TruStory CEO: Blockchain scalability claims are insincere

Speaking at the Yahoo Finance All Markets Summit: Crypto, which took place yesterday, Preethi Kasireddy said several blockchains have stated in their whitepapers that they can scale to billions of transactions a second.

However, she argued that “the fundamental thing with decentralised systems is if you achieve that level of scalability you have to make a trade-off somewhere else – whether it’s security or speed or something else”.

Kasireddy said whitepapers should explain this trade-off, but the majority do not. When asked which companies were notorious for providing misinformation, she cited TRON, saying it “has plagiarised every other project and they’re shameless about it”.

The entrepreneur also expressed concerns about the amount of money new projects raise at the outset, which represents a shift from the staged capital raises of the past.

“It puts so much pressure on these projects to get it right that it scares me because if they go bust it puts a bad name on the industry as a whole,” Kasireddy stated. “People should be more practical about how they’re raising capital, so if they fail, which a lot of startups do, there are not as many negative consequences.”