Ricardo Salinas, the third wealthiest man in Mexico, says fiat is fraud because it does not have a finite supply and all governments do is deflate people’s assets by “emitting” or printing more of it into the supply. Salinas, who already has 10% of asset value invested in Bitcoin, says he would choose Bitcoin as an investment over fiat and other assets.
The billionaire said in an interview that fraud is “inherent” to the fiat system and this can be seen in the USA today. According to him, the dollar being hard money was a “joke.”
“Fiat is a fraud,” he said. “Look. I started my career in 1981. The Mexican Peso was 20:1 ratio to USD in value. Today, we are at 20,000:1. Don’t tell me.”
He says while this could be said of Mexico, the numbers also do not add up for countries like Venezuela, Argentina, and Zimbabwe – that the numbers lose all proportions.
On the contrary, he praises Bitcoin as an asset that has intentional value and is traded at a global level. For that reason, he says Bitcoin should be on every investor’s portfolio. He says he would choose Bitcoin over gold, silver, Bolivars, Argentine pesos, and Mexican Pesos as an asset that he could invest for 30 years.
“No no, no. Not even a single peso, nothing!. No paper bills. I would take Bitcoin.”
Salinas says he has spent a good amount of time studying the cryptocurrency,
“The finite supply of Bitcoin – the 21 million, is the key part,” he said.
Comparing Bitcoin with gold, he reiterated that Bitcoin “is the new gold” but more portable and easier to handle.
According to him, the finite supply of cryptocurrency makes it harder for manipulation by governments. The finite supply means it can become scarcer in supply over time and hence become more valuable. This explains why he doesn’t like altcoins with much-extensive supply