- Michael Burry says governments may handicap bitcoin to guard their currencies.
- “The Large Brief” investor doubts cryptocurrencies can disrupt the monetary system.
- Burry has slammed bitcoin as a “speculative bubble” with an unsure future.
- Visit Business Insider’s homepage for more stories.
Bitcoin might be sidelined by governments that contemplate it a risk to their currencies, Michael Burry stated in a now-deleted tweet on Tuesday.
“Concerning #BTC, will central banks ever use it as a retailer of worth, or will they be compelled to handicap it and relegate it to area of interest standing like so many promissory notes?” the investor requested, as bitcoin continues to commerce close to file highs after greater than tripling in value over the previous six months.
“Long run, that is what issues in a world of centralized, highly effective, violent and ruthless governments.”
Burry is finest recognized for his billion-dollar guess in opposition to the US housing bubble within the mid-2000s, which was immortalized in Michael Lewis’ e-book “The Large Brief” and its movie adaptation, during which Burry was performed by Christian Bale.
In one other deleted tweet on Tuesday, Burry stated bitcoin would possibly battle to disrupt an entrenched international monetary system that has relied on fiat currencies for hundreds of years.
“Concerning #BTC and different cryptocurrencies, would possibly bulls be underestimating the already-established community impact embodied within the international fiat financial system that chooses a captain and is then beholden to help that captain, till stated captain adjustments?” he requested.
Burry has been a vocal critic of bitcoin, warning the digital coin is a “speculative bubble” fueled by debt in a tweet final week.
In February he additionally stated its long-term prospects have been “tenuous,” however added that he wasn’t brief bitcoin as “something is feasible” within the close to future.
Furthermore, the investor tweeted final month that the majority bitcoin is mined in international locations that face sanctions akin to China, Iran, and Russia.
Because of this, “crypto is in a race” to win sufficient institutional backing to withstand the efforts of regulators and central banks to destroy it, he stated.