Yesterday we reported on ebullient remarks by Tim Draper and corresponding philosophies on Bitcoin’s eventual rise.
Today, as BTC limbos down to near the $9,000 mark, tech media are reporting on the other side of the coin – a series of tweets by Bitcoin naysayer Peter Schiff contending that Bitcoin really isn’t the ‘safe haven investment’ that some traders make it out to be.
“Bitcoin hasn’t been around long enough to prove anything other than P.T Barnum right,” Schiff recently tweeted. There’s a sucker born every minute and many of them own Bitcoin.”
A corresponding Cointelegraph story this morning by William Suberg goes into some detail about Schiff’s own history with BTC- and some of the details are not like what one might expect from such a vocal dissident.
“While Schiff is in fact among those who own Bitcoin, his interaction has been marred by a lack of understanding of how even basic consumer wallets work,” Suberg writes. “As Cointelegraph reported, Schiff railed against wallet provider Blockchain after he failed to unlock his wallet. He ultimately admitted that he had confused his pin with his password … Nonetheless, Schiff remains convinced that gold is a superior investment and that Bitcoin is far from its digital equivalent.”
Schiff’s assertion really leads into quite a heady discussion about whether Bitcoin really is a good hedge against the traditional equity market, where a lot of traders are looking to get out citing interest rates long-term, capricious trade wars, and all osrts of other uncertainty.
With proponents like Anthony Pompliano (who proudly owns BTC) suggesting that a non-tracking asset is a good complement to broader market equities, Schiff suggests that just because it doesn’t track with the market doesn’t mean there’s any measure of security involved:
“So the value of Bitcoin is that no one has any idea what its price will do. What’s that worth?” Schiff Twitter-expressed.
What Schiff’s analysis fails to take into account though, many traders would say, is the larger institutional buy-in and consumer preference toward cryptocurrencies. As world central banks continue to ponder the creation of central-bank digital currencies for blockchain innovation and companies come out with their own stablecoin systems, the fintech market is experiencing a significant digitization – what form that takes is yet to be seen, but many Bitcoin boosters believe that as the top-running cryptocurrency many years over, Bitcoin is virtually certain to experience massive gains.