Joe Biden. Source: A screenshot, Instagram / Joebiden
As China leads the race for the central bank digital currency (CBDC) and the United States takes a back seat, Niall Ferguson, an influential economic historian, suggested President-elect Joe Biden skip the crowd and go straight to the crowd by integrating BTC Result to get into the US financial system.
“Rather than attempting to create a Chinese-style digital dollar, Joe Biden’s emerging government should recognize the benefits of integrating Bitcoin into the US financial system – which was originally designed to be less centralized and individual privacy.” more respected than the US systems of less free societies, ”wrote the former BTC critic and Senior Fellow of the Milbank Family at the Hoover Institution in a comment published today by Bloomberg.
Ferguson was named one of the world’s 100 Most Influential People by Time Magazine in 2004 and has written a handful of books. His most popular work to date is “The Rise of Money: A Financial History of the World,” which was published in 2008 and examines the history of money, credit, and banking.
In the statement, the historian further drew attention to the fact that the global economy is moving towards cashless societies and said: “The financial data of law-abiding individuals is better protected by Bitcoin than by Alipay. [a major Chinese payments platform]. ”
Ferguson pointed out that the main characteristic of BTC – scarcity – overshadows the shortcomings he describes as “flaws”, not least relatively slow transaction times, costly transactions on central exchanges like Coinbase and high energy consumption.
“The benefits of scarcity are clear at a time when fiat money is skyrocketing,” he said.
According to Ferguson, “we are experiencing a currency revolution so multifaceted that few of us understand its full extent,” one that has been accelerated by the COVID-19 pandemic as it has “accelerated our progress into a more digital word” and “We have significantly increased our risk of financial surveillance and financial fraud.”
This argument is supported by the investment community.
Laurenz Apiarius, Managing Partner at Blockwall, a blockchain venture capital fund, said on a Coinscrum podcast recently that major investors are interested in the company’s equity fund, saying:
“COVID-19 helped tremendously. They want to be invested in one of those exponential technologies that they have researched and they want to be allocated in. ”
Meanwhile, DTAP Capital founder Dan Tapiero noted the importance of Ferguson’s advice to Biden in a tweet, suggesting that it should also get the attention of billionaire hedge fund manager Ray Dalio, who is not sold through BTC, as “effective Currency ”. ”Tapiero said:
“It’s a very bold call from him that I wasn’t expecting. He is well respected and established at Harvard / Stanford. … He will make everyone in Davos pant. Maybe Ray [Dalio] ends with calling [Niall Ferguson]. ”
While it is unclear how Biden feels about BTC, he has so far made sure of one thing by confirming his election for the Treasury Secretary – former Fed Chair Janet Yellen. Morgan Creek Digital Assets Co-Founder Jason Williams explained Yellen’s evolving views on BTC, which started with total avoidance and recognized in October 2018 that she is not a fan. However, Yellen is a fan of blockchain and a lot more has changed in the crypto landscape since its last deliberation, and the Fed now has a digital dollar in its sights.
What Biden’s election said about Bitcoin and Blockchain for Finance Minister – https://t.co/S46tDHFS8l
– Jason A Williams (@GoingParabolic)
Roubini versus St. Paul
After some of Bitcoin’s harshest critics have turned a corner and the BTC price has now hit a new all-time high, more of these critics are changing their minds. Ferguson is also a former BTC basher who drew on a previous statement that Bitcoin was “an outright sham”.
Today he also pointed out his economist Nouriel Roubini, who is notorious in cryptocurrency circles for his disdain for Bitcoin. Ferguson observed a shift in Roubini’s criticism of BTC, from “the biggest bubble in human history” and the “mother of all scams” a few years ago to “perhaps part of the store of value because … it can’t be demoted so easily, because there is at least one algorithm that decides by how much the supply of Bitcoin will increase over time. ”
Ferguson joked with a double punch.
“If I wanted exaggeration as much as he did, I would call this the greatest conversion since St. Paul.”
As a recent Roubini Twitter thread pointed out, the “biggest conversion” may not be over yet:
Bitcoin doesn’t play a role in institutional or retail investor portfolios. It is not a currency: no unit of account, … https://t.co/tDmDzt6I9x
– Nouriel Roubini (@Nouriel)
At the time of writing (19:32 UTC), BTC is trading at USD 19,274 and is up nearly 7% in one day and 5% in one week. The price increased 40% in a month and 162% in a year.
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