Economist and cryptocurrency trader, Alex Kruger presented convincing arguments why Bitcoins (BTC) should be viewed in a more positive delicate. The popular economist stressed the importance of owning Bitcoin, unwittingly encouraging investors to get pioneer cryptocurrency as a hedge against the devaluation of fiat currencies.
Bitcoin as a hedge against dollar devaluation
On July 24, the Jedi from the Blocmates Orange YouTube channel hosted an exclusive show interview with Kruger and Affluent Rines, co-founder of Core DAO. While talking about the potential for a Bitcoin supercycle and inferring cyclical halving events, Kruger also shed delicate on the significance BTC as collateral against the devaluation of the US dollar (USD).
The economist argues that Bitcoin should be considered a hedge against extreme risks in the near future. potential collapse of central banks and devaluation of the dollar. He also stressed that the need for such security often appears suddenly, suggesting that Bitcoin could become a key security measure if the value of the dollar falls.
Currently US National Debt has surpassed $35 trillion, reaching an unprecedented level. What’s more, this staggering figure has the potential to grow, fueled by significant budget deficits that outpace the country’s economic growth.
With the growing risk of a debt crisis, Kruger revealed that investing gigantic amounts of money in Bitcoin is becoming more advisable to protect against financial losses. He put the spotlight on US Senator JD Vance, pointing out that Vance has spoken publicly about potential devaluation of the dollarhighlighting the risks and dangers it may pose in the US.
In addition, Kruger expressed hope that the United States would potentially start create an account and invest in Bitcoin in the near future. He noted that Bitcoin is not only a hedge against dollar devaluation and the collapse of central banks, but can also convert into reserve assets and an significant store of value for investors.
“If we ever get to a point where we’re very concerned about the value of the dollar and/or the sustainability of debt, which is already happening, we’re going to want to be long Bitcoin, and we want to have as much Bitcoin as possible,” Kruger said.
Bitcoin’s Role as Digital Gold vs. Payment Method
Speaking about Bitcoin’s potential to become a valuable security, Kruger shouted that he doesn’t see Bitcoin as a payment method in the cryptocurrency space. The economist saw it as more of a pioneer of cryptocurrency as digital gold in the process of global adoption.
As a payment method, Bitcoin’s price volatility and snail-paced transactions are a problem compared to other faster and cheaper crypto payment alternatives. However, being considered storing value Like gold, Bitcoin can be used to maintain wealth over timewhich potentially increases its chances of becoming a globally recognized and accepted asset.
Featured image created with Dall.E, chart from Tradingview.com
