R3 member Mike Hearn: The Bitcoin experiment has failed

Editor's note: In the Bitcoin community, the author Mike Hearn has become a controversial figure. He worked at Google for 8 years and later joined the development of the Bitcoin system full-time due to Gavin Andresen and other reasons. He led the controversial BitcoinXT project. When the project encountered difficulties, he resolutely gave up the development of BitcoinXT and turned to the blockchain company R3CEV. Today, he wrote another long article, claiming that the Bitcoin project has failed. The article is a bit long, and the translator simply translated the beginning and the end. Interested readers can check the original text.

I have been a Bitcoin developer for over 5 years, I have spoken about Bitcoin to Sky TV and BBC News, I have been quoted repeatedly in The Economist as a Bitcoin expert and a notable developer, I have explained Bitcoin to the SEC, to bankers and regular people I meet in cafes.

From the beginning, I have been saying the same thing: Bitcoin is an experiment, and like all experiments, it may fail. So don't invest in something you can't afford to lose. I have said this in interviews, at conferences, and on emails, and other developers including Gavin Andresen and Jeff Garzik have said the same thing.

However, despite knowing that Bitcoin could fail, and now that it has failed, I am deeply saddened. Bitcoin's fundamentals are broken, and no matter what happens to its price in the short term, the long-term trend is probably down. I will no longer participate in Bitcoin development and will sell all my Bitcoins.

He then went on to give a long list of reasons why Bitcoin has failed, which he summarized as follows:

1. The community has failed and the system is completely controlled by a small number of people;
2. The block issue is at a stalemate. He believes that the blockchain is completely controlled by Chinese miners, and only two mining pools control more than 50% of the computing power;
3. Bitcoin XT was attacked;

Hearn's Summary

Bitcoin has entered very dangerous waters. Past bankruptcies like Mt Gox were only about some businesses and companies in the ecosystem, but this time the crisis is different: it stems from a crisis in the core system, the blockchain itself.

More importantly, it is a crisis that reflects deep philosophical differences in how people view the world. Even if a new team is established to replace Bitcoin Core, the problem of centralized mining power behind the Great Firewall will still exist. Bitcoin has no future, and it is controlled by less than 10 people. There is no effective solution in sight: no one even has any suggestions. It is ironic that the community has been worried that the blockchain will be regulated by an oppressive government.

However, it’s not over yet. Despite everything that has happened, in the last few weeks more people in the community have started to pick up where I left off. Where once anyone who made an alternative to Bitcoin Core was considered a traitor to the community, there are now more than 2 forks vying for attention (Bitcoin Classic and Bitcoin Unlimited). So far, they have suffered from the same problems as XT, but these new faces may find a way to make progress.

There are a lot of talented, energetic people working in the Bitcoin industry, and I've gotten to know a lot of them over the past five years. Their entrepreneurial spirit and different perspectives on money, economics, and politics are fascinating to watch, and even though I no longer agree with them, I don't regret being involved in the project. When I woke up this morning, I found people on the forum asking me to stay, but I'm afraid I can't, and I've moved on to other things. To these people, I say: good luck, stay strong, and I hope you're doing well.

Original article: https://medium.com/@octskyward/the-resolution-of-the-bitcoin-experiment-dabb30201f7#.rkbhgk19h
By Mike Hearn
Compiled by: Satuoxi
Source (translation): Babbitt Information (http://www.8btc.com/mike-hearn-bitcoin)