Peter Schiff, a well-known advocate for gold, has once again stirred up controversy by predicting the demise of Bitcoin in 2025. Schiff, who has been a vocal critic of Bitcoin for years, argues that the cryptocurrency is too volatile to withstand another major economic crisis.
In a recent post on social media, Schiff boldly claimed that “the financial crisis of 2025 will kill” Bitcoin. This prediction is based on his belief that the design flaws of Bitcoin, which were exposed during the 2008 financial crisis, will ultimately lead to its downfall in the face of another economic collapse.
Bitcoin was initially created in response to the 2008 global financial crisis, which was characterized by the collapse of major financial institutions and widespread economic turmoil. The cryptocurrency was introduced as an alternative to traditional financial systems, allowing for peer-to-peer transactions without the need for intermediaries like banks.
Schiff’s criticism of Bitcoin comes at a time when global markets are experiencing significant volatility due to trade wars and other economic uncertainties. President Trump’s recent announcement of tariffs on imported goods has led to massive losses in the stock market, with the Nasdaq, S&P 500, and Dow all plummeting in a matter of days.
Furthermore, Bitcoin Exchange-Traded Funds (ETFs) have seen nearly $900 million in outflows over the past six days, indicating a lack of investor confidence in the cryptocurrency.
Schiff also raised concerns about the U.S. government’s establishment of a Bitcoin reserve and Michael Saylor’s aggressive purchase of BTC. He pointed out that the value of the Bitcoin held in the government’s reserve has declined by over 12%, while gold has reached record highs.
Despite a temporary relief rally in financial markets following President Trump’s announcement of a 90-day trade tariff pause, the U.S. dollar suffered a 2.30% decline against other currencies. This decline, coupled with escalating trade tensions and China’s retaliatory tariffs, has raised doubts about the U.S.’ ability to navigate the ongoing trade war.
As Schiff continues to warn of a potential collapse in 2025 that could wipe out Bitcoin, investors are left questioning the future of the cryptocurrency and whether it can weather the storm of economic uncertainty. The debate between gold and Bitcoin as safe-haven assets rages on, with the outcome remaining uncertain.