Global Loss Of Confidence In Fiat Boosts Bitcoin Adoption?
Michael Saylor believes the failure of the banking system and banking crisis is driving Bitcoin’s adoption. The more people study and realize the game is rigged, the more they’ll embrace Bitcoin.
Global Loss of Confidence in Fiat Boosting Bitcoin Adoption: Michael Saylor
In a recent CNBC interview, Saylor noted that two dynamics are pushing the broad adoption of Bitcoin. He revealed that the first one is the concern about inflation.
Saylor believes these issues result in the loss of confidence in fiat currencies, causing investors to turn to risk-off assets like Bitcoin:
“There’s the macroeconomic concern about inflation and as inflation takes place, people lose confidence in fiat currencies. That means they start to realize that everything valued on cash flow is a currency derivative and bitcoin is not valued on cash flows,” he explained.
The Bitcoin proponent further explained that the recent banking crisis, including the failure of Silvergate Bank, Signature Bank, Silicon Valley Bank, and the latest one, First Republic Bank, has undermined investors’ faith in the banking system.
“The failure of the banks… causes people in the Western world to start to lose a little bit of faith in the banking system and they remember that bitcoin is a bank in cyberspace run by incorruptible software… So the combination of that concern about inflation and counterparty risks with banks is driving bitcoin’s adoption,” he said.