Billionaire Druckenmiller says ledger-based system could replace USD worldwide
May 12, 2021. Summarized by summa-bot.
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Billionaire Stanley Druckenmiller thinks a new wave of developers may come up with crypto-derived alternatives to the inflating U.S. dollar.
Billionaire hedge fund manager Stanley Druckenmiller has forecast the possibility of a crypto-derived ledger system overtaking the U. S. dollar as a global reserve currency.
The hedge fund boss noted that if there were to be a U. S. dollar replacement it “would be some kind of ledger system invented by some kids from MIT or Stanford or some other engineering school that hasn't even happened yet, that can replace the dollar worldwide. ”
He made the comments in an interview with CNBC’s Squawk Box. Druckenmiller noted that crypto is often promoted as a hedge against inflation, which has become more relevant of late:
“Well, you probably don't remember this joke, but five or six years ago, I said that that crypto was a solution in search of a problem.
Druckenmiller reportedly invested in Bitcoin earlier this year and told Squawk Box that it’s unlikely that he believes it's Bitcoin will be usurped by other cryptocurrencies as the top store of value asset:
"It's going to be very hard to unseat Bitcoin, as a store of value asset, because it has a 14 year old brand, it's been around long enough, and obviously, there's a finite supply. "
Druckenmiller doesn’t see alternative fiat currencies taking over from USD however because “Europe is a complete mess,” and “Who's going to trust the Chinese?”
"5-6 years ago I said #crypto was a solution in search of a problem," says Stan Druckenmiller.