Balaji Srinivasan Says Hyperinflation Happening Now – Makes Million Dollar Bets on Bitcoin Price to Surpass $1 Million in 90 Days – Economics
Venture capitalist and angel investor Balaji Srinivasan says hyperinflation is happening now. He expects that Bitcoinprice will soon reach $1 million and is making million dollar bets that it will be in 90 days. Srinivasan also advised investors to buy Bitcoin, which he says is “a hedge against hyperinflation, currency debasement, bank freezes and asset confiscation.”
Balaji Srinivasan: The hyperinflation is here
Venture capitalist Balaji Srinivasan believes hyperinflation is happening now. Srinivasan is an angel investor, technology founder, and bestselling Wall Street Journal author. Previously, he was CTO of crypto exchange Coinbase and general partner at venture capital firm Andreessen Horowitz (A16z).
Commenting on a tweet by former Twitter CEO Jack Dorsey in October 2021 that said hyperinflation was “coming soon” and “changing everything,” Srinivasan tweeted on Friday, “Jack is right.” He emphasized:
Hyperinflation is happening – now.
The angel investor cited the recent government and Federal Reserve bailouts for Silicon Valley Bank and Signature Bank. The Treasury announced last Sunday that it will provide up to $25 billion as a backstop for its new Bank Term Funding Program (BTFP). He further pointed out that Federal Reserve Bank of Minneapolis President Neel Kashkari previously said, “There is one infinite cash at the Federal Reserve.”
Srinivasan stated in December last year that Bitcoin is “a hedge against hyperinflation, currency debasement, bank freezes and asset confiscation.” He added, “It’s already proven itself in this role in places like Venezuela, Lebanon and Nigeria.” In comparison, he explained that the largest cryptocurrency “could ultimately play a gold-like role” as a hedge against the “default”inflationbut emphasized that it “takes decades to show itself”.
Believing that hyperinflation is already here, Srinivasan urged investors to buy BTC in his tweet on Friday. The venture capitalist wrote:
Buy bitcoin and get your coins from exchanges.
$1 million bitcoin bets
In addition, Srinivasan accepted a bet initiated by James Medlockwho tweeted Thursday, “I bet every $1 million the US won’t go into hyperinflation.” The former Coinbase CTO responded:
I’ll take that bet. You buy 1 BTC. I will send 1 million USD. This is a ~40:1 ratio as 1 BTC is worth ~$26,000. The term is 90 days. All we need is a mutual trustee who is still there to handle should the digital dollar depreciate.
In a follow-up tweet, Srinivasan explained, “I’m moving $2 million in USDC for the bet. I’ll do it with medlock and one other person, which is enough to prove the point… Everyone else should just buy bitcoin as it’s a lot cheaper for you than locking one up for 90 days.”
Several people have offered to help Medlock line up the 1 Bitcoin for the bet. Medlock then tweeted, “Balajis ready to do this?”
Srinivasan replied, “Yes. Only move money for the bet. We can do this via smart contracts, but for simplicity, old-fashioned escrow can work,” Srinivasan replied. “The escrow would have a BTC address and a ETHaddress (for the USDC). The assets would remain on the chain for 90 days.” He clarified:
If BTC BTC and the $1M USDC. If BTC > 1M USD in 90 days after deposit, then I win and get both the 1 BTC and the (now worthless) 1M USDC.
Medlock replied, “Sir, I think we have a deal.” Crypto exchange Binance CEO Changpeng Zhao (CZ) joined the conversation and bot to be the trustee for the bet. At the time of writing, BTC is trading at $27,208.
Do you agree with Balaji Srinivasan that hyperinflation is now taking place? And do you think the price of bitcoin will surpass $1 million in 90 days? Let us know in the comment section below.
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Source: Crypto News Deutsch