Michael Kagan, US chip-maker Nvidia's chief technology officer, recently expressed skepticism about the benefits of cryptocurrencies in an interview with the Guardian.
Kagan stated that cryptocurrencies do not offer significant value to society despite Nvidia's powerful processors being highly sought after by the crypto sector.
In the interview, Kagan praised the merits of artificial intelligence applications such as the ChatGPT chatbot, suggesting they have greater potential for societal impact than cryptocurrency mining. He explained how the user-friendly nature of ChatGPT allows individuals to create their own AI programs, tailoring them to their needs.
Previously, Nvidia was deeply involved in the cryptocurrency industry, with its processors being used extensively for mining. However, the company decided to abandon the sector in order to focus on other pursuits.Kagan also reflected on his time at Mellanox, the company he founded before its acquisition by Nvidia, drawing comparisons between the crypto industry and high-frequency trading. He recalled how Wall Street traders and banks would buy their products to save nanoseconds on transactions, engaging in extreme measures such as tightening underwater fiber cables to shave off extra time.
Despite previously benefiting from the cryptocurrency market, Kagan expressed his belief that the industry would not bring about meaningful advancements for humanity. He acknowledged that businesses may buy and sell products for various reasons, but emphasized the importance of not letting such activities dictate a company's overall direction.