Peter Schiff Says Bitcoin is a Make Believe Asset

The recent  tweet made by Twitter CEO, Jack Dorsey, on the possibility of hyperinflation hitting the US real soon  has garnered a lot of responses from prominent individuals. Among such individuals is the CEO and chief global strategist of Euro Pacific Capital Inc.,and chairman of Schiffgold, Peter Schiff.

The gold investor who recently tweeted that “abnormal high inflation is the only Politically viable option”  for the US to return to normal monetary policy after the covid. This inflation has been persistent for a while and billionaire investors and companies are looking out for better options to curb their losses.

The cryptocurrency and Blockchain market has become a city of refuge to most investors as digital currency seems to offer a better hedge to the venomous inflation. But of course, the gold proponent opposes the idea.

Schiff's solution to this hyperinflation is Gold but not bitcoin. He added that the way individual and retail investors can protect themselves from this rising inflation doom is to own real assets stating that “gold qualifies” as a real asset but “Bitcoin does not”.

According to Dorsey, the inflation will affect the US first before hitting the rest of the world. Digital Currencies being a decentralised ecosystem are a better option as a place of rest. Schiff, seeing this hyperinflation as an adult affair and not a child’s play, went ahead to reiterate that “Bitcoin is a make believe asset” and an “Imaginary Friend” of adults.

“Bitcoin is a make-believe asset. Sometimes kids have imaginary friends. It's the same concept, except with adults”. He tweeted

Nonetheless, the use of Bitcoin as a hedge over inflation has received  a lot of Investors support. Some of them who have invested heavily in crypto have expressed strong confidence that cryptocurrencies are a good investment option in today’s economy.

One of such investors is Mark Cuban who says “Bitcoin is more gold than gold”  adding that it offers  “a better alternative store of value than gold”. Similarly, the cofounder of Starwood Capital Group  Barry Sternlicht, shares this view. Sternlicht said that his choice of Bitcoin is due to the fact that Cryptocurrencies are in limited supply and governments around the globe will continue to print their own currencies till the end of time and the result of that is Inflation.

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I am a crypto and blockchain technology fan with a love for writing to enlighten others about the revolution. This I do by writing news stories to bring the latest developments to my readers and help them stay informed about the most recent developments in the space at all times.