Were the jets to blame because the terrorists crashed them into the Twin Towers? Why is BTC guilty because your wallet doesn't work? BTC is not responsible for the vagaries of people who use it for noble or illicit purposes. BTC is the only innocent party in this tale.


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