Always rejecting Bitcoin, now advocating for 'USA Coin'.
For a long time, investment expert Peter Schiff, known as 'Bitcoin's arch-enemy', has publicly criticized Bitcoin for lacking intrinsic value and cash flow, mocking its market surge as relying solely on 'bubbles' and speculation. From past statements, it seems he has no fondness for decentralized digital assets.
However, Schiff recently suddenly proposed a new claim: the U.S. should completely skip the proposal of establishing a 'Bitcoin reserve' and instead issue 'USA Coin' with government endorsement. This move inevitably raises questions: Is Schiff, while denying Bitcoin, actually acknowledging the value potential of digital currency, while focusing more on 'government control'?
Schiff has long denied Bitcoin as a 'gold substitute' and 'store of value'. He believes that Bitcoin generates neither rental income nor can it rely on cash flow to pay any debts, making it inferior to existing traditional assets like real estate and bonds, and lacking foundational stability. He has also repeatedly criticized American policy leaders, including Senator Cynthia Lummis, who supports Bitcoin reserve plans, arguing that using Bitcoin to settle national debt would inevitably undermine the dollar's status and create inflation risks.
But while firmly singing the blues for Bitcoin, Schiff has recently suggested issuing 'USA Coin', which could mimic Bitcoin's fixed supply of 21 million coins in design, but achieve large-scale payment functionality through a 'government-controlled upgraded blockchain'.
Government endorsement vs. Decentralization: Does Schiff want control?
For many crypto supporters, the core value of Bitcoin is 'decentralization' — not controlled by the government or a single entity, transparent, and requiring no trust in intermediaries. However, from Schiff's discourse, he seems to only want to borrow elements like Bitcoin's 'limited total supply' and 'blockchain technology', while discarding its power-dispersing characteristics, pursuing a 'government-centralized' digital currency plan. This 'USA Coin' model shows that he is more concerned with a controllable and regulated form of crypto, advocating that central authority is the foundation of safety and trust.
This naturally raises market questions: Schiff, who claimed for years that Bitcoin is merely a speculative casino, now admits the potential of blockchain and digital assets? Will he change his attitude if Bitcoin becomes a legal reserve or is adopted by sovereign governments? Industry insiders believe that Schiff's criticism of Bitcoin is fundamentally rooted in its lack of government control, making it impossible to be incorporated into the 'traditional currency system'; rather than a disdain for the technology itself. Once Bitcoin moves towards centralization or is replaced by government-issued crypto, his resistance to digital currency diminishes.
Cryptocurrency assets accelerate mainstream acceptance, is a shift in stance expected?
Schiff's advocacy for 'USA Coin' coincides with discussions within the U.S. government about whether to establish a Bitcoin reserve and relax crypto regulations. Former presidents and several congressional members have pushed for a 'Bitcoin strategic reserve', which Schiff vehemently condemned as a risky plan that would lead to malignant inflation. However, observing the continuous surge in Bitcoin prices to historical highs and the repeated regulatory approvals for cryptocurrency ETFs indicates that the industry's influence is infiltrating traditional markets. Although Schiff does not agree with its 'freedom-anarchist' core, he must reassess the growth potential of the digital economy.
Ultimately, Schiff's latest remarks somewhat affirm the technical value of cryptocurrencies, only that he advocates for 'centralized power', replacing decentralized communities with government control. Regardless, this famous Bitcoin bear has revealed that the crypto economy is gradually gaining recognition with his call for the government to issue 'USA Coin'. Bitcoin, Ethereum, and other decentralized assets may continue to expand in an environment where 'doubt and agreement coexist', even prompting more originally harsh critics to seek compromises. For those who believe in the spirit of decentralization, Schiff's shift feels more like an 'indirect affirmation', though future regulations and market dynamics still require long-term negotiations and further compromises.
Further Reading
Peter Schiff harshly criticizes Bitcoin as America's number one enemy! Government bribery encourages people to waste money.
Is it a win if he shouts until it collapses? Peter Schiff again comments: "This matter" will immediately cause Bitcoin to crash.
Bitcoin is about to break $100,000! Peter Schiff: I regret not getting in early, but I will continue to criticize.
[Disclaimer] The market has risks, and investment should be cautious. This article does not constitute investment advice, and users should consider whether any opinions, views, or conclusions in this article are suitable for their specific situation. Invest at your own risk.
‘I just hate Bitcoin! Peter Schiff: The U.S. should not reserve BTC, issuing USA Coin directly is better.’ This article was first published in ‘Crypto City’.
