Bitcoin is on the verge of “losing relevance,” and its last gasp was already visible on the horizon before the collapse of FTX, writes Business Insider.

Bitcoin came close to a dead end even before Sam Bankman Fried’s FTX collapse, as its technological flaws make it a questionable means of payment and transactions using it are slow.

BTC’s recent surge is probably “an artificial last gasp before it becomes irrelevant.” To recap, BTC’s price has fluctuated around $20,000 recently after falling earlier this year to $17,000 from an annual high of $69,000.

Bitcoin’s controversial reputation is based on the fact that this cryptocurrency is mostly not used for legal purposes in the real world, is not suitable as an investment because it does not generate cash flow or dividends, cannot be used as productively as commodities, and has no social advantages like gold.

Bitcoin’s value is based solely on speculation and fueled by hype from big investors and lobbyists.

In late 2020, individual companies began promoting BTC at corporate expense. Some venture capital firms are also still investing heavily in it. At the same time, however, ECB representatives noted that the world’s largest cryptocurrency by market capitalization poses a reputational risk to banks.