This is Bitcoin’s moment, says Virgin Galactic chairman

Published by Cyber Flows on

Billionaire Chamath Palihapitiya argues that Bitcoin’s fate will be decided in the next 10 years. But it might be sooner than later.

Chamath Palihapitiya, the CEO of Social Capital, the chairman of Virgin Galactic and the owner of Golden State Warriors, thinks that Bitcoin could potentially become “gold 2.0” by 2030 if traditional economies falter.

During today’s “Pomp Podcast” hosted by Anthony Pompliano, co-founder and partner at Morgan Creek Digital, Palihapitiya said that “Bitcoin needed a moment like this for it to be relevant.”

In his opinion, in the next 10 years, the economy will be at a crossroads: it could introduce inefficiency and cost and “inflate its way out”—or face debasement. In the latter case, Bitcoin could “really emerge as a flight to safety.”

“There’s a real chance by 2030 we don’t find a way to inflate our way out of this, and that the only way to break the back of deflation is essentially to create some quasi form of gold standard,” said Palihapitiya.

“But it will be almost impossible to do that between governments and central banks. They’ll never agree on an instrument and they’ll never agree on an exchange. But then bottoms up people could decide to do it. And the minute when that happens, then it’s a done deal,” Palihapitiya added.

He noted that Bitcoin could become an index. And while gold’s kept in vaults, Bitcoin can be owned and possessed by everybody.

“What it does is it replaces the method of value transfer that you need for fiat money to be valuable, but it only happens if it looks like the US dollar is going to careen into a wall,” said Palihapitiya.

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