Arthur Hayes dissects Janet Yellen’s strategy and calls for betting on Bitcoin amid “volatility” in fiat liquidity in global markets.
BitMEX founder Arthur Hayes believes that Bitcoin and Ethereum are the reserve assets of cryptocurrencies, while everything else is shitcoin. While Hayes assured that he likes shitcoins and is not an extremist, he went on to add that the first stop is always Bitcoin because “Bitcoin is money and only money.”
Hayes talked about what should be bought to counter the effects of currency debasement. The executive said the smartest trade is to go long on cryptocurrencies. He noted that nothing is better than the growth of central bank balance sheets like cryptocurrencies.
Hayes on Janet Yellen’s strategy
Hayes candidly analyzes Janet Yellen's key role as U.S. Treasury Secretary and the impact of her decisions on the global financial system. He describes Yellen as "the worst bitch in the world," emphasizing that she has the power to exclude entities from the dollar-dominated financial system, which is equivalent to a potential "death penalty."
In his latest blog post, Hayes further criticized the inflation statistics produced by the government, suggesting that they may downplay the true impact of inflation.
He specifically pointed out the uncertainty and potential pitfalls of Yellen’s potential strategy to stabilize the economy, issue short-term bills, and manage the balance between the Reverse Repurchase Program (RRP) and the Treasury General Account (TGA). The executive hinted that Yellen’s actions could lead to a massive injection of liquidity into financial markets.
Hayes believes that this influx of liquidity, combined with actions by other major central banks around the world, could lead to a depreciation of the U.S. dollar. As more dollars circulate in the system, the currency's relative value compared to other major currencies such as the Chinese yuan, the Japanese yen, and the euro could decline. The discussion suggests that the combined impact of Yellen's strategy and the resulting increase in global fiat credit could lead to a weaker U.S. dollar.
Bitcoin: The Savior
With all the fiat liquidity “flowing” around the global market, Hayes believes betting on big tech such as artificial intelligence could be a smart move. However, the 38-year-old American entrepreneur said betting on cryptocurrencies is the smartest move. He called on investors to consider cryptocurrencies, especially Bitcoin, as a hedge against potential fiat currency devaluation.
"The first stop is always Bitcoin. Bitcoin is money and only money, the next stop is Ether. Ether is the commodity that powers the Ethereum network, the best Internet computer. Bitcoin and Ether are the reserve assets of cryptocurrency, everything else is shitcoin." #比特币 #以太币
