American Peter Schiff, chief economist of Euro Pacific Capital, has spoken out strongly about bitcoin and cryptocurrencies in general in a recent interview. He also predicts a strong depreciation of the US dollar and a gigantic economic crisis. Schiff is considered “bullish” for gold, and caused the US real estate bubble to burst in 2008.
“Bitcoin is not money,” stock exchange trader Schiff argued in the interview. “It is not really used as a means of payment, let alone as a unit of account. It is only used for speculation. ”
Business site Business Insider noted how he went further: “It is not an investment like real estate, it does not generate rental income. It is not a share, it does not pay dividends. It is not a bond, it does not pay interest. It is not even a raw material, because you cannot use it for anything. It’s just a collector’s item. ” Currencyconverters.org Crypto Netherlands is popular.
Schiff also referred in the interview to his son, who does believe in the potential of cryptocurrencies. “My son is completely under the spell of the Bitcoin cult. He’s completely crazy. But he has an excuse: he’s only 18 years old. However, there are a lot of adults who have no excuse. ”
Dollar fall in value
Schiff, who was never the most positive-minded analyst, has predicted a major economic crisis for years. In the interview with RealVision, he cited the depreciation of the dollar as one of the symptoms of an underlying disease.
“The US economy today is worse than it was in 2000,” suggested Schiff. “The debts that the US has taken up and continues to incur cannot be pushed forward forever. Moreover, debts (…) are much higher than in the last crisis. So this leads to a much stronger fall of the dollar than we saw in 2000 and 2008. ”
Schiff believes that other world powers, such as China, are no longer interested in buying US Treasuries, while they were in 2008. “I think China now even wants to get rid of those government bonds.” Price prediction England is popular.
Giant bubble economy
In conclusion, “The Fed’s artificial low-interest policy is fueling a massive bubble economy. Ultimately, any necessary correction will lead to economic collapse. So the next crisis will be one of the dollar and one of government debt. ”
Schiff has always been critical of US presidents on both sides, but was once an unequivocal supporter of the libertarian ex-Republican Ron Paul. He is sometimes called “Dr. Called Doom “for his negative predictions.