Investor, CEO and chief global strategist at Euro Pacific Capital Peter Schiff has weighed in on the discussion following the collapse of FTX, arguing crypto could be over.
For Schiff, the man who predicted the 2008 collapse and the subsequent subprime mortgage crisis, the jig is up and cryptocurrency is not simply entering a period of slow growth or decreasing value – it’s “crypto extinction”.
Tweeting his opinion of the latest developments, Schiff said that there will no longer be crypto, and that the currencies will inevitably reach zero.
He said, during the bull run last year that Bitcoin could hit $100,000, but this would not stop it from crashing back to nothing. There are good reasons for Schiff to be saying all of these things.
Euro Pacific Capital has been cryptocurrency averse and has stuck to mostly traditional assets, such as gold, agricultural stock, and tobacco shares.
Those industries are largely seen as pandemic antagonistic because of the increased consumption of food during major social cataclysms.
The question of whether a crypto winter or extinction is occurring has been asked many times before.
Unlike the stock market, the crypto market may not have the same level of resilience in the long-term as Bitcoin and Ethereum seem to be driving the prices up and down themselves, whereas the stock market is more resilient because of the vibrancy and variety of companies – as some do worse others will do better, which makes the stock market a fairly safe bet Schiff believes. The crypto market – not so much.