Could Peter Schiff Be More of a Complete and Abject Ignoramus About Bitcoin?
I just highly doubt it. It’s really flabbergasting.
His two latest dumb and stupid and ignorant Facebook posts. The comments to each are a riot. He’s getting his teeth kicked over and over:
He could like educate himself a bit, like for instance, by reading this super-excellent overall analysis by Trace Mayer at RunToGold.
At all times and in all circumstances gold remains money but, of course, there is always exchange rate risk due to price ratios constantly fluctuating. If the metal is held with a third-party in allocated-allocated storage (safest possible) then there is performance risk (Morgan Stanley gold storage lawsuit).
But, if properly held then, there should be no counter-party risk which requires the financial ability of a third-party to perform like with a bank account deposit. And, since gold exists at a single point in space and time therefore it is subject to confiscation or seizure risk.
Bitcoin is a completely new asset type. As such, the storage container is nearly empty with only $150B.
And every Bitcoin transaction effectively melts down every BTC and recasts it; thus ensuring with 100% accuracy the quantity and quality of the bitcoins. If the transaction is not on the blockchain then it did not happen. This is the strictest regulation possible; by math and cryptography!
This new immutable asset, if properly secured, is subject only to exchange rate risk. There does exist the possibility that a software bug may exist that could shut down the network, like what has happenedwith Ethereum, but the probability is almost nil and getting lower everyday it does not happen.
Thus, Bitcoin arguably has a lower risk profile than even gold and is the only blockchain to achieve security, scalability and liquidity.
But, all of that would require that Peter Schiff were an honest person of integrity. He has proven over and over on this topic that he in not objective, that he’s deeply dishonest, and that he has zero integrity.
Accordingly, he’s dismissed and ought to just go fuck right off.
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Yeah, I’ve had this opinion about him for years. I agree with 95-99% of his economic views (free market, etc.), but he undermines his analysis with his desire to sell gold. For him, gold always has to be the long-run winner, not bitcoin, stocks or anything else.
Well, I used to buy into the the manipulated gold market, but I also used to think Bitcoin/Crypto was stupid. All the gold bugs think the market is manipulated, but they all want you to buy into it. And they all usually are involved in selling it to you, either directly, or by advertisers. Funnily enough, gold bugs have been saying gold will explode, any day now, for a very long time. And it has not. And they have all been saying Bitcoin is going to crash since the start, and so far, it has not. I don’t really buy the manipulated gold story any more. IF manipulation is possible, it is on a limited basis, and probably only to the upside, to get people to buy your gold before it comes back down.
Yep. Gold is fine OK as a hedge. Buy some and hold it safe. Physical gold. But it’s not a currency for a reason.
Try sending gold to anyone. You can do that pee-to-peer globally in minutes.