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In a tweet posted on Thursday, renowned economist and Bitcoin skeptic Peter Schiff slammed the so-called “Bitcoin HODL gang” for accusing him of not understanding Bitcoin.
Schiff referenced the “HODL” acronym popularized in many crypto memes, which stands for “Hold On for Dear Life.” The economist took a jab at those who bought crypto assets at high prices but are sitting on them instead of taking a loss. According to Schiff, he already understands it better than most Bitcoin owners — hence his refusal to buy it.
In a recent interview with TD Ameritrade Network, Schiff also stressed that Bitcoin holders should get out before it’s too late.
The goldbug has been consistently critical of Bitcoin since 2011. He sees Bitcoin as nothing more than a speculative bubble, akin to many other financial bubbles of the past.
He believes that Bitcoin lacks intrinsic value and true utility. In his view, its only role is to provide a vehicle for speculation and gambling on higher prices.
Schiff prefers gold over Bitcoin because he views it as having tangible intrinsic value and a centuries-long history of use as money. According to Schiff, gold also has much broader acceptability in terms of trading globally than digital currencies of the likes of Bitcoin do.
Furthermore, Schiff believes that gold serves as a hedge against inflation while digital currencies (including Bitcoin) are too volatile and unreliable to protect one’s investments in the same way gold may be able to.