Prominent angel investor and internet entrepreneur Jason Calacanis, known for his early backing of Uber, has ignited controversy in the Bitcoin community with his recent remarks suggesting that Bitcoin will eventually be replaced by a superior alternative.
Calacanis: ‘Bitcoin Will Be Replaced’
On March 14, Calacanis told his 981,600 X followers that Bitcoin is a “wonderful game” but argued that a few dominant players have cornered the market, making it the right time to “build a better Bitcoin.”
“All technology gets replaced over time… and Bitcoin will be no different,” he added, implying that Bitcoin’s long-term viability is uncertain. Calacanis has been an early investor in several Bitcoin-related companies, including Robinhood and Keza, but his skepticism toward Bitcoin itself has stirred backlash.
Industry Leaders Defend Bitcoin’s Longevity
Several Bitcoin advocates and industry leaders were quick to counter Calacanis’ claims. Many pointed out that Bitcoin, as a foundational technology, is not meant to be replaced but built upon through layer-2 solutions.
- Brady Swenson, co-founder of Swan Bitcoin, responded: “Winning protocols don’t get replaced; they are built upon.” He emphasized that Bitcoin’s second-layer infrastructure will continue evolving rather than Bitcoin itself being replaced.
- Cory Klippsten, another Swan Bitcoin co-founder, compared Bitcoin’s growth to a technological revolution impacting multiple industries rather than a single innovation cycle like an iPad.
- David Marcus, CEO of Lightspark, dismissed Calacanis’ stance, stating: “Trying to build a better Bitcoin is a fool’s errand.” He argued that Bitcoin’s missing functionalities can be developed on layer-2 solutions, making a complete replacement unnecessary.
- Eric Voorhees, CEO of ShapeShift, echoed the sentiment, stating that Bitcoin’s limitations can be addressed through other blockchain solutions rather than seeking an outright replacement.
The Case for Bitcoin Layer-2 Growth
Industry leaders stressed that Bitcoin’s future lies in second-layer solutions, which enhance functionality while preserving Bitcoin’s core protocol. These layers introduce features such as smart contracts, faster transactions, and greater scalability, addressing Bitcoin’s perceived shortcomings.
However, Muneeb Ali, co-founder of Stacks, recently cautioned that two-thirds of existing Bitcoin layer-2 projects may not survive the next three years due to fading excitement and unsustainable growth models.
Bitcoin advocate Wayne Vaughan argued that Bitcoin’s size and network effect make it increasingly difficult to replace. “The larger the network gets, the less likely it is for something else to replace it,” he wrote in a March 15 X post.
‘There Will Not Be a Better Bitcoin’
While critics like Calacanis argue that a superior alternative could emerge, Strive Funds CEO Matt Cole dismissed the notion outright, stating: “There will not be a ‘better’ Bitcoin.” He predicted that altcoins will continue to have fleeting popularity cycles, ultimately leading most traders to lose Bitcoin instead of gaining wealth.
Calacanis’ History of Crypto Criticism
This isn’t the first time Calacanis has made waves in the cryptocurrency industry. In June 2020, he famously criticized most crypto projects, calling them “grifters” and “unqualified idiots” with below-average skills.
His latest remarks have reignited the age-old debate on Bitcoin’s long-term viability. However, given Bitcoin’s growing adoption and layer-2 expansion, many in the industry remain confident that Bitcoin is here to stay—and not easily replaceable.
Calacanis’ comments have sparked fierce debate in the crypto space, with Bitcoin advocates defending its staying power and emphasizing the importance of layer-2 development. While Bitcoin’s scalability challenges persist, many believe that enhancing its ecosystem—not replacing it—is the way forward.
