MicroStrategy CEO Michael Saylor called gold ‘dead money’ and urged people to sell it and buy Bitcoin or be the last one standing.
Saylor, a well-known Bitcoin maximalist and MIT graduate, was speaking on the Nomad Capitalist podcast, and warned listeners to get out of gold before the hedge funds dump theirs.
‘Gold is dead money. Sell your gold, buy Bitcoin because other people are going to sell their gold and if you wait until you’ve been front-run by all the hedge funds when they dump their gold, you’re going to be the last person out,’ warned Saylor.
Saylor also claimed gold was being demonetised and that every rational investor is going to move from gold to Bitcoin, and only ‘the central banks that will want to hold [gold].’
If Gold Was The Hedge, Why Hasn’t It Tripled In Price?
The MIT graduate questioned its utility, claiming Bitcoin was better than gold in almost every way, citing gold’s market performance during a time when it should be rocketing.
‘What is [gold] good for? People held gold for political unrest. Lord knows you’ve got enough of that this year. They hold gold as a hedge against money printing. We’ve got a lot of that this year. Why hasn’t gold tripled?’ asked the MicroStrategy CEO.
For the gold market cap to triple it would have to go from an estimate $10 trillion to $30 trillion, which is highly unlikely in 12 months. However, the MicroStrategy CEO is right to question why gold hasn’t performed well during the covid era.
The US government printed trillions last year as its balance sheet went berserk, and many other governments followed suit. Gold was designed as a hedge against that, but the gold price hasn’t performed.
Gold was expected to keep rising after it broke its all-time high in August 2020. The price peaked at $2010, but since then it’s been in a steady decline to today’s price of $1852.
Why? The money is flowing from gold to Bitcoin, according to JPMorgan. The investment bank published a global markets strategy note pointing out money had flowed out of gold and into bitcoin, and predicted the trend would continue.
Michael Saylor To Give Away MicroStrategy’s Bitcoin Playbook To All CEOs
The MicroStrategy CEO is hosting inaugural Bitcoin for Corporations conference at World.Now on February 3-4, which is expected to draw thousands of corporate executives.
Michael Saylor says he intends to make publicly available MicroStrategy’s Bitcoin execution playbook to all who attend the conference.
The playbook includes all the accounting and legal guidance, and will ‘save anyone who wants it months, and millions of dollars,’ according to the astro physicist.
Companies Plugging Into Bitcoin Are Growing Faster
Companies that are plugging into Bitcoin and utilising its capabilities are growing much quicker than their competitors, according to the MicroStrategy CEO.
The MIT graduate said in the interview that the likes of Grayscale and payments firms Square and PayPal were growing because they had ‘plugged into Bitcoin’ and were fully utilising the advantages Bitcoin offers.
‘Square is working because Square plugged into Bitcoin’s network. Square lets you buy Bitcoin on a mobile app. PayPal is working because PayPal is plugged into Bitcoin, and it runs on a mobile app.’
‘GrayScale is working because they plugged their investment fund into Bitcoin. Things that are plugging into this digital monetary network are working. Things that are running on top of traditional fiat: euros and dollars, they’re chopping.’
Dump Gold And Buy Bitcoin
MicroStartegy CEO Michael Saylor is one the biggest Bitcoin maximalists going, and has been very vocal about its capabilities.
The MIT graduate clearly sees the benefits Bitcoin has over gold and firmly believes hedge funds will drop it and buy Bitcoin.
With the likes of payment networks Square and PayPal plugging into Bitcoin, and companies like MicroStrategy making it a part of their balance sheet, it’s clearly gaining mainstream adoption.
The fact is most corporations and hedge funds have never bothered with gold, as big as it is. But they know they have to plug into Bitcoin or get left behind.
Author: Tommy Limpitlaw
A Bitcoiner since 2017 and a Bitcoin Maximalist since 2018, Tommy is our main writer and editor at Bitcoin Maximalist. Other than researching and writing about Bitcoin, Tommy loves spending time with his family and supporting his beloved Leeds United.
