Schiff claims that bitcoin harms the US economy, exerting strong pressure on state currency. Selling dollars for the sake of buying the first cryptocurrency is a serious danger to the economy as a whole, because this will reduce the demand for the dollar and negatively affect its status as a reserve currency. According to the cryptoskptic, the waste of resources on bitcoin only harms the United States.
Schiff’s comments followed after Trump’s recent statements that Bitcoin reduces pressure on the dollar, creates new jobs in the country and is actively used for payments. However, the economist fears that the volatility of the crypto and a possible sudden collapse of the bitcoin course can lead to losses in the strategic reserve, and not to profit.
The government does not plan to directly buy bitcoins for dollars. According to the signed decree on the creation of a national reserve in bitcoins, the US reserve must be replenished at the expense of confiscated cryptocurrencies.
In addition to disagreement with the president’s position, Shiff accused Trump of using cryptocurrencies as “tricks” to attract sponsors. The investor suggested that the American president supports bitcoin, only to enlist the support of rich sponsors using cryptocurrency. Previously, Schiff criticized Trump for holding a gala dinner with the largest holders of Trump Memcoin in the White House. Many participants in the event had to spend about $ 150 million to get a place at this dinner.
Being a supporter of investment in gold, Peter Schiff does not believe in bitcoin. He recently stated that the historical maximums of the first cryptocurrency only create the illusion of its value.
Source: Bits
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