Co-founder of payments company PayPal and bitcoin enthusiast Peter Thiel said that the first cryptocurrency could act as a financial weapon for China in the fight against the United States.
During the virtual conference, Thiel emphasized that most of the miners of the first cryptocurrency are located in China. And in the event of further exacerbation of relations between the two largest economies in the world, bitcoin can be used to counter the US dollar.
“I am a bit of a cryptocurrency supporter and bitcoin enthusiast, but there is a thought that bitcoin can be seen as part of China’s financial weapon against the US,” said the co-founder and former CEO of PayPal.
Bitcoin can be dangerous for any fiat currency, but it is especially dangerous for the US dollar as the world’s reserve currency. Therefore, US policymakers and strategists need to take into account the state of affairs in the cryptocurrency market when analyzing the geopolitical landscape.
It is interesting that, according to Thiel, the euro can become a similar threat to the US dollar. For China, any weakening of the position of the American currency, with the help of cryptocurrencies or other fiat currencies, will be beneficial.
Against this background, the words of the founder of the hedge fund Bridgewater Associates, Ray Dalio, that there is a certain probability of a ban on bitcoin in the United States, looks quite logical. However, according to the co-founder of the Gemini exchange Tyler Winklevoss, bitcoin has already reached the point where a ban is unlikely.