The CEO of struggling crypto exchange BitMEX has said that leading digital asset Bitcoin (BTC) could see a seven-figure price going forward.
in a new articleArthur Hayes says he sees BTC being worth millions of dollars in the long run because governments around the world can’t stop devaluing their currencies by printing money.
“For a single bitcoin, my unit is in the millions…
There has never been a government that has resisted the temptation to print money to pay its bills and appease its citizens. The government will never voluntarily go bankrupt. This is axiomatic. I challenge you to contradict me with evidence.
According to Hayes, commodities like gold and Bitcoin should see their prices increase not necessarily because of an actual increase in their value, but because the fiat currencies used to value them are constantly devalued.
“Therefore, if your time horizon is years, it’s time. If you play with the bull, you get the horns. Remember: it’s not gold or bitcoin that’s going up in price, it’s a decrease in the value of the fiat currency they’re valued in. »
Hayes also notes that BTC has an edge over other comparable commodities such as gold in terms of ease of storage and mobility.
“If you fully accept that direct possession of physical gold is necessary to ensure that you actually own what you think you own, then gold becomes quite cumbersome…
Whether you have 1 Satoshi or 1,000 Bitcoin to store, all that is required is a string that includes your public and private key.
It weighs next to nothing and is accessible anywhere there is internet. This is the value proposition from a storage and transfer perspective of Bitcoin versus gold.
Earlier this month, Hayes and fellow BitMEX co-founders Benjamin Delo and Samuel Reed pleaded guilty to violating a law that requires financial institutions to help the government detect and thwart money laundering schemes. money.
The US Department of Justice (DOJ) alleged that the trio deliberately failed to maintain anti-money laundering protocols and profited from the transactions of US-based customers, although it claimed that BitMEX does not did not serve individuals in the United States.
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Feature image: Shutterstock/Mia Stendal