Anthony Pompliano, the Founder of Morgan Creek Digital Assets and Ari Paul, the CIO of Blocktower – one of the leading cryptocurrency firms, discussed about Bitcoin [BTC] and other cryptocurrencies surpassing the weakest fiat currency, in the latest episode of Off the Chain.
Pompliano started by speaking about Bitcoin and other cryptocurrencies already surpassing some of the fiat currencies in the world. He stated that despite digital currencies hitting one of the bottom levels, it can be considered as progress to “some degree”, as long as it moves up the chart over time. He said:
“[…] It’s [Bitcoin] not attacking the developed world’s currency. It’s not going after the US dollar or the Euro, it’s going after the weakest [currency] and it’s kind of killing those off our surpassing them in places like Venezuela and etc. And I think we’ve gotten to see more of those weak currencies die off over time but really, why is that happening? Is it because people are opting it, is this idea that it’s better severed to some degree, whatever they are trying to accomplish.”
Following this, Paul remarked that this is connected with a different use case, stating that with Bitcoin, there’s an ability to “flee with your money”, adding that it potentially kills off currencies. He cited the example of Zimbabwe and Venezuela, wherein the currency is being much more widely adopted than any other country in the world, percentage-wise. He said:
“And that’s the depreciation resistant use case. Which if you’re if you’re US dollars are being inflated away 3% per year, there’s much pressure, if it’s 100% a year or 500% a year. That’s that’s a real good incentive to look for alternatives. So definitely the weakest currencies are the ones where there’s the most pressure for people to learn how to Bitcoin”
Earlier this year, the Founder was in the spotlight because of a bet, now referred to as the Buffet Bet 2.0. Anthony Pompliano is betting $1 million on cryptocurrencies outperforming S&P 500 index funds in a timeframe of 10 years.