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| Bitcoin Investor Makes Million-Dollar Bet on $1M BTC Price as Financial Crisis Warnings Continue |
As the world economy faces rising inflation and economic turmoil, venture capitalist Balaji Srinivasan is making a million-dollar bet that bitcoin will reach $1 million in the next 90 days. Srinivasan, a former CTO of Coinbase and general partner at venture capital firm Andreessen Horowitz, believes that hyperinflation is already happening, and that bitcoin can serve as a hedge against monetary debasement, bank freezes, and wealth seizure.
Srinivasan’s bet was initiated by a Twitter post from James Medlock, who offered to bet anyone $1 million that the US will not enter hyperinflation. Srinivasan accepted the bet, with a mutual custodian yet to be decided. He also urged investors to buy bitcoin and store it outside of exchanges.
Srinivasan’s views on hyperinflation are echoed by numerous voices in the world of finance. The US Treasury has recently made available up to $25 billion as a backstop for its new Bank Term Funding Program, while the Federal Reserve Bank of Minneapolis President Neel Kashkari has said that there is an “infinite amount of cash at the Federal Reserve.” However, Federal Reserve Chair Jerome Powell does not envision the Fed cutting interest rates this year.
Bitcoin has already proven to be a hedge against hyperinflation in countries such as Venezuela, Lebanon, and Nigeria. Srinivasan believes that bitcoin may eventually have a gold-like role as a hedge against standard inflation, but it will take decades to show. In the meantime, Srinivasan is putting his money where his mouth is and making a million-dollar bet on bitcoin.
