MicroStrategy co-founder and well-known cryptocurrency billionaire Michael Saylor talked about a coin that could replace gold in the long run.
According to Michael Saylor, gold will ‘fail’, it will be replaced by this cryptocurrency
Speaking to Kitco recently, Michael Saylor said that Bitcoin has superior properties to the yellow metal. According to the former MicroStrategy CEO, “Bitcoin is the digital synthetic successor to gold. It will gain value faster than gold. Gold will go bankrupt. Eventually, people will sell all their gold and buy Bitcoin.”
MicroStrategy has been buying Bitcoin regularly since August 2020. Saylor says the company’s investments have paid off given the appreciation in Bitcoin’s price since then.
Saylor, about the price performance between the two, said, “Bitcoin has increased by 140%. The S&P Index is up perhaps 25%. The NASDAQ rose more or less the same. Gold moved around 1%. “Silver fell and fiat money lost and bonds lost even more,” he says.
Why Bitcoin?
Saylor, a long-time Bitcoin investor, claims that the leading cryptocurrency is successful as an inflation hedge and a store of value. He says he first started investing in Bitcoin because of its limited supply and decentralized blockchain network.
Saylor stated that Bitcoin is faster, smarter and stronger than gold and said, “Bitcoin is a carrier instrument with all the advantages of gold, with no counterparty risk, an independent store of value.” He also stated that gold is expensive to hold, it is centralized and people can steal gold, while gold miners produce more gold, depreciating the value of gold.
You can take a look at the statements made by Saylor at the Bitcoin 2023 conference in Miami, Florida, which we quoted as Kriptokoin.com.
“I am a Bitcoin realist”
Saylor also stated that he is a “Bitcoin realist”. He also said that he does not insist that people hold Bitcoin. In his statements at the Bitcoin 2023 conference in Miami, Florida, he noted:
If Bitcoin is to be the solution for 8 billion people on the planet, then it will be inevitable… Large institutions, churches and corporations and the like will need an infrastructure made up of custodians and banks. There are all kinds of groups of people who cannot reasonably be expected to have self-custodial custody.
“Bank failures are political”
Among the statements made by Saylor at the Bitcoin 2023 conference, his discourse on bank bankruptcies came to the fore. March 2023 saw the bankruptcies of Silvergate, Silicon Valley Bank and Signature banks. On May 1, the First Republic Bank also sank. It was later acquired by JP Morgan. In total, the total assets of these banks were over $500 billion.
Saylor says whether or not more US banks go bankrupt is a “political decision”. According to Saylor, “They can choose not to collapse by supporting them, or they can take on a bank as their trustee. Then the creditors and shareholders are wiped out and the depositors are not.”
Saylor concludes by expressing that he is particularly concerned about jurisdictions outside the United States:
Under no circumstances would I keep my money in a weak bank or a bank in a weak country with a weak currency. This is basically playing Russian roulette. In the US, I would probably trust my deposits, but if I were an investor or creditor of a smaller bank, I wouldn’t trust my securities.
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