Peter Schiff Critiques Bitcoin’s Status as “Digital Gold”
Peter Schiff, a well-known critic of Bitcoin and prominent economist, has once again targeted the leading cryptocurrency.
This time, he claimed that Bitcoin’s supposed status as “digital gold” is being increasingly questioned, particularly as inflation concerns and fears of stagflation grow. Schiff also expressed doubts about the effectiveness of the Strategic Bitcoin Reserve plans.
Schiff took to social media to argue that the narrative around Bitcoin as digital gold is unraveling. He pointed to the slowing growth of Bitcoin as a sign of its vulnerability, especially as inflation continues to rise.
The economist also highlighted the uncertainty surrounding tariffs, which he believes is further pressuring financial markets. In contrast, Schiff took the opportunity to highlight gold’s resilience, noting that while Bitcoin’s price continues to decline, gold is reaching new record highs.
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In addition to his criticism of Bitcoin, Schiff previously referred to the Strategic Bitcoin Reserve as a “crypto scam,” accusing former President Trump of misleading Americans about Bitcoin and other crypto ventures. While Schiff admitted he understood the logic behind creating a Bitcoin Reserve, he firmly disagrees with the approach. He questioned why Bitcoin, touted as digital gold, was struggling while traditional gold remains in high demand.
Despite Schiff’s pessimism, some crypto analysts, like Ali Martinez, have suggested that Bitcoin could see a price rebound soon. Martinez pointed out that Bitcoin’s sell-side ratio has dropped significantly, a sign that historically precedes major price recoveries. Meanwhile, long-term Bitcoin holders continue to accumulate, with large transactions occurring despite the current market downturn. Notably, MicroStrategy, led by Michael Saylor, recently added nearly 7,000 BTC to its holdings, reinforcing institutional confidence in Bitcoin’s future.
Alexander Stefanov
