Peter Schiff Takes Jab at Bitcoin’s Lack of Utility

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Recently on the X social media platform, where it was formerly known as Twitter, cryptocurrency skeptic Peter Schiff voiced his criticism against Bitcoin yet again. He argued that Bitcoin possesses fewer practical uses compared to a simple pet rock.

In 2022, he mentioned that these objects could serve various functions. You could use one as a paperweight or doorstop. Alternatively, you could employ them as ammunition for a slingshot, or use them to add decoration to the base of an aquarium. If you happened to have three of them, you’d be able to juggle them.

Scarcity without utility? 

Previously, the outspoken financial pundit expressed the view that gold’s worth derives from its unique characteristics as a precious metal. This prized metal is extensively utilized in various sectors like defense, electronics, healthcare, among others. Notably, gold’s distinct attributes make it perfect for crafting jewelry. Intriguingly, more than half of the gold consumption stems from the jewelry industry. Concurrently, Schiff posits that fiat currencies are only valued based on public trust.

According to Schiff, Bitcoin lacks distinct features when compared to other cryptocurrencies. He argues that being scarcely available without practical uses makes it insignificant, as expressed by the well-known gold advocate.

A warning for Bitcoin bulls 

On X’s independent discussion, Schiff has issued a warning to crypto investors: The excessive optimism among many towards Bitcoin’s price hike might be misplaced, as there is a strong belief that the cryptocurrency’s value will significantly surge in this market trend.

Yet, Schiff cautions that markets don’t typically follow speculators’ expectations. The advocate for gold has suggested a possible significant drop in Bitcoin’s price may occur imminently.

At press time, Bitcoin is changing hands at $70,655 after failing to surpass the $71,000 level. 

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2024-04-12 11:41