Frank Giustra, an investor and billionaire, warns governments and central banks will do whatever they can to destroy Bitcoin and prevent widespread adoption of independent cryptocurrencies.
Frank Giustra: Governments are a Threat to Bitcoin
In an interview with Stansberry Research, Giustra suggests that if central banks manage to issue their own central bank digital currencies (CBDCs), they will likely seek to destroy Bitcoin.
– I am particularly concerned about what governments and central banks will do if Bitcoin ever becomes a threat to them, a real threat to their own sovereign currencies. As you know, many central banks are considering introducing their own digital currencies. And they will not want this competition and they will make it very difficult. Governments and central banks will make it very difficult for Bitcoin to be widely adopted [na rynku]. They’ll set up roadblocks on the way – He said.
The Canadian businessman mentioned that several times in history, the authorities limited financial instruments to implement their own programs.
– I think the determination of governments and central banks to try to protect their currency should never be underestimated. You’ve heard about currency and capital controls. It is part of our history in many countries, including the United States. We saw this when the possession of gold in 1933 was made illegal, which was for 40 years. It was a form of capital control to protect the US dollar. You saw it in Britain before 1979, where there was currency control. You’ve seen it in South Africa. You saw it in pre-war Germany. You saw it in 2015 in Greece. Currency and capital control or some method of using this philosophy against Bitcoin is possible and you must take this into account He explained.
Central banks prefer gold
– [Banki centralne] they do not own Bitcoins. Gold is a fundamental part of their foreign exchange reserves, and it will always be. If they do anything, they will spend their own digital currency. They are not going to buy Bitcoins as they are going to try their best to debunk it [wartość] Bitcoin – added.
Although Giustra presented a rather dark landscape, he further said he believed the leading cryptocurrency had the potential to rise in price in the coming months.