• Dapps:16.23K
  • Blockchains:78
  • Active users:66.47M
  • 30d volume:$303.26B
  • 30d transactions:$879.24M

Peter Schiff Criticizes the Use of Bitcoin in US Strategic Reserves

user avatar

by Giorgi Kostiuk

a year ago

Peter Schiff, a long-time Bitcoin critic, has expressed doubts about the idea of using cryptocurrency as part of the US strategic reserves.

Schiff Against Bitcoin Proposal

The discussion started when Tom Lee from Fundstrat said on CNBC that Bitcoin could help solve the US budget deficit. Lee suggested that Bitcoin could serve as a hedge against the deficit, as its price rise could offset related liabilities.

Criticism of the Bitcoin Plan

Schiff highlighted the liquidity risks, emphasizing that any US attempt to sell a significant amount of Bitcoin could lead to a market crash, rendering the reserve ineffective. 'Even if you believe in Bitcoin, such a plan is ridiculous. A large Bitcoin reserve would be worthless, as the government could not sell without crashing the market,' he noted.

Even if you believe in Bitcoin, such a plan is ridiculous. A large Bitcoin reserve would be worthless as the government could not sell without crashing the market.Peter Schiff

Further Comments by Schiff

Schiff also remarked that consumer optimism is based on 'misplaced confidence' in a Trump-inspired economic boom.

In conclusion, Peter Schiff believes that using Bitcoin in US strategic reserves could have negative consequences due to its volatility and limited liquidity.

0

Rewards

chest
chest
chest
chest

More rewards

Discover enhanced rewards on our social media.

chest

Other news

OKB Shows Strong Performance in Bear Market

chest

OKB has emerged as a strong candidate for traders during the bear market, with its BTC ratio increasing by nearly 493% over 350 days.

user avatarElias Mukuru

Zcash Emerges as Momentum Leader in Privacycoin Narrative

chest

Zcash has emerged as a momentum leader in the cryptocurrency market, gaining over 1,600% in the past three months while Bitcoin declined by 20%. This highlights Zcash's strength in the privacycoin narrative.

user avatarBayarjavkhlan Ganbaatar

Filecoin's Inverse Correlation with Bitcoin Offers Defensive Strategy

chest

Filecoin is highlighted for its statistically significant inverse correlation with Bitcoin, making it a defensive asset.

user avatarDiego Alvarez

Traders Focus on Defensive Altcoins Amid Strengthening Bear Market

chest

Traders are focusing on defensive altcoins like OKB, Filecoin, and Zcash as the bear market strengthens.

user avatarMohamed Farouk

MoonBull Offers Unique Investment Opportunity with Staking Rewards

chest

MoonBull's presale features a structured tokenomics model and staking rewards, appealing to long-term investors.

user avatarKenji Takahashi

MoonBull Presale Gains Momentum as PEPE Faces Bearish Sentiment

chest

The MoonBull presale is gaining traction with over 600K in funding, while PEPE faces bearish trends, prompting investors to seek alternatives.

user avatarGustavo Mendoza

Important disclaimer: The information presented on the Dapp.Expert portal is intended solely for informational purposes and does not constitute an investment recommendation or a guide to action in the field of cryptocurrencies. The Dapp.Expert team is not responsible for any potential losses or missed profits associated with the use of materials published on the site. Before making investment decisions in cryptocurrencies, we recommend consulting a qualified financial advisor.