Why Michael Saylor is convinced Bitcoin will not replace fiat

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Contentions Erupt After New York Fed Classifies Bitcoin As ‘Just Another Example Of Fiat Money’
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Michael Saylor, the CEO of the leading global intelligence business firm MicroStrategy, has responded to analysts who claim that despite Bitcoin’s global adoption and price increase, the big bull is not capable of replacing the U.S dollar.

Saylor was quick to respond to the “Bitcoin is not money – yet,” article, which was posted to Twitter by the Chairman and Chief Editor of Forbes Steve Forbes, with the subject tweet; “Although the price of Bitcoin continues to skyrocket, that doesn’t make it an alternative to the dollar yet.”

Saylor took it upon himself to iterate that as opposed to popular belief, Bitcoin does not intend to replace fiat, but instead unseat gold as a leading sufficient store of value.

His tweet reads ;

“With all due respect, Bitcoin is not a currency and it is not replacing the dollar.  It is a monetary asset rapidly replacing Gold as a store of value.  It will coexist with fiat currencies as it attracts capital from weaker safe haven assets.”

The CEO of Binance Exchange also chimed in with affirmation, saying;

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“Many people get this wrong. They are all either afraid of (or hoping) Bitcoin will replace some existing thing. That’s not the point. Bitcoin is a new thing. It doesn’t care about the old,” he said. When one user insured that Bitcoin was the “new ponzi scheme,” CZ responded with ; “You still don’t get it. Bitcoin is better than what you call “money”.

It is true that a large number of traditional finance investors and personalities interpret Bitcoin’s structure as one designed to help it unseat the U.S dollar. But like Musk said in a previous tweet, “the USD is shorting itself.” The general sentiment shared by the Cryptocurrency community implies that Bitcoin is the new digital gold. Many prominent figures have nodded in support of this claim. As we’ve seen time and time again, incoming investors, billionaires, and all the likes have repeatedly referred to Bitcoin as “digital gold.”

Data from Statista also recently showed that the demand for gold dropped by 14% in 2020. Last year, Bitcoin’s year to date performance also toppled many leading assets, including gold. Although whether or not Bitcoin will unseat gold is an event left to be seen, the demand for both assets over the last few years is significant for any objective prediction.

Saylor’s recent tweets are coming in just days after Microstrategy (MSTR) bought $10 million worth of Bitcoin, placing the company’s total holdings above $2 billion.