Equity Group Investments founder and chairman Sam Zell is skeptical of Bitcoin, but admits that it may be part of the solution. The billionaire and real estate tycoon in particular believes that the Bitcoin community is made up of many people he doesn’t like.
Fast speaking characters
In remarks made during an interview, the billionaire who predicts the U.S. dollar will lose its status as the world’s reserve currency within the decade has no kind words to some nameless people in the Bitcoin space. One report quotes Zell and notes:
I am honestly very skeptical of Bitcoin. Ultimately, it can be the answer or one of the answers. But right now it’s a world that is extraordinarily populated with chameleons and other fast-speaking characters. I don’t think everyone involved is the kind of person I want to follow.
Although the billionaire doesn’t explain how BTC may be one of the answers, the same interview provides some clues as to why Zell believes it is. When Zell talks about the possibility of the US dollar losing its reserve status, he warns:
“If we keep doing what we are doing, I think it will be 10 or 15 years. If we lose reserve status, our standard of living could decrease by 25%. “
Status of the US dollar reserve currency
Meanwhile, other individuals and organizations, including the International Monetary Fund (IMF), appear to share the billionaire’s view of the future status of the US dollar. According to the IMF, central banks must now consider the possibility of replacing the dollar with other alternatives, including digital currencies.
Zell, for his part, warns of the catastrophic consequences if the tradition of “unlimited indebtedness and irresponsible activity” does not end. Many analysts, including Bitcoiner, see excessive borrowing and the printing of money as the main cause of the devaluation of the US dollar. The resulting depreciation of the dollar then forces some investors to seek out and invest in inflation-resistant assets such as fiat money. Bitcoin is proving to be such a good.
What do you think of Zell’s Bitcoin remarks? Let us know what you think in the comments section below.
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