"The Dollar Is A Ponzi Scheme"
Echoing sentiment pushed by Bitcoin’s in-house Austrian economists, Kerner noted that if history is any indicator, “100% of fiat currencies, up until 400 years ago,” dwindled to a value of zilch. And while modern government-issued currencies have performed relatively well, the investor noted that “if you think about it,” the U.S. dollar is a Ponzi scheme. Interestingly, he added that the dollar’s Ponzi scheme-esque status isn’t the fault of the American government, but rather, how the financial system operates today.
More specifically, he noted that nobody, not even the POTUS himself, believes that the $20 trillion in national debt (or $180+ trillion in worldwide debt, for that matter) will be rectified.
And as such, to maintain purchasing power over long swaths of time, Kerner said that a capital allocation into gold has been the go-to choice. But, with BTC on the rise, it is within the realm of possibility that the world’s first cryptocurrency will gain traction, especially as equity markets falter.
In a similar manner, Travis Kling, a leading crypto investor who heads Ikigai, stated that Bitcoin will give consumers “the ability to opt-out of the largest monetary experiment of human history (quantitative easing),” as it is a “non-sovereign digital money” that transcends shortcomings in traditional markets.
