Billionaire enterprise capitalist Peter Thiel is fearful that China is using bitcoin to undermine the U.S.

In feedback Tuesday throughout a digital occasion for the Richard Nixon Foundation, and first reported by Bloomberg News, the co-founder of PayPal
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,
Palantir Technologies
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and Founders Fund mentioned bitcoin “threatens fiat money, but it especially threatens the U.S. dollar.”


“Even though I’m a pro-crypto, pro-bitcoin maximalist person, I do wonder whether at this point, bitcoin should also be thought [of] in part as a Chinese financial weapon against the U.S.”


— Peter Thiel

Thiel mentioned China wish to see two international reserve currencies, somewhat than the greenback being the default reserve forex. But China doesn’t need its renminbi to fill that position, and prior to now has used the euro “in part” as a weapon against the greenback. That hasn’t labored, so now China is attempting to raise bitcoin, Thiel argued.

“[If] China’s long bitcoin, perhaps from a geopolitical perspective, the U.S. should be asking some tougher questions about exactly how that works,” he mentioned.

Also see: U.S. is ‘behind the curve’ on crypto regulations, says SEC Commissioner Peirce

China just lately launched a blockchain-enabled, digital version of its currency, the yuan, however Thiel dismissed that transfer. “That’s not a real cryptocurrency, that’s just some sort of totalitarian measuring device,” he mentioned.

Bitcoin
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on Wednesday was above $56,000 and once more approaching its report excessive value of $60,738, in accordance with Coindesk. The value of bitcoin is up 95% yr thus far, and up a whopping 674% over the previous 12 months.



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